Company and its director fined $145,000 for contravening Employment Ordinance

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SMI Management (HK) Limited and its director were prosecuted by the Labour Department (LD) for failing to pay wages and the sum awarded by the Labour Tribunal (LT) in accordance with the Employment Ordinance (EO). The company and its director were convicted at Eastern Magistrates' Courts today and fined $60,000 and $85,000 respectively. The company and the director were also ordered by the court to compensate the employees a total outstanding sum of about $286,000.

The company failed to pay an employee's wages of $55,775 within seven days after the termination of employment as required by the EO. Also, the company failed to pay two employees the awarded sums of about $64,000 and about $222,000 within 14 days after the date set by the LT in accordance with the requirement of the EO. The director was convicted for his consent, connivance or neglect in the above offences.

"The ruling will disseminate a strong message to all employers, directors and responsible officers of companies that they have to pay wages to employees within the statutory time limit stipulated in the EO, as well as the sums awarded by the LT or the Minor Employment Claims Adjudication Board," a spokesman for the LD said.

"The LD will not tolerate these offences and will spare no effort in enforcing the law and safeguarding employees' statutory rights," the spokesman added.

Ends/Friday, July 16, 2021
Issued at HKT 18:30

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