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A company director was today (November 1) jailed for 14 days for committing wage offences under the Employment Ordinance, but the sentence was suspended for 12 months.
Ms Wong So-yin, director of Max Dollar Limited trading as Tsui Ho Yuen Restaurant, was sentenced in Kwun Tong Magistrates' Courts. Wong was also ordered to clear the outstanding wages via the court. The prosecution was launched by the Labour Department.
A spokesman for the Labour Department welcomed the judgment, saying it would send a strong message to company directors that they had a personal responsibility to ensure that wages were paid to employees in accordance with the Employment Ordinance.
"This is the fifth case this year in which a custodial sentence has been imposed on a company director for wage offences. It showed that the courts are attaching more importance to such offences. Employers should not defy the law," he said.
The restaurant ceased operation suddenly in December last year. The eight employees involved in this case were owed wages of more than $39,000 for periods in November and December. The employees lodged claims with the Labour Tribunal. The employer was absent from the hearing. The Tribunal awarded in the employees' favour and the employer failed to comply with the award in making payment.
The Labour Department investigated the case and evidence showed that the wage offences were committed with the director, Ms Wong's consent, connivance or neglect.
Section 64B of the Employment Ordinance stipulates that where any wage payment offence committed by a body corporate is proved to have been committed with the consent or connivance of, or to be attributable to any neglect on the part of, any director, manager, secretary or other similar officer of the body corporate, the director, manager, secretary or other similar officer shall be guilty of a like offence. Offenders are liable to prosecution and, upon conviction, to a maximum penalty of a fine of $350,000 and imprisonment for three years.
Section 23 and 25 of the Employment Ordinance says that wages due upon expiry of the last day of the wage period or upon termination of employment shall be paid as soon as practicable, but not later than seven days. Any employer who fails to comply willfully and without reasonable excuse commits an offence.
"The Labour Department does not tolerate wage offences and spares no effort in prosecuting directors and employers who defy the law," the spokesman said.
Employees who are owed wages should call the Labour Department's complaint hotline, 2815 2200, immediately.
Ends/Thursday, November 1, 2007
Issued at HKT 19:24
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