XN000022-1994-11-11 — Page 13

11

FRIDAY, NOVEMBER 11, 1994

ON

ON THE OTHER HAND, IN ORDER TO CUSHION THE FINANCIAL IMPACT

YEARS EMPLOYERS, ONE HALF OF AN EMPLOYEE'S SERVICE OVER AND ABOVE 24 ACCRUED BEFORE THE AMENDMENT BILL COMES INTO OPERATION WILL BE RECOGNISED IN CALCULATING SP/LSP.

"THIS IS A FURTHER IMPROVEMENT TO THE ENTITLEMENT OF LONG SERVING EMPLOYEES AS THE PREVIOUS BILL WHICH WAS INTRODUCED INTO LEGCO LAST DECEMBER ONLY PROPOSED THAT HALF OF AN EMPLOYEE'S SERVICE 18 YEARS SHOULD BE COUNTED," THE SPOKESMAN SAID.

BEYOND

SP

WAGES

OF

12

LEAVING

THE

HE EXPLAINED THAT AT PRESENT, AN EMPLOYEE'S ENTITLEMENT TO

MONTH'S AND LSP WAS CALCULATED AT THE RATE OF TWO-THIRDS OF A FOR EACH

MAXIMUM YEAR'S

ENTITLEMENT SERVICE, SUBJECT TO A MONTHS' WAGES EARNED IMMEDIATELY PRECEDING THE DATE OF JOB, OR $180,000, WHICHEVER WAS THE LESS.

THIS ARRANGEMENT HAS THE EFFECT OF LIMITING THE RECKONABLE SERVICE OF AN EMPLOYEE TO 18 YEARS.

THE CEILING OF 12 MONTHS' AGGREGATE WAGES HAS BEEN IN EXISTENCE SINCE THE INTRODUCTION OF SP AND LSP IN 1974 AND 1986 RESPECTIVELY.

IN 1974, THE RATE OF CALCULATING SP WAS SET AT ONE-THIRD OF MONTH'S WAGES FOR EVERY YEAR OF SERVICE.

THIS RATE WAS SUBSEQUENTLY INCREASED TO ONE-HALF OF A WAGES IN 1977 AND TO TWO-THIRDS OF A MONTH'S WAGES IN 1984.

CORRESPONDINGLY,

RECKONABLE SERVICE WAS REDUCED YEARS TO 24 YEARS IN 1977 AND TO 18 YEARS IN 1984.

THE

A

MONTH'S

FROM 36

BILL

ON DECEMBER 15 LAST YEAR, THE EMPLOYMENT (AMENDMENT)(NO.2) BILL WAS INTRODUCED INTO THE LEGISLATIVE COUNCIL. HOWEVER, THE AMENDED AT THE COMMITTEE STAGE, WAS DEFEATED AT ITS THIRD ON JULY 6 THIS YEAR.

1993 AS

READING

BOARD

THE ADMINISTRATION, AFTER CONSULTING THE LABOUR ADVISORY (LAB) HAS PROPOSED FURTHER IMPROVEMENTS TO THE REVISED LEVEL OF SP AND 1SP AS PROPOSED IN THE PREVIOUS BILL.

THE BILL ALSO SEEKS TO REMOVE CERTAIN MATERNITY LEAVE UNDER THE EMPLOYMENT ORDINANCE.

ORDINANCE

AMBIGUITIES

REGARDING

HAS

BEEN

PROVIDES THAT A FEMALE EMPLOYEE WHO THE EMPLOYED BY THE SAME EMPLOYER UNDER A CONTINUOUS CONTRACT FOR A PERIOD WHICH OF NOT LESS THAN 26 WEEKS SHALL BE ENTITLED TO MATERNITY LEAVE, IS NORMALLY AN AGGREGATE OF A FOUR-WEEK ANTE-NATAL LEAVE AND WEEK POST-NATAL LEAVE.

A SIX-

THE LAW IS HOWEVER SILENT ON HOW TO COUNT THE 26 WEEKS ALTHOUGH FROM IT IS ONLY LOGICAL THAT THE 26 WEEKS SHOULD BE COUNTED BACKWARDS THE EXPECTED DATE OF COMMENCEMENT OF MATERNITY LEAVE.

THE EMPLOYMENT ORDINANCE ALSO PROVIDES THAT MATERNITY LEAVE PAY EFFECT SHOULD BE EFFECTED ON THE NORMAL PAY DAY. HOWEVER, FAILURE TO MATERNITY LEAVE PAY BY AN EMPLOYER WITHIN THE SPECIFIED TIME LIMIT NOT AN OFFENCE HENCE PROSECUTION ACTION CANNOT BE TAKEN.

IS

/THE BILL