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������ Guidebook on Good People Management of Practices the Management Property Industry Produced by: Tripartite Committee on the Property Management Industry Workplace Consultation Promotion Division, Labour Department

Transcript of Guidebook on Good People Management of the … on . Good . People Management Practices of the ....

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Produced by:

Tripartite Committee on the Property Management Industry

Workplace Consultation Promotion Division, Labour Department

Contents of the Guidebook

Foreword 2

Recruitment and Selection 4

Staff Training and Development 7

Employer-Employee Communication 13

Employment Terms 18

Useful Contacts 25

1

Foreword

The property management industry of Hong Kong always strives for

professional excellence and advancement to provide quality service

to its clients. Many employers of the industry realize that establishing

partnership with employees is key to enhancing their service quality and

competitiveness. Thus, many enterprises have implemented a wide array

of good people management practices to build an efficient and effective

workforce.

In an effort to enhance the labour relations of the property management

industry, members of the Tripartite Committee on Property

Management Industry agreed to produce this guidebook to consolidate

major points-to-note and examples of good people management practices

of the industry in respect of recruitment and selection, staff training and

development, employer-employee communication and employment terms

for reference of establishments of the industry.

Given the vast coverage of people management and the many good

practices adopted by employers of the property management

industry, we could hardly cover all of them. Notwithstanding this, we

have made every effort to list out some good examples and it is hoped

that the points-to-note and examples illustrated in this guidebook could

stimulate employers and practitioners of the industry to implement good

people management practices.

The members of the Tripartite Committee are as follows (in

alphabetical order):

Employers’ Associations

The Hong Kong Association of Property Management Companies Ltd

Employees’ Trade Unions

Building Supervisors & Caretakers Union

Hong Kong Building Management and Security Workers General Union

Hong Kong Housing Management Employees Union

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Property Management Administrative and Clerical Staff Association

The Hong Kong General Union of Security & Property Management

Industry Employees

Professional Body

Hong Kong Institute of Housing

Employer Organizations

EastPoint Property Management Services Ltd

First Pacific Davies Property Management Ltd

Goodwell Property Management Ltd

Guardian Property Management Ltd

Hang Lung Development Co. Ltd

Hang Yick Properties Management Ltd

Hong Yip Services Co., Ltd

Hutchison Whampoa Properties

JLW Management Services Ltd

Kai Shing Management Services Ltd

Sino Administration Services Ltd

Swire Properties Management Ltd

Synergis Management Services Ltd

Urban Property Management Ltd

Well Born Real Estate Management Ltd

3

RECRUITMENT AND SELECTION

In today’s highly competitive market, engaging staff with quality and

appropriately matching them to the jobs are vital for enterprises to

have an edge over their competitors. Actually, the property management

industry encompasses a variety of specialties. People engaged in the

industry need to possess a variety of expertise and high level of skills to

be able to effectively manage the properties and facilities to meet the

escalating expectation of customers.

Major Points-to-Note – Recruitment

atching suitable employees for the job is the first step of Mrecruitment. To attract and secure the best suitable candidates, an

employer should, before the actual recruitment exercise:

�  Conduct job analysis to identify the job requirements and necessary

attributes of the applicants.

�  Draw up the job specifications objectively and precisely, and list

out the tasks, responsibilities and terms and conditions of

employment, as well as the qualifications for assuming the post.

�  Decide on the recruitment mode and scale and the assessment

content according to the qualities of the talent required.

Major Points-to-Note – Selection

In the course of preliminary screening and deciding on who is the most

suitable candidate, an employer should:

�  Adopt a set of standardized selection criteria to assess the

capabilities of the applicants so as to reduce prejudice and avoid

discrimination.

�  Solicit from the applicant only essential information pertaining to

the selection and refrain from making unnecessary enquiries, in

order not to give an impression of discrimination against the

applicant.

�  Abide by the Personal Data (Privacy) Ordinance and keep the

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employees’ particulars in confidence.

�  Review and re-assess the recruitment and selection methods on a

regular basis so as to ensure that they meet the need of the jobs.

�  Ensure that recruitment and selection are conducted by appropriate

and competent people or by human resources management staff or

the supervisory staff of the department of vacant post whenever

necessary.

To attract more talent so that the most suitable employee could be

selected, an employer should observe the principles of equal

employment opportunities and let the job seekers and employees:

�  Compete on equal terms based on their abilities, competencies and

knowledge.

