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Legal Update

New minimum wage rate expected to take effect 1 May 2013

14 December 2012
Mayer Brown JSM Legal Update

On 12 December 2012, the Chief Executive in Council adopted the Minimum Wage Commission's recommendation to adjust the Statutory Minimum Wage (SMW) rate from HK$28 per hour to HK$30 per hour, up by HK$2.0 (or 7.1%). It is anticipated that the new rate will take effect on 1 May 2013.

As a consequence of the change to the SMW rate, the HK$11,500 monthly cap (above which it is not necessary to keep a written record of hours worked) will increase to HK$12,300 per month.

Employers should take steps to update their payroll to reflect this change.

For inquiries related to this Legal Update, please contact Duncan AbateHong Tran or your usual contacts with our firm.

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