FAR EASTERN UNIVERSITY

Institute of Accounts, Business and Finance

DEPARTMENT OF MANAGEMENT

Part 3e

The Country’s Environment – Political Aspect

GOVERNMENT
Hong Kong is a Special Administrative Region of the People's Republic of China.
Following British control from 1842 to 1997, China expected sway under the 'one
nation, two frameworks' rule. The Hong Kong Special Administrative Region's sacred
record, the Basic Law, guarantees that the current political circumstance will stay
basically for a long time. The rights and opportunities of individuals in Hong Kong
depend on the fair-minded control of law and an autonomous legal.
 Head of Government: Chief Executive
 Cabinet: Executive Council
 Legislature: Legislative Council, 70 seats
 Highest Court: Court of Final Appeal

POLITICAL/LEGAL STRUCTURE

The Hong Kong Special Administrative Region of the People’s Republic of China

Form of state

Exceptional managerial locale of China, with its own particular small scale constitution (the
Basic Law), ensuring "a high level of independence" until 2047. Managed by a Chief
Executive, whose arrangement is unequivocally impacted by China.

Local Government

Locale sheets were renamed region chambers after the 1999 races. Neighborhood
government city boards (urban and local) were abrogated in no time a short time later. The
forces of the metropolitan committees were held by government offices, with just little
increments in the financial plans of the warning and somewhat selected region boards

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2ND Semester – SY 2017 – 2018
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 FAR EASTERN UNIVERSITY
Institute of Accounts, Business and Finance
DEPARTMENT OF MANAGEMENT

Legal system

Based on English law and the Basic Law.

Head of state

Xi Jinping, president of the People’s Republic of China

Main political parties

The pro-government Democratic Alliance for the Betterment and Progress of Hong Kong
(DAB) is the largest party in Legco, with 13 seats. The pro-business Liberal Party (LP) has five
seats and the pro-government Hong Kong Federation of Trade Unions has six.
The pro-government Business and Professionals Alliance for Hong Kong has seven seats.
The pro-democracy camp holds 27 of Legco’s 70 seats, including six held by the Democratic
Party (DP) and six by the Civic Party (CP). The pro-independence Hong Kong National Party
was founded in March 2016

Chief executive: Leung Chun-ying

Chief secretary for administration: Carrie Lam

Financial secretary: John Tsang

Justice secretary: Rimsky Yuen

Principal officials

Civil service: Clement Cheung

Commerce & economic development: Gregory So

Constitutional & mainland affairs: Raymond Tam

Development: Paul Chan

Education: Eddie Ng

Environment: Wong Kam-sing

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 FAR EASTERN UNIVERSITY
Institute of Accounts, Business and Finance
DEPARTMENT OF MANAGEMENT

Financial services & the Treasury: Ceajer Chan

Food & health: Ko Wing-man

Home affairs: Lau Kong-wah

Labour & welfare: Matthew Cheung

Security: Lai Tung-kwok

Transport & housing: Anthony Cheung

Chief executive of the Hong Kong Monetary Authority

Norman Chan

EMPLOYMENT/LABOR LAWS

Employment Ordinance

The Employment Ordinance is the principle bit of enactment representing states of

work in Hong Kong. Since its authorization in 1968, the advantages accommodated
under the Ordinance have been generously moved forward. It includes the following
protection and benefits.

 Wage Protection
 Rest Days
 Holidays with Pay
 Paid Annual Leave
 Sickness Allowance
 Maternity Protection
 Statutory Paternity Leave
 Severance Payment
 Long Service Payment
 Employment Protection
 Termination of Employment Contract
 Protection Against Anti-Union Discrimination

Employment Agency Regulations

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 FAR EASTERN UNIVERSITY
Institute of Accounts, Business and Finance
DEPARTMENT OF MANAGEMENT

The Employment Agency Regulations made under the Employment Ordinance

 Every employment enterprise is required to apply for a licence from the Labour
Department before task any job placement business.
 An application for the difficulty of a licence must be made to the Commissioner
for Labour in the prescribed form at least one month earlier
than the commencement of business.

 A licence is valid for 12 months from the date of issue and application for
renewal has to be made not later than two months before its expiry.

 The most commission which may be obtained with the aid of an

employment corporation from a job-seeker should not exceed 10% of the job-
seeker's first month's wages he obtained after he has
been successfully positioned in a job.

 Any corporation failing to comply with the necessities of the law is liable to
prosecution and revocation of licence.

Employment of Children Regulations

 Children aged below 15 are prohibited from working in all industrial undertakings.
 Children aged 13 and 14 may additionally be employed in non-industrial
establishments, difficulty to the condition that they attend full-time training if they
have not yet completed Form III of secondary schooling and to different stipulations
which purpose at defending their safety, fitness and welfare.
 Children aged underneath 13 are prohibited from taking up employment. However,
for the functions of art and training, the Commissioner for Labour might also supply
specific permission for teens to be employed as entertainers, difficulty to sure
stringent prerequisites as the Commissioner may specify .

