1974-HKRS28-16-22_Part05 — Page 12

Associated companies.

1965 c. 63, 6. 46.

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(4) For the purposes of the operation, in accor-; dance with subsection (3), of subsection (2) or (3) of section 31C in relation to an offer made by the new

owner-

(a) the offer shall not be treated as one whereby the provisions of the contract as renewed. or of the new contract, as the case may be, would differ from the corresponding provi sions of the contract as in force immediately before the dismissal by reason only that the new owner would be substituted for the previous owner as the employer; and (b) no account shall be taken of that substitution in determining whether the refusal of the offer was unreasonable.

(5) This section shall have effect (subject to the necessary modifications) in relation to a case where-

(a) the person by whom a business, or part of a business, is owned immediately before a change is one of the persons by whom (whether as partners, trustees or otherwise) it is owned immediately after the change; or (6) the persons by whom a business, or part of a business, is owned immediately before a change (whether as partners, trustees otherwise) include the person or one or more of the persons by whom it is owned immediately after the change,

as this section has effect where the previous owner and the new owner are wholly different persons.

(6) Nothing in this section shall be construed as requiring any variation of a contract of employment by agreement between the parties to be treated as constituting a termination of the contract.

31K. (1) Where the employer is a company, any reference in this Part to re-engagement by the employer shall be construed as a reference to re-engagement by that company or by any associated company, and any reference in this Part to an offer made by the employer shall be construed as including a reference to an offer made by an associated company,

(Cup 32.)

Implied or constructive termination of contract.

1963 2 69,

1. 22.

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(2) Subsection (1) shall not affect the operation of section 31) in a case where the previous owner and the new owner (as defined by that section) are associated companies; and where that section applies. subsection (1) shall not apply.

(3) Where an employee is dismissed by his employer, and the employer is a company (in this subsection referred to as "the employing company”) which has one or more associated companies, then

if

(a) none of the conditions specified in section

31B(2) is fulfilled;

(b) one or other of those conditions would be fulfilled if the business of the employing company and the business of the associated company (or, if more than one, cách of the associated companies) were treated as to- gether constituting one business,

that condition shall for the purposes of this Part be taken to be fulfilled in relation to the dismissal of the employee.

(4) Where an employee of a company is taken into the employment of another company which, at the time when he is taken into its employment, is an associated company of the first-mentioned company. bis period of employment at that time shall count as a period of employment with the associated company, and the change of employer shall not break the con- tinuity of the period of employment.

(5) For the purposes of this section two com- panies shall be taken to be associated companies if one is a subsidiary of the other, or both are sub- sidiaries of a third company, and "associated com- pany" shall be construed accordingly.

(6) In this section "company" and "subsidiary" have the meanings respectively assigned thereto by sections 2 and 126 of the Companies Ordinance.

311 (1) Where in accordance with any enact- ment or rule of law-

(c) any act on the part of the employer; or (b) any event affecting an employer (including. in the case of an individual, his death),