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A company, Maxearn Limited trading as Lee Fa Yuen Korean Pot, was fined $10,000 at the Kwun Tong Magistrates' Courts today (April 27) for contravening the Employment Ordinance in making payment in lieu of granting statutory holidays to an employee.
During an inspection by Labour Department inspectors in January this year, it was found that the company failed to grant four statutory holidays to an employee. It was also found that the company had paid an additional sum to the employee in lieu of granting the statutory holidays. The Labour Department subsequently launched prosecution against the company.
Section 40A(1) of the Employment Ordinance stipulates that no holiday pay, or other sum, should be made in lieu of the grant of a holiday.
If the alternative holiday is to be granted within 60 days before the statutory holiday, at least 48 hours' prior notice must be given to the employee before the alternative holiday. If the alternative holiday is to be granted within 60 days after the statutory holiday, the 48 hours' prior notice must be given before the statutory holiday.
If the employer and employee agree, any day within 30 days of the statutory or alternative holiday may be taken by the employee as a substituted holiday.
Any employer who fails to do so is liable to a maximum fine of $50,000.
Ends/Friday, April 27, 2007
Issued at HKT 16:32
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