Accountancy in Hong Kong

>> Employment in Hong Kong

Generally speaking, the employment climate in Hong Kong is very stable. The highly educated, skilled and dedicated workforce has been very appealing to foreign investors.

The government is endeavouring to promote harmonious labour relations and safeguard employees’ rights and benefits through implementation of appropriate labour policy and labour legislation.

The Employment Ordinance is the main legislation prescribing the minimum rights, benefits and protection for employers and employees in Hong Kong.

The Minimum Wage Ordinance protects the rights of the employees employed in Hong Kong. The current statutory minimum wage rate is HK$34.50 per hour.

Under the Mandatory Provident Fund Schemes Ordinance, each of the employers and the employees is required to make monthly contributions to the scheme at 5% of the employee’s earnings (subject to a cap of HK$1,500), contributions over and above which are voluntary.

Employment conditions are usually provided for in the contracts of service entered into between employers and employees, but for certain industries, there are collective agreements entered into between employers and the trade unions representing these employees.

Any person wishing to enter Hong Kong for employment, investment, education, training or residence must obtain the appropriate entry visas before coming to Hong Kong unless that person is the holder of a Hong Kong Permanent Identity Card

or has the right of abode or unconditional stay in Hong Kong. Significant penalties will be imposed if the employer is found guilty of employing persons without proper visa requirements.

Dependents (including spouses and children) who accompany individuals taking up employment in Hong Kong must apply for dependent visas. Certain nationalities are granted visa free access to Hong Kong but only up to a stipulated period of time.

No compulsory medical insurance is required in Hong Kong.

Payroll tax is covered by the Salaries Tax mentioned above and is to be paid by the employee directly, who should submit the Individual Income Tax Return each year.


Latest version updated 24th October 2017

Country Breakdown

7.3

Million

Population

HK$

Hong Kong Dollar

Currency

$ 320.9

Billion

GDP

2,754

km2