Hire in Hong Kong
Salary Currency
Hong Kong Dollar (HKD)
Capital
Hong Kong
Contract Language
English
Payroll Cycle
Monthly
Our quickstart guide to hiring in
Hong Kong
Learn everything you need to know about hiring an employee in Hong Kong
Wage & Tax Obligations
Minimum Wage Requirements
The minimum wage is HKD 6,300 per month
Individual Income Tax
Hong Kong uses a progressive tax system for individual income tax, ranging from 0% to 17%. Multiple additional factors may impact overall rates such as the household status and the number of children.
Up to HKD 50,000: 2%
HKD 50,001 to HKD 100,000: 6%
HKD 100,001 to HKD 150,000: 10%
HKD 150,001 to HKD 200,000: 14%
Above HKD 200,000: 17%
Payroll Cost
Employer typically pays:
Mandatory Provident Fund (MPF) - 5%
Overtime Pay & Maximum Hours
The standard working hours in Hong Kong are 40 hours per week (generally 8 hours per day for 5-day workweeks).
Overtime payment is not mandatory. Overtime can be agreed upon between an employer and employee in an employment agreement.
Leave Management
Maternity Leave
Hong Kong female employees can enjoy 14 weeks of paid maternity leave if they have worked for the company for more than 40 weeks before the due date. Otherwise, they may take up to 10 weeks of unpaid maternity leave.
The payment standard for maternity wages is 80% of the employee’s average daily wages in the previous 12 months.
Paternity Leave
Fathers are entitled to five days of paid paternity leave, and able to take them from 4 weeks before the due date to 14 weeks after birth.
Vacation can be taken all at once or spread over several days.
Parental Leave
In Vietnam, no law covers parental leave. However, employees may be entitled to maternity and paternity leave.
Employees are entitled to paid sick leave for up to 120 days if accrued. The first 4 days are unpaid and considered as a qualifying period.
Paid sick leave generally accrues at the rate of two days per month for the first year. This is then calculated at the rate of four days per month for each subsequent year.
Sick pay is allocated equal to 80% of the employee's average daily wage over the preceding 12 months. If the employee has been with the company for less than a year, the rate is calculated based on average daily earnings since joining.
Sick Leave
Termination Policy
Termination Requirements
There is no at-will termination in Hong Kong. Termination must be done for justificable reasons.
Valid reasons for dismissal include misconduct, redundancy, or poor performance.
Notice Period
The notice period varies based on the length of employment:
During probation period, and more than 1 month: 7 day notice.
Past Probation period: 30 days notice.
Severance for Employees
In Hong Kong, all employees who worked more than 2 years, and terminated due to redundancy are entitled to severance pay.
Severance pay is calculated as two-thirds of the employee's monthly wage or two-thirds of HK $22,500, whichever is less, for each year of service. The total statutory severance payment is capped at HK $390,000.
Statutory Time Off
Paid Time Off
In Hong Kong, employees are entitled to 7 days of leave after completing the initial 12 months of employment. Employers may not impose a cap on the number of days carried forward. Furthermore, there are no legal limits.
Public Holidays
Employees in Hong Kong are entitled to the following 16 public holidays:
Lunar New Year’s Day
The second day of Lunar New Year
The third day of Lunar New Year
The fourth day of Lunar New Year
Qing Ming Festival
Good Friday
Day following Good Friday
Easter Monday
Labour Day
Dragon Boat Festival
Hong Kong Special Administrative Region Establishment Day
Mid-Autumn Festival
National Day
Chung Yeung Festival
Christmas
The first weekday after Christmas Day
If a public holiday falls on a rest day, the following day is a public holiday.
Disclaimer
The information contained in this Country Guide is provided for informational purposes only and should not be construed as legal advice on any subject matter. The contents of this Country Guide contain general information and may not reflect current legal developments or address your situation. You should not act or refrain from acting on the basis of any content included in this Country Guide without seeking the advice or representation of a licensed attorney. Anemone HR disclaims all liability for actions you take or fail to take based on any content included in this Country Guide.
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