�  Not be discriminated on grounds of sex, marriage status, pregnancy,

age, family responsibilities, race, nationality or religion.

By so doing, an employer would not only gain the trust and respect

from the employees, but also cultivate in them a sense of belonging

and work enthusiasm.

Examples of Good People Management Practices of the Property

Management Industry

�  Many property management companies conduct job analysis to

identify the job requirements of the post before recruitment. They

also select job seekers basing solely on whether their education

level, work experience and job skills match the job requirements in

accordance with the principle of fairness and equal pay for equal

work.

�  Many employers of the industry draw up guidelines to set out

clearly the procedures for recruitment, selection and interview, the

level of personnel to conduct interviews, make engagement

decision, determine wage level and the person responsible for

review. The employers also review and revise the guidelines

regularly to ensure that they suit the changing needs of the

company.

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�  Some employers provide training to staff responsible for

recruitment to make sure that they select job seekers according to

their working capabilities and the principle of fairness.

�  Quite a number of property management companies have already

adopted a fair policy. Some of them even state it clearly in their

employees’ handbook that their policy is: “striving to prevent and

eliminate any discrimination or harassment basing on someone’s

disabilities, family status, gender, martial status or pregnancy and

to provide every employee with a working environment of equal

opportunities and that is discrimination-free”.

Good People Management Practices Checklist

In the process of recruitment and selection, have your company…..

�  Conducted job analysis to identify the job requirements and

necessary attributes for taking up the vacant post?

�  Provided precise information on the job requirements so as to

allow job seekers to get hold of the relevant information and make

sure they meet the relevant requirements?

�  Decided on the recruitment and selection methods and designed

assessment details according to the requirements of the post?

�  Adopted a set of standardized selection criteria to assess the

capabilities of the applicants and ensured that the criteria contain

no prejudice or discrimination elements?

�  Ensured that information obtained from the applicants and the

interview questions contain no discrimination elements and the

information is handled in accordance with the Personal Data

(Privacy) Ordinance?

�  Reviewed the recruitment and selection methods on a regular basis

and made sure that they are conducted by appropriate personnel so

as to match with the corporate development direction and strategy?

6

STAFF TRAINING AND DEVELOPMENT

To meet the rising expectation of customers on the quality of property

management service, the property management industry always

works towards professional development and excellence. Employees in

the trade have to equip themselves with knowledge on different aspects,

e.g. management, finance, legal matters, information technologies,

customer service, etc. Property management staff can also raise their

professional standard through participating in the trade skills test and

training courses recognized by the industry and promulgated by the

government.

In fact, many employers of the property management industry realize

that proper nurturing of employees and letting them excel in their post

is not only beneficial to the individual staff, but can also enhance the

service quality and sharpen the competitive edge of the company.

Therefore, quite a number of property management companies place great

emphasis on devising training policy and plan.

Major Points-to-Note

�  To enable employees to better fit into their jobs and the corporate

culture, training provided by employers to employees should

include:

�  Proper induction training to familiarize with the company’s

operations, working environment, workflow, company policy

as well as rights and obligations of employees themselves.

�  Other work-related training to top up the employees who have

less exposure in terms of education, training and experience in

the past.

�  Training on occupational safety and health.

�  Retaining the talent and sustaining their enthusiasm at work is

indispensable to the continuous development of the company. To

achieve this, an employer should offer continuous training to

employees so as to enhance their job-related skills and knowledge

and provide them with development opportunities. 7

�  To ensure the training is effective, an employer should assess the

training needs of employees, which are mainly based on –

�  Forthcoming job responsibilities that require new skills.

�  Problems arose from work performance.

�  Skills and career development.

�  An employer should also provide employees with the latest training

information, allocate resources effectively and provide assistance

whenever and wherever necessary, e.g. arrange employees to attend

on-the-job training during duty hours if possible, subsidize and

encourage employees to take up training courses after work.

�  Whenever training opportunities arise, an employer should make

sure employees are considered fairly and adopt objective and set

standard when selecting the attendants.

�  Collect employees’ views on the training courses and assess the

effectiveness of the training schemes regularly to facilitate making

the necessary improvement and adjustment.

