Company and director fined and sentenced to suspended imprisonment for wage offences and default on Labour Tribunal Award

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Eessen International Limited and its director were prosecuted by the Labour Department for failing to pay an employee termination payments, including wages, in accordance with the Employment Ordinance (EO) and defaulting on the sum awarded by the Labour Tribunal (LT). The defendants earlier pleaded guilty at Kwun Tong Magistrates' Courts and were sentenced today (June 14). The company was fined a total of $42,000. The director was sentenced to seven and 14 days' imprisonment for respective offences, suspended for 24 months, to run concurrently.

The company failed to pay termination payments, including wages, to an employee within seven days after the expiry of the wage periods and termination of employment contract totalling over $570,000, as required by the EO. Also, the company failed to pay the awarded sum of $198,000 to the employee within 14 days after the specified payment date of the LT award.

The director concerned was convicted for her consent, connivance or neglect in the above offences.

"The judgment will disseminate a strong message to all employers and responsible officers of companies that they have to comply with the requirements of the EO and pay employees wages and awarded sums according to the terms of the awards issued by the LT or the Minor Employment Claims Adjudication Board. Failure to effect payment of wages as required by the EO and default on awarded sums are serious offences. The LD will continue to make dedicated efforts in enforcing the EO and safeguarding employees' statutory rights," a spokesman for the Labour Department said.

Ends/Wednesday, June 14, 2017
Issued at HKT 18:08

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