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Working

Introduction After the execution of statutory minimum wage in Hong Kong, many persons urge the federal government to have legislation about normal working several hours as employers may use nonpaid overtime as a method to minimize the labor cost in order to balance the increase of labor costs caused by the minimum wage. First of all, we wish to talk about the definition of placing a standard functioning hour. The concept is to set a standard working hour each week.

If employees’ working hours are longer than the regular one, employers have to pay extra bonus pertaining to the extra working hours.

Reason behind having regular working several hours Regardless of a follow-up action pertaining to minimum income policy, it could ensure better health for employees. The Occupational Safety and Health Code stipulate that employers must ensure the work-related safety and health of their employees. But, the problem of long doing work hour is usually severe. Taking accounting field as an example, it is common for us to hear the employees in “Big Four have immediate health due to long operating hours.

Setting up standard working hours can discourage companies to ask personnel to have overtime so that personnel can have more resting time and more job opportunities may be created as employers may require more labor force to avoid workers having overtime, however, (can’t imagine any rebuttal, strong point). Worries via Business sector (EMPLOYERS PERSPECTIVE) Currently, eight of the city’s biggest business chambers have got sent a rare joint notice to the govt expressing their particular concerns regarding this issue.

They will claimed this policy may well hurt the economic environment in Hong Kong as their labor costs will further increase (increase in labour cost due to the have to employ even more workers to compensate for the reduction in functioning hours every worker. This may involve a rise in wages, operations cost, cost of training etc . Additional expense and assets needed *”Lau Chin-ho, a deputy leader of the Federation of Hong Kong Industries, on RTHK’s Metropolis Forum, stated standard doing work hours may increase business costs and that other alternatives should be discovered before creating a legislation.

He was addressing a govt report, released last week, which usually says business employers would need to shell out up to HK$55. 2 billion dollars more a year in income if normal working several hours were released in Hk.  The Labour Department of Hk generated twenty-seven scenarios of the likely effects by altering three elements: a forty five to 48-hour week, overtime pay of 1 to 1. five times regular pay and exemption criteria for staff such as managers and executives. With respect to the scenario, it estimates the employers’ further labour costs at HK$8 billion to HK$55. 2 billion a year, or 1 . per cent to 11. four per cent of total expenses on wages. This compares with HK$3. 3 billion a year caused by a minimum income of HK$28 an hour. ). The increase in labour expense might detrimentally affect the buyers since employers might decide to shift the purchase price burden to consumers by increasing the cost of goods and services. intended for consumers. Likewise, as a service-oriented economy, they presume that this coverage is certainly not applicable in Hong Kong because service industrial sectors require more labor force and time. (can mention regarding the usefulness of the rendering of normal working hours.

How it might not become enforceable in most industries with certain characteristics of work) Besides, the free and open economic system in Hong Kong has long been attracting foreign expense. Multi-national businesses are attracted to set up their particular business in Hong Kong as a result of free market and the non-regulated economy. While using implementation of standard functioning hours beyond the statutory lowest wage, the bigger labour price and regulated economic environment may possibly deter the inward expense of MNCs, potentially causing an increase in joblessness in Hong Kong.

MNCs may possibly choose to create their organization in other countries with relatively reduce labour cost, less polices and more incentives (tax-free). Advice to the implementation of this insurance plan legislate standard working hours This policy should strike a balanced profit between organisations and workers. In order to hit non-paid overtime malpractice, it really is inevitable to obtain standard doing work hours. Yet, the main matter is to arranged a modest level of doing work hours to protect employers’ curiosity.

Pro-democrats necessitate the level of 40-44 hours weekly. Yet, from the survey simply by SCMP, the standard working hours in Hk is forty seven. 7 a week. So , setting 47-48 several hours per week is usually fair to both sides. The government may consider having analysis and common sense of optimum level annually for making that acceptable pertaining to both sides. Reference: http://hklawblog. com/2012/11/29/should-hong-kong-implement-standard-working-hours/