Examples of Good People Management Practices of the Property

Management Industry – Induction Training

�  Many property management companies assign training officers or

staff of the human resources department to provide professional

training courses to familiarize new recruits with the company’s

background, structure, performance pledges, staff rights and

benefits, duties and obligations, etc. so as to help them adapt to

the new working environment.

�  To highlight the management’s concern for employees and to

increase employees’ work enthusiasm and sense of belonging,

some companies arrange sessions for members of senior

management to brief new recruits on the development direction,

policy and internal and daily operation of the company.

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�  Before newly recruited security guards formally take up their

duties, quite a number of employers arrange them to attend internal

training courses to increase their knowledge on security work and

the Security and Guarding Services Ordinance.

Examples of Good People Management Practices – On-the-job

Training

�  Apart from induction training, most property management

companies regularly organize in-house training courses and

workshops to help their employees enhance their work knowledge

and skills.

�  To cater to the needs of employees in respect of knowledge,

service attitudes and skills, these courses touch upon different

aspects. For example, besides courses as required by the

government such as security guard training, fire prevention and

safety, Prevention of Bribery Ordinance, many companies also

provide training on computer usage, quality management,

ordinances related to property management, customer service,

language training, etc. These courses are taught by experienced

staff and whenever necessary, the employers will also engage

outside instructors.

�  Apart from in-house training, many property management

companies also encourage and subsidize employees to take

job-related courses offered by external bodies and related

examinations to continuously upgrade themselves and keep in

pace with the development and business needs of the company.

�  Some property management companies not only publicize their

training courses and activities through in-house publications, but

also set up in-house library, case study database, intranet, etc, to

help staff flexibly enrich their job skills and know-how.

�  Many employers of the industry conduct regular “staff training

questionnaire survey” to find out the training needs of employees

and organize the necessary courses. They also review the

effectiveness of the courses on a regular basis.

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�  Besides, some established employers of the industry request

supervisory staff of all levels to take note of and submit the

training and development needs of their subordinates. The

information will be given to the management or training team

which will work out the training objectives of the coming year,

after taking into account the different jobs and number of

employees involved. The human resource department will then

organize and arrange the training courses and timetable to suit the

development needs of individual employee and the business plan

of the company.

�  Most employers of the industry recognize the importance of

training and are willing to invest in grooming their employees.

Some employers even do not set any limit on training expenses

when budgeting. Besides, they also reserve a certain amount of

training subsidy for every employee annually.

Examples of Good People Management Practices of the Property

Management Industry – Staff Development

�  Many employers devote much to groom employees with potentials

to enhance their work knowledge and skills and expand their room

for development. This includes enrolling them to courses relating

to management techniques, total quality management,

enhancement of quality of customer service, etc, to equip them to

take up management duties later.

�  Some established companies arrange mentor scheme for

supervisory staff with good potentials. Senior management staff are

assigned to be the mentors and the mentees will be arranged to

perform a wide range of management tasks so as to increase their

management experience and exposure and pave way for

succession.

�  Many employers arrange regular job rotation for staff to try work

of different levels and natures and help them excel in their

personal career.

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�  Quite a number of property management companies accord priority

to internal staff when vacancies of promotional ranks arise to give

employees more room for development. Selection criteria for

promotion are based on an employee’s job performance, attendance

record, interpersonal relationship and whether he possesses the

knowledge and skills required at the promotional rank.

�  Property management is a service industry, many employers

cultivate team spirit and a service spirit among employees

through establishing partnership with them, such as inviting staff

of different ranks to participate in setting up the company’s yearly

work focus, e.g. fire prevention, cleaning, environmental

protection, etc.

�  Since property management places great emphasis on providing

quality service to its customers, many employers of the industry

publish “customer service handbook” to provide their employees

with a benchmark for quality customer service.

�  As property management industry is heading towards more

professional development, it needs talents from various

disciplines to enhance its service level. Many employers of the

industry collaborate with the Employees Retraining Board to

provide courses that suits the need and development of the

industry. Some companies not only send representatives to be the

course advisors but also arrange their staff to teach the courses or

provide internship or employment opportunity to the course

participants. This results in a win-win scenario: course

participants with wide social experience could turn a new page in

their career life while the industry is blessed with the required

new talents.

�  Many property management companies organize regular

“experience-sharing meetings” for building managers to exchange

tips and experience in handling different incidents. Besides, they

also encourage staff to actively participate in committees or

working groups on service and quality improvement in order to

enrich their work know-how and skills.

