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A director of Fund Wealth Investment Limited, Ms Ho Chung-ying, trading as Fish-In Ancestry Restaurant, was sentenced to 14 days' imprisonment for committing wage offences under the Employment Ordinance at the Kowloon City Magistrates' Courts today (May 2). The prosecution was taken out by the Labour Department.
A spokesman for the Labour Department welcomed the judgment, adding that 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 fourth case in the past 12 months in which a jail 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 Fish-In Ancestry Restaurant ceased operation in January last year with 37 employees' wages and other termination benefits outstanding. The employees then lodged claims with the Labour Tribunal which awarded in favour of the employees in the following month. However, the employer did not honour the award to pay their employees.
The Labour Department investigated the case and evidence showed that the wage offences were committed with the director, Ms Ho Chung-ying's consent or connivance. The amount of wages involved was about $50,000. The Labour Department took out the prosecution as three workers came forward as prosecution witnesses for their wage arrears. The director was also ordered to clear the outstanding wages via the court.
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.
In addition, according to Section 23 and 25 of the Employment Ordinance, 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 do so wilfully and without reasonable excuse is liable to a maximum fine of $350,000 and imprisonment for three years.
"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/Wednesday, May 2, 2007
Issued at HKT 19:02
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