The Hong Kong Government announced last week that The Employment (Amendment) Ordinance 2020 (“Ordinance”) – passed by the Legislative Council on 9 July 2020 – will come into operation on 11 December 2020.
Under the Ordinance, statutory maternity leave will be extended by 4 weeks, to a total of 14 weeks. The maternity leave must be taken continuously.
Key Takeaways
1. Maternity Leave Eligibility
Female employees under a continuous employment contract for no less than 40 weeks will be eligible.
2. Confinement Date
If confinement commences before 11 December 2020, a female employee’s maternity leave period will remain at 10 weeks. If confinement commences on or after 11 December 2020, her entitlement will be extended to 14 weeks.
3. Maternity Leave Pay
Pay is to be calculated at four-fifths the daily average of the wages
earned by the employee.
The Hong Kong Government will reimburse employers for the cost of the additional 4-week leave, capped at HK$80,000, though details regarding how employers can apply for reimbursement for the additional 4-week maternity leave have yet to be announced by the Hong Kong Government.
4. Paternity Leave
Under the Ordinance, male employees will be able to take their statutory paternity leave within a 14 week period (instead of a 10 week period) if the child is born on or after 11 December 2020.
5. Internal Maternity Leave Policies
Employers should be prepared to update their maternity leave policies and
procedures in light of the Bill.
Click here to read our earlier maternity leave article detailing other important aspects under the Ordinance, including the revised definition of a miscarriage, and revisions regarding sickness allowance when employees attend medical appointments relating to their pregnancy.
Frequently Asked Questions
When should I start my maternity leave?
In Hong Kong, the general practice is that the employer and employee would agree upon the date of maternity leave commencement before the expected date of delivery of the child.
In the event the maternity leave date is not agreed upon, the employee shall commence her maternity leave 4 weeks before the expected date of delivery.
However, if the child is delivered before the expected date of delivery, maternity leave commences from the birth of the child.
Why is it important to have maternity leave?
Alongside boosting physical and mental health and enabling the crucial mother and child bond, maternity leave facilitates the integration of women in the workforce and builds an inclusive work culture.
Studies have shown that maternity leave is beneficial for employers as well because employees are more likely to experience increased morale, productivity, and commitment towards the workplace.
Furthermore, providing 14 weeks of maternity leave is a statutory requirement in Hong Kong.
What is statutory maternity pay?
It is a payment for the 14 weeks of statutory maternity leave. The daily rate of maternity leave pay is four-fifths of the employee’s daily average wages earned in the 12-month period immediately preceding the first day of the maternity leave.
The maternity leave pay for the 11th to 14th week is capped at HK$80,000.
When do maternity leave payment start?
The statutory maternity leave payments start from the day when the maternity leave commences. The payment is made on the normal payday of the employee.
DISCLAIMER: All material contained in this practice note is provided for general information purposes only and should not be construed as legal, accounting, financial or tax advice or opinion on any specific facts or circumstances and should not be relied upon in that regard. Gall accepts no responsibility for any loss or damage arising directly or indirectly from action taken, or not taken, which may arise from reliance on information provided in this practice note. You are urged to seek legal advice from an employment lawyer concerning your own situation and any specific legal question that you may have.