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Good People Management Practices Checklist

�  Does your company provide new recruits with:

� Induction training?

� Mentor scheme?

� On-the-job training?

� Job safety and health training?

�  When devising training plans and projects, does your company:

� Assess the training needs of employees?

� Provide employees with training to help them with their career

development?

� Take into account whether the plans align with its

development direction and strategy?

�  In arranging or recommending employees to undergo training, does

your company ensure employees with different educational and

skills level and age receive the same training opportunities?

�  Does your company collect views of employees on training courses

and evaluate the effectiveness of these courses regularly and revise

them where necessary?

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EMPLOYER-EMPLOYEE COMMUNICATION

The property management industry is a service industry. Many

employers of this industry understand that in order to provide

customers with quality and cost-effective service, apart from recruiting

and nurturing talents, it is equally important to retain them through good

communication and proper commendation. Since most of their employees

are deployed to different workplaces and work on shift duties, many

companies set up various communication channels and mechanism to

strengthen communication with them. The company can then get a grip

on the employees’ needs while disseminating to them the company’s

development plans and strategy in the speediest manner. This helps

reduce misunderstandings between management and employees and

establish mutual trust. Furthermore, many employers place great

emphasis on enhancing employees’ work enthusiasm through

commending and rewarding them, thus building up a highly motivated,

dedicated and efficient customer service team.

Major Points-to-Note

To formulate effective employer-employee communication, an

employer should take note of the followings –

� An employer should be prepared to communicate with and consult

employees on any changes affecting them, such as alteration of work

schedule and procedures or issues pertaining to the employment.

� An employer should also consult, if any, staff associations, trade

unions or joint consultative committees.

� Effective employer-employee communication should possess the

following features -

♣ Support from both senior managerial staff and general

employees.

♣ Information to be communicated should be objective, clear and

concise.

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♣ Regular and systematic.

♣ Bilateral communication to ensure free exchange of views.

� An employer should review the employer-employee communication

mechanism and channels regularly to make sure they are effective.

Examples of Good People Management Practices of the Property

Management Industry – Communication Channels

�  Many property management companies make use of their in-house

publications to publicize the work of staff of different job natures

and to acknowledge and commend outstanding performance of

employees. Staff are also welcome to contribute articles to these

publications. This fosters bilateral communication between

management and employees, increases mutual understanding as well

as reduces unnecessary disputes.

�  As employees are deployed to work in different locations, some

employers arrange building supervisors to attend the various work

locations to explain every circular to the staff to ensure that

messages be put across clearly to every employee. Besides, some

companies designate a staff of officer rank in every estate / building

to collect views of staff working in that estate / building and report

them directly to the human resource department.

�  Many established companies communicate with staff of all levels

and collect their views on work environment, conditions of

employment, training and promotion opportunities through

questionnaires, informal gatherings, etc.

Examples of Good People Management Practices of the Property

Management Industry – Rewarding Schemes

�  Some property management companies organize different

suggestion schemes regularly to encourage employees to suggest

ways on improving the environment, cost-effectiveness, customer

service, tapping new resources and reducing expenses, etc.

Through these schemes, employers can strengthen communications

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with employers, inculcate their commitment and arouse their

awareness on enhancing service quality. For example, in one

company, an employee suggested measures to reduce the use of

electricity. This would not only reduce the expenses of the property

and help protect the environment but also encourage employees to

find ways to increase the productivity and competitiveness of the

company.

�  To motivate and commend outstanding employees for their

continuous effort in improving their performance, many employers

launch a wide range of reward schemes such as “Best Employee”,

“Best Security Guard”, “Best Technician” or other service awards.

Apart from individual employee, the employers also commend

teams with outstanding performance with awards like “Best

Building Management”, “Best Managed Property”, “Best Quality

Circle Proposal”, etc. These help boost the team spirit of

employees and their sense of belonging to the company.

�  Apart from awards, property management companies also use other

channels to commend employees with outstanding performance.

These include publicizing the story of the awardees in their

in-house publications and commendation letters given to

employees by customers, District Councilors, Police, Fight Crime

Committee, etc.

