The answer first
The Employment Ordinance (Cap. 57) sets minimum rights for employees in Hong Kong. Employment contracts can give more, but not less. Many rights depend on the employee being employed under a continuous contract: from 18 January 2026, employment of four weeks or more with at least 68 hours worked in each four-week period.
Wages must be paid within 7 days after the end of each wage period. Termination must follow the notice or payment in lieu terms of the contract and the Ordinance, and dismissal for certain reasons is unlawful.
At a glance
- Continuous contract
- 4 weeks or more, at least 68 hours in each four-week period (from 18 January 2026)
- Wages
- Within 7 days after the wage period
- Minimum wage
- HK$43.1 per hour from 1 May 2026
- Final payments
- Within 7 days of termination
Core entitlements
| Entitlement | In brief |
|---|---|
| Wages | Paid within 7 days after the end of the wage period |
| Rest days | At least one in every 7 days |
| Statutory holidays | 15 days in 2026, increasing in later years |
| Paid annual leave | 7 days after 12 months, rising to 14 days with service |
| Sickness allowance | Four-fifths of average daily wages, subject to accumulated paid sick days and conditions |
| Maternity leave | 14 weeks, subject to conditions |
| Paternity leave | 5 days, subject to conditions |
| Minimum wage | HK$43.1 per hour from 1 May 2026 |
Ending employment
| Point | Rule |
|---|---|
| Notice | As agreed in the contract, subject to statutory minimums; payment in lieu possible |
| Probation | Shorter notice periods may apply during the first month and probation as provided |
| Summary dismissal | Only for serious misconduct as defined in the Ordinance |
| Severance payment | For dismissal by reason of redundancy, after at least 24 months' continuous employment |
| Long service payment | In qualifying cases after at least 5 years' continuous employment |
| Calculation | Generally two-thirds of last month's wages (capped at HK$22,500) for each year of service, subject to an overall cap of HK$390,000 |
| Final payments | Due within 7 days of termination (with some items as soon as practicable) |
Unlawful dismissalDismissing an employee because they are pregnant, on sick leave with sickness allowance, injured at work, giving evidence in labour proceedings or taking part in trade union activities can be unlawful and lead to awards and prosecution.
Records and good practice
- Keep wage and employment records for each employee for the period required by the Ordinance.
- Provide written terms and keep signed copies.
- Apply policies consistently and record warnings and performance discussions.
- Take advice before dismissing an employee, particularly with long service or protected status.
Key takeawaySince 1 May 2025, employers can no longer offset severance or long service payments with accrued benefits from their mandatory MPF contributions made on or after that date. Budget for these payments separately.
Self-check: where do you stand?
| Question | If the answer is no |
|---|---|
| Does every employee have written terms? | Issue them |
| Are wages paid within 7 days of the wage period? | Adjust payroll timing |
| Do you track annual leave and sick days accurately? | Introduce a leave record |
| Have you reviewed contracts for the "468" continuous contract rule? | Check part-time and variable-hour staff |
| Do you take advice before dismissals? | Make it standard practice |
How DBMS Global can help
- Payroll, leave records and final-pay calculations.
- Severance and long service payment calculations, with lawyers for complex cases.
- Template documents, reviewed by a lawyer where specialist drafting is needed.
In summary
- Know the core entitlements and pay on time.
- Follow notice rules and avoid unlawful dismissals.
- Keep records.
This guide is general information, not legal advice. Employment disputes should be reviewed by an employment lawyer.
Official references
- Employment Ordinance (Cap. 57) and Labour Department: A Concise Guide to the Employment Ordinance, www.labour.gov.hk
- Minimum Wage Ordinance (Cap. 608)