Employment of Young Persons Industry rules

Employment of Young Persons (Industry) rules created underneath the utilization

Ordinance regulate the hours of labor and therefore the general conditions of
employment of young persons in industrial undertakings. A spring chicken means that
someone of or over the age of fifteen years however underneath the age of eighteen
years. Major provisions of the rules area unit :

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 FAR EASTERN UNIVERSITY
Institute of Accounts, Business and Finance
DEPARTMENT OF MANAGEMENT

Working time restrictions for young persons utilized in industrial undertakings:

Maximum operating hours and dealing days

working hours

a day 8 hours

(between seven a.m. and 7 p.m. only)

working hours

a week 48 hours

working days

a week 6 days

maximum amount of continuous work 5 hours followed by associate degree interval of

not but 0.5 associate degree hour for meal or rest

A notice specifying the operating hours and day of rest arrangement of the young
persons and vetted by the Labour Department ought to be announce up in an
exceedingly conspicuous place within the geographical point

Change of permissible operating hours and rest days isn't allowed unless previous notice
has been served on the Commissioner for Labour forty eight hours before the planned
modification

Overtime employment, night work and dealing on rest days and statutory holidays area
unit prohibited

Underground add mines and quarries or in industrial undertakings involving tunnelling

operations, and carrying hundreds immoderately serious for the young person's age and
physical development area unit prohibited

Employment of young persons in any dangerous trade is prohibited.

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 FAR EASTERN UNIVERSITY
Institute of Accounts, Business and Finance
DEPARTMENT OF MANAGEMENT

Employment Law In Hong Kong

Employment law is a covers a huge vary of topics. These encompass and are no longer
restricted to, things regarding the employment contract, discrimination at work
(including race, sexual and age discrimination), unequal pay, harassment at work,
unlawful deduction of wages, mobility clauses (including your vicinity of work),
pregnancy leave, statutory holidays, minimum wage, fitness and safety, rights at work,
references, and the dismissal and termination of employment.

Employees should be entitled to a contract of employment which must specify your

rights. Your employment contract cannot take away rights that have been conferred by
way of law.

The Minor Employment Claims Adjudication Board (MECAB) set up under the Minor
Employment Claims Adjudication Board Ordinance deals with minor employment claims.
MECAB is empowered to adjudicate employment claims involving no longer extra than
10 claimants for a sum of money not exceeding HK$8,000 per claimant. The Labour
Tribunal offers with all other employment disputes.

The organisation is entitled to brush aside except notice if an worker willfully disobeys
lawful or reasonable orders; is responsible of misconduct; is guilty of fraud, dishonesty
or negligence of duties. Damages for the wrongful termination of contract is the amount
of wages that would have gathered at some point of length of notice. The employee may
also also terminate except be aware on grounds consisting of concern of physical
danger; being completely unfit and difficulty to ill-treatment by using employer.

An employee under a continuous contract is entitled:

1. End of year payment equal to one month's salary
2. Sickness allowance
3. Paid leave for public holidays.

An employer is liable to pay compensation for:

1. Personal injury by accident or contraction of occupational disease or
2. Death arising out of or in course of employment.

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 FAR EASTERN UNIVERSITY
Institute of Accounts, Business and Finance
DEPARTMENT OF MANAGEMENT

CURRENT POLITICAL/LEGAL TREND

The former British colony grew to become a specific administrative location of China in
1997, when Britain's 99-year hire of the New Territories, north of Hong Kong island, expired.
Hong Kong is governed under the principle of "one country, two systems", under which
China has agreed to give the place a high degree of autonomy and to keep its financial and
social systems for 50 years from the date of the handover.
But Beijing can veto modifications to the political system, and pro-democracy forces have
been frustrated by means of what they see as the sluggish pace of political reform.

The politics of city takes place in an exceedingly framework of a social group dominated by
its quasi-constitutional document, the city Basic Law, its own assembly, the Chief
government because the head of presidency and of the Special body Region and of a multi-
party system. government power is exercised by the govt..

On one Gregorian calendar month 1997, sovereignty of city was transferred to China (PRC),
ending over one and a 0.5 centuries of British rule. city became a Special body Region (SAR)
of the Asian country with a high degree of autonomy altogether matters except foreign
affairs and defence, that square measure responsibilities of the Asian country government.
consistent with the Sino-British Joint Declaration (1984) and also the Basic Law, city can
retain its political, economic and judicial systems and distinctive means of life and still
participate in international agreements and organisations as a dependent territory for a
minimum of fifty years when retrocession. for example, the International Olympic
Committee recognises city as a collaborating dependency below the name, "Hong Kong,
China", break free the delegation from the People's Republic of China.

The economic expert Intelligence Unit has rated city as "flawed democracy" in 2016

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 FAR EASTERN UNIVERSITY
Institute of Accounts, Business and Finance
DEPARTMENT OF MANAGEMENT

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