Examples of Good People Management Practices of the Property

Management Industry – Bilateral Communication

�  Many property management companies conduct employees

opinion survey every year to collect employees’ views on

property/divisional operation, remuneration & promotional

prospect, personnel & benefits system, working environment &

facilities, training & development, uniforms, etc. After studying

and following up on the collected data, the companies work out

resolution measures/plans and announce them through in-house

publications and various communication channels. If employees’

requests could not be met, the employers would explain the

reasons behind to make sure that the employees understand the

company’s stance and avoid misunderstanding.

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�  Quite a number of companies let employees get to know the

company’s policies and development as well as express their

opinions through the intranet. The Management will also take the

initiative to explain the reasons and objectives of the policies and

accept the feasible suggestions.

�  To enhance communication between employees and the company

and among employees, many property management companies set

up different committees such as quality management committee,

staff activities committee, quality improvement committee,

security and project staff group, etc. Through these committees,

employees can exchange work experience with one another and

reflect their views to the company. This not only let them know

that the company place much importance on their views thus

cultivate job satisfaction and sense of belonging but also helps the

company improve its service quality.

�  Some enlightened employers of the industry consult their staff

before setting the company’s objectives and mission or corporate

culture. Once the mission, objectives or policy is set, the

companies inform them to all staff in different manners to ensure

all levels of staff understand the development direction of the

company and work together to achieve good result.

Examples of Good People Management Practices of the Property

Management Industry – Management Commitment

�  The managing director of a property management company set

aside one day every week to meet staff of all levels to share with

them their work experience and ups and downs. He also announces

through in-house publications the follow-up actions taken on the

opinions reflected by employees and explains the reasons behind if

staff’s suggestions could not be implemented.

�  Directors of some companies pay regular visits to various buildings

to communicate directly with the staff and get a grasp of the

difficulties they encountered in their daily work and listen to their

suggestions.

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�  Many companies set up committees of various function areas that

are composed of directors, managerial staff and employees of

different levels. Through these committees, the company can

collect views from staff directly on human resource and

development, industrial safety, building operation, quality

monitoring and environment protection. Team spirit is also

strengthened as staff can get to know the operation of the company

more clearly.

Good People Management Practices Checklist

�  Has your company set up effective mechanism to collect the views

and suggestions of staff?

�  Are all staff of your company aware that they can express their

opinions through the relevant mechanism?

�  Do your company ensure that views and suggestions collected from

staff will be followed-up and the relevant results or responses are

announced openly to them?

�  Do senior managerial staff and general employees support the

existing communication machinery of our company?

�  Are the existing communication channels of your company able to

encourage effective and open bilateral communication between

management and staff?

�  Does your company regularly evaluate the effectiveness of the

communication policy and channels in force and assess if there is

any room for improvement?

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EMPLOYMENT TERMS

Agreeing on the conditions of employment is an important procedure

in the establishment of an employment relationship. Employers and

employees should be mindful of the following when negotiating and

agreeing on their conditions of employment:

� Employment-related ordinances, such as:

� Employment Ordinance (Cap. 57)

� Employees’ Compensation Ordinance (Cap. 282)

� Sex Discrimination Ordinance (Cap. 480)

� Disability Discrimination Ordinance (Cap. 527)

� Family Status Discrimination Ordinance (Cap. 527)

� Mandatory Provident Fund Schemes Ordinance (Cap. 485)

� Personal Date (Privacy) Ordinance (Cap. 486)

� Occupational Safety and Health Ordinance (Cap. 509) and

related ordinances

(It should be noted that the ordinances themselves remain the sole

authority for the provisions of the law explained. For details, please

browse Hong Kong e-Legislation (HKeL) at the homepage of the

Department of Justice at http://www.elegislation.gov.hk.)

� Set the wages at a reasonable level. This does not only attract and

retain outstanding talents but also helps sustain staff morale.

� Arrange appropriate numbers of work hours for employees to avoid

asking them to work long hours. Apart from having adverse impact

on the health of employees, working long hours will reduce their

work efficiency and productivity.

� The terms of an employment contract should not reduce the rights

and benefits conferred upon employees by the Employment

Ordinance. According to section 70 of the Employment Ordinance,

any term of an employment contract which purports to extinguish or

reduce any right, benefit or protection conferred upon the employee

by the Ordinance shall be void.

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Employment Ordinance – major points-to-note

Employment Ordinance is the major piece of legislation governing

conditions of employment in Hong Kong. According to the

Ordinance, employees are entitled to different protection and benefits.

