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Employment law
Hong Kong employment law is broadly similar to English employment law but is less regulated, and there are some significant differences that employers need to be aware of when operating in this jurisdiction. Employment law in Hong Kong is governed primarily by the Employment Ordinance, which applies to all employees (with limited exceptions, such as family members in small businesses) and to secondees on foreign employment contracts.2 There is no at-will concept in Hong Kong, and employment is contractual and must be terminated in accordance with contractual terms or as otherwise provided by law.
i Confidential information
Hong Kong law recognises and protects trade secrets and confidential information, but information that is public or that forms part of an employee's own knowledge is generally not protected. The duty of fidelity or fiduciary duties will protect an employer during an employment relationship, but it is recommended that contractual provisions or a non-disclosure agreement are used to expressly protect company property (including information) during the post-employment period.
ii Corporate transfers
There is no automatic right of transfer in Hong Kong; therefore, employees must be dismissed by the seller and re-engaged by the buyer. Termination triggers the payment of statutory and contractual entitlements, including (if relevant thresholds are met) severance. In Hong Kong, the term 'severance' has a specific legal meaning...
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