Remote’s guide to employing in

Hong Kong
hong-kong flag

Make employment in Hong Kong easy. Let us handle payroll, benefits, taxes, compliance, and even stock options for your team in Hong Kong, all in one easy-to-use platform.

  • Capital City

    Hong Kong

  • Currency

    Hong Kong dollar ($, HKD)

  • Languages

    English and Cantonese

  • Population size

    7,500,700

Services available in this country:
Employer of Record ProductContractor Management

Facts & Stats

Hong Kong Map Illustration
  • Capital City

    Hong Kong

  • Currency

    Hong Kong dollar ($, HKD)

  • Languages

    English and Cantonese

  • Population size

    7,500,700

  • Ease of doing business

    Very easy

  • Cost of living index

    $$$$ (39 of 139 nations)

  • Payroll frequency

    Monthly

  • VAT - standard rate

    0%

  • GDP - real growth rate

    -1.2% (2019)

Hong Kong is a special administrative region of the People’s Republic of China, nestled just off its southeastern coast.

For a territory of less than eight million, Hong Kong hosts a vibrant economy built on one of the world’s strongest financial services labour markets, a robust tourism sector, and a leading professional services sector.

Combined with its 4th place ranking on the human development index and a GDP that is several times the size of comparative nations, Hong Kong offers an attractive option for companies looking to build a presence in Asia with strong global connexions.

Grow your team in Hong Kong with Remote

Looking to employ workers in Hong Kong? Companies hiring in Hong Kong must either own a legal entity in the country or work with a global employment solutions provider, usually one that provides employer of record services.

Remote can employ your team in Hong Kong on your behalf through our local legal entity in the country and handle payroll, benefits, taxes, and compliance for your Hong Kong team. You can also pay contractors now in Hong Kong with Remote.

Risks of misclassification

Hong Kong, like many other countries, treats self-employed individuals or contractors and full-time employees differently. Misclassification of contractors in Hong Kong may lead to fines and penalties for the offending company.

Employing in Hong Kong

Since its enactment in 1968, the Employment Ordinance has served as the comprehensive body of statutes guiding employment relationships in Hong Kong, covering everything from wage protections to union privileges.

Common questions during the hiring process may be regarding minimum wage, overtime rates, and guaranteed paid time off. Remote can help you offer a complete, competitive, and compliant benefits package to your employees in Hong Kong.

Minimum Wage

From May 1st 2023, the minimum wage has been fixed at HK$ 40 per hour. It will be reviewed every two years.

Payroll Cycle

For customers of Remote, all employee payments will be made in equal monthly instalments on or before the last working day of each calendar month, payable in arrears.

Onboarding Time

We can help you get a new employee started in Hong Kong fast. The minimum onboarding time we need is only 5 working days.

Our team ensures your employees are onboarded and paid as quickly as possible while keeping your business compliant with all local employment legislation. The minimum onboarding time begins after the employee submits all required information onto the Remote platform. The onboarding timeline is also dependent upon registration with local authorities.

For all non-nationals of the country of employment, the Right to Work assessment (if applicable) will add three extra days to the total time to onboard. There may be extra time required if we need to follow-up on the right to work assessment.

Please note, payroll cut-off dates can impact the actual first day of employment. Remote has a payroll cut-off date of the 10th of the month unless otherwise specified.

15 Public holidays

Jan
Monday, 1 January 20241The first day of January
Feb
Saturday, 10 February 20242Lunar New Year's Day
Monday, 12 February 20243The third day of Lunar New Year
Tuesday, 13 February 20244The fourth day of Lunar New Year
Apr
Thursday, 4 April 20245Ching Ming Festival
May
Wednesday, 1 May 20246Labour Day
Wednesday, 15 May 20247The Birthday of the Buddha
Jun
Monday, 10 June 20248Tuen Ng Festival
Jul
Monday, 1 July 20249Hong Kong Special Administrative Region Establishment Day
Sept
Wednesday, 18 September 202410The day following the Chinese Mid-Autumn Festival
Oct
Tuesday, 1 October 202411National Day
Friday, 11 October 202412Chung Yeung Festival
Dec
Saturday, 21 December 202413Chinese Winter Solstice Festival (At the option of Employer)
Wednesday, 25 December 202414Christmas Day (At the option of Employer)
Thursday, 26 December 202415The first weekday after Christmas Day

Competitive benefits package in Hong Kong

At Remote, we’re obsessed with helping you craft the best possible employee experience for your team. We are leading the way in practising “fair equity,” which means making sure employees everywhere have access to both the required and supplemental benefits they need to thrive (and that will allow you to attract the best local talent).

Our benefits packages in Hong Kong are tailored to fulfil the local needs of your employees. Typically, our packages contain some or all of the following benefits:

  • Health Insurance

  • Dental Insurance

  • Vision Insurance

  • Mental Health Support

  • Pension or 401(K)