This section sets out in simple terms some major provisions of the

Ordinance. For further information on the Ordinance, please refer to the

“A Concise Guide to the Employment Ordinance” published by the

Labour Department.

Provisions on wage payment and deduction of wages

All employees, be they full-time employees, part-time employees,

casual workers or substitute workers, and irrespective of their hours

of work, are entitled to wage protection under the Ordinance. Employers

should be mindful of the following:

� Pay wages to employees as soon as practicable but in any case not

later than seven days after the end of the wage period or the day of

termination of employment.

� An employer is prohibited from deducting wages from his

employees, except under the following circumstances:

(1) deductions for absence from work. The sum to be deducted

should be proportionate to the period of time the employee is

absent from work.

(2) deductions for damages to or loss of the employer’s goods,

equipment, or property by the employee’s neglect or default.

In any one case, the sum to be deducted shall be equivalent to

the value of the damage or loss but not exceeding $300. The

total of such deductions shall not exceed one quarter of the

wages payable to the employee in that wage period.

(3) deductions for the recovery of any advanced or over-paid

wages to the employee. The total sum to be deducted shall not

exceed one quarter of the wages payable to the employee in

that wage period.

(4) deductions of the value of food and accommodation the

employer supplies to the employee.

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(5) deductions, at the written request of the employee, in respect

of contributions to be paid by the employee through the

employer for any medical scheme, superannuation scheme,

retirement scheme or thrift scheme.

(6) deductions, with the employee’s written consent, for the

recovery of any loan made by the employer to the employee.

(7) deductions which are required or authorized under any

enactment to be made from the wages of the employee.

(8) deductions for outstanding maintenance payment owed by the

employee pursuant to the Attachment of Income Order issued

by the court.

�  Deductions under items (1) to (7) shall have priority over item (8).

Unless with the approval in writing of the Commissioner for

Labour, the total of all deductions, except those for absence from

work and outstanding maintenance payment, made in any one

wage period shall not exceed one half of the wages payable in that

period.

�  Employers should note that other than the statutory deduction items,

they are not allowed to deduct wages of employees under any other

names, such as uniform fee, training fee, administration fee, etc.

Granting of statutory benefits

�  Irrespective of their hours of work, employers should give 12 days

statutory holidays to their employees every year. If the employer

requires the employee to work on a statutory holiday, the employer

should give not less than 48 hours’ prior notice to the employee and

arrange an alternative holiday for the employee which should fall

within 60 days before or after the statutory holiday. If the employer

and employee agree, any day within 30 days before or after the

statutory or alternative holiday may be taken by the employee as a

substituted holiday.

�  An employee who is employed under a continuous contract (an

employee who has been employed continuously by the same

employer for four weeks or more, with at least 18 hours worked in

each week is regarded as being employed under a continuous

contract) is further entitled to the following benefits:

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� Statutory holiday pay (if the employee has been employed for

not less than three months immediately preceding a statutory

holiday).

� Not less than one rest day in every period of seven days. An

employer may substitute some other rest day with the consent

of the employee, in which case it must be within the same

month before the original rest day or within 30 days after it.

� Sickness allowance – if the employee has accumulated

sufficient number of paid sickness days and the sick leave

taken is not less than four consecutive days and supported by

an appropriate medical certificate.

When a female employee is absent from work to attend

medical examination in relation to her pregnancy, post

confinement medical treatment or miscarriage, any day on

which she is absent shall be counted as a sickness day and she

will be entitled to sickness allowance if she has accumulated

sufficient sickness days and provided appropriate medical

certificate.

� Maternity leave – a female employee is entitled to 10 weeks’

maternity leave if she has given notice of pregnancy to her

employer.

� Maternity leave pay – if the employee has been employed for

not less than 40 weeks immediately before the commencement

of scheduled maternity leave and has given notice of

pregnancy and her intention to take maternity leave to her

employer.

� Paid annual leave – an employee’s entitlement to paid annual

leave increases progressively from seven days to a maximum

of 14 days according to his length of service.

� Severance payment – if the employee has been employed for

not less than 24 months and is dismissed by reason of

redundancy or is laid off.

� Long service payment – if the employee has been employed

for not less than five years, and:

- is dismissed other than by reason of serious misconduct or

redundancy;

- resigns on ground of ill health;

- is aged 65 or above and resigns on ground of old age; or

- dies in service.

