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A construction contractor, Mr Cheung Chu-fai, was fined a total of $26,000 at the Kwun Tong Magistrates' Courts today (January 23) for wage and holiday pay offences under the Employment Ordinance. The prosecution was launched by the Labour Department.
Mr Cheung was fined $14,000 for failing to pay wages to two employees within seven days after the termination of employment as required by the ordinance. The amount of wages involved was about $28,000.
Meanwhile, he was also fined $12,000 for failing to give holiday pay for three statutory holidays to the two employees within the statutory time limit. The holiday pay involved was $4,200. In addition to paying the fines, the employer was ordered to clear the outstanding wages and holiday pay via court.
According to Section 25 of the Employment Ordinance, wages due upon termination of employment shall be paid as soon as practicable, but not later than seven days. Any employer who fails to do so wilfully and without reasonable excuse is liable to a maximum fine of $350,000 and imprisonment for three years.
In addition, section 40 of the Employment Ordinance stipulates that an employee having been employed under a continuous contract for not less than three months immediately preceding a statutory holiday is entitled to the holiday pay. Holiday pay should be paid to the employee not later than the day on which he is next paid his wages after that statutory holiday. Failing which the employer is liable on conviction to a maximum fine of $50,000.
The Labour Department urged employees who are owed wages and holiday pay to immediately report to its hotline on 2815 2200.
Ends/Tuesday, January 23, 2007
Issued at HKT 19:09
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