LD steps up enforcement to combat catering wage offences
(with photos)
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    The Labour Department has adjusted its enforcement strategies and stepped up inspection of restaurants to clamp down on employers defaulting on wage payments at source.

     "In the first eight months of this year, Labour Inspectors inspected a total of 2,637 catering establishments, including 852 restaurants. This is a preventive measure to remind employers that we do not tolerate wage offences and will spare no effort in combating the crime," the Permanent Secretary for Economic Development and Labour, Mr Matthew Cheung Kin-chung, said today (September 19).  

     Apart from stepped-up inspection, Mr Cheung stressed that the department would make an all-out effort to prosecute offending employers. "Once we detect a wage offence, we will definitely launch a prosecution if there are witnesses and sufficient evidence.

     "In the first eight months of this year, we secured 86 convictions against wage offences in catering establishments, up 115% over 40 in the same period last year," he said.

     During inspection, Labour Inspectors will not only inquire about arrears of wages, they will, when necessary, ask the employers about the establishment's finances to get more information about, for example, whether they are able to clear wages, and whether they are facing difficulties in running the business.

     Labour Inspectors will also talk to employees to see if they have noticed any irregularities on the part of employers, such as expensive items being removed from the premises or the sudden disappearance of the person in charge. All these help to assess the risk of closure of the catering establishments in the short term.    

    "Such in-depth inquiries also help collect evidence for possible prosecution and create a deterrent effect on unscrupulous employers. Labour Inspectors will take statements immediately if they detect any offences and if there are witnesses," Mr Cheung said.

     "Labour Inspectors will distribute to employees a leaflet containing the department's wage offence complaint telephone hotline 2815 2200 and provisions on employees' rights and benefits. This helps employees to lodge complaints when necessary," he said.

     Mr Cheung urged employees being owed wages to uphold their own rights and report to the department through the hotline. He appealed to employees to act as prosecution witnesses and assist the department in combating the few black sheep in the industry.  

     "It is noteworthy that a company director was imprisoned for one month for failing to pay wages and another restaurant company was fined $120,000 for wage offences this year," he said.

Ends/Monday, September 19, 2005
Issued at HKT 10:02

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