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Stipulation on termination of contract of employment

�  Except within the first month of probation, an employer or

employee has to give due notice or wages in lieu of notice to

terminate a contract of employment.

�  An employer may summarily dismiss an employee without notice

or payment in lieu of notice if the employee, in relation to his

employment:

� willfully disobeys a lawful and reasonable order;

� misconducts himself;

� is guilty of fraud or dishonesty; or

� is habitually neglectful in his duties.

�  Employers should note that summary dismissal is a serious

disciplinary action. It only applies to cases where an employee has

committed very serious misconduct or fails to improve himself

after the employer’s repeated warnings.

�  An employer shall not dismiss an employee under the following

circumstances:

� after a female employee has been confirmed pregnant and has

served a notice of pregnancy, except in cases of a summary

dismissal due to serious misconduct.

� whilst an employee is on paid sick leave, except in cases of a

summary dismissal due to serious misconduct.

� before having entered into an agreement with an injured

employee for employee’s compensation or before the issue of

a certificate of assessment.

�  Beside, an employer shall not dismiss an employee:

� by reason of his giving of evidence or information in any

proceedings or inquiry in connection with the enforcement of

labour legislation, industrial accidents or breach of work

safety regulations; or

� for trade union membership and activities.

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(It should be noted that the Employment Ordinance itself remains the sole

authority for the provisions of the law explained. Please refer to the

“Useful Contacts” for enquiries services.)

Examples of Good People Management Practices of the Property

Management Industry

�  Many property management companies understand the

importance of setting forth clear disciplinary policies. Apart from

establishing clear grievance and disciplinary procedures to ensure

fair and reasonable treatment for every employee, the companies

also post the relevant procedures in conspicuous places for the

notice of all staff.

�  Many employers of the industry do not resort to dismissal hastily.

Coaching and training are provided to staff with unsatisfactory

performance to help them improve. If a staff violates the

company’s rules of conduct and discipline, investigation team will

be appointed to handle the case independently. The team will give a

fair hearing to staff and handle the case in a fair, reasonable and

lawful manner and without discrimination.

�  Despite the keen competition of the industry, some property

management companies review and revise employees’ benefits

annually or regularly and provide conditions of employment to

employees that are better than that as stipulated in the Employment

Ordinance, for example:

� Some employers give their employees more days of paid

annual leave than the statutory 14 days maximum.

� Staff are entitled to six consecutive days paid marriage leave.

� Some employers grant three days paid compassionate leave

to employees on the death of their immediate family

members.

� Apart from statutory sickness allowance, some employers also

provide medical allowances to their employees.

� Some employers give their employees special rewards for

their wedding / newborn baby and donations to help with

funeral matters in cases of tragedy.

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�  These examples indicate that employers of the property

management industry not only understand and comply with their

liabilities under the Employment Ordinance but are also aware

that providing better benefits and protection to their employees

together with establishing clear and fair grievance and

disciplinary procedures are essential to enhancing staff morale

and team spirit.

Good People Management Practices Checklist

�  Has your company explain clearly to new recruits their conditions

of employment, such as wage rate and period, notice period for

termination of contract, etc before employment commences?

�  Has your company entered into written employment contract with

employees and give one copy of the contract to them for retention

and reference immediately after it is signed or validated?

�  Has your company made sure that the terms of employment

contracts comply with the law?

�  When taking out disciplinary actions, does your company:

� Set out the relevant procedures clearly?

� Make sure that all staff are aware of the relevant regulations

and procedures?

� Handle all cases according to the established rules and

procedures to ensure fairness treatment?

USEFUL CONTACTS

Labour Department • Homepage:http://www.labour.gov.hk• Interactive Employment Service : http://www.jobs.gov.hk• Enquiry Hotline:2717 1771 (the hotline is handled by “1823”)

Enquiry in person to Offices of the Labour Relations Division:http://www.labour.gov.hk/eng/tele/lr1.htm

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Other Organizations Equal Opportunities Commission • Tel. : 2511 8211• Fax: 2511 8142

Office of the Privacy Commissioner for Personal Data, Hong Kong • Tel.: 2827 2827• Fax: 2877 7026

Employees Retraining Board • Tel.: 2311 6306• Fax: 2314 2214

Mandatory Provident Fund Schemes Authority • Tel.: 2918 0102• Fax: 2259 8806