change to employment contract

Posted by gojo (442 days ago)

I have been working for my company for 5.5 years, over this time I have had several contract reviews which I have signed and worked by.
However I was sent a letter from the Director stating a change to my working hours and pay which in fact leaves me on less money than I'm on now. So if fact a pay cut, I have not signed any contract to agree to this change but they are insisting that if they want to change my contract they can and if I dont like it tough I can resign. I feel really angry at this kind of treatment as I have been a good loyal employee for all these years. Is what they are doing actually legal? Is there any thing I can do apart from leaving and finding work else where. I have lived in Hong kong for 11 years.

(I am based in Hong Kong)

Posted by TC (441 days ago)

If you are on a contract-to-contract basis then it amounts to a new contract, and they are free to offer you whatever they wish. Of course you are equally free to negotiate. And they are free not to negotiate. Sounds both tough and a tad unusual (or maybe not). Apart from sitting down and talking to them I'm not sure there's a whole lot you can do. And if you do leave then make sure you are paid the long service or severance pay (whichever one applies in your situation) entitlement. Good luck.

(I am based in Hong Kong)

Posted by gojo (439 days ago)

If I decided to leave and work else where, what is the legal requirment for them to pay me long service or severance pay? Will I be entitled if I resign? How does the payment work? Percentage of pay per year?

(I am based in Hong Kong)

Posted by Claire (439 days ago)

Severance pay is paid if you are dismissed by reason of redundancy or are laid off.

Long service pay is paid if you are: dismissed by reason other than serious misconduct or redundancy; are certified by a registered medical practitioner as permanently unfit for the present job and you resign; are aged 65 or above and you resign; or if you die in service.

So, if you resign you will not be eligible for severance pay.

Although you would not be eligible for either, the calculations are the same for both.

For monthly-paid employees it is 2/3 of monthly wages (not to exceed $22,500) X reckonable years of services.

BTW, if the company is changing terms of services and reducing wages, you might want to check the financial/business situation of the company.

(I am based in Unspecified)

Posted by TC (439 days ago)

The details can be found in the following publication (Chapter 10):
http://www.labour.gov.hk/eng/public/ConciseGuide.htm

(I am based in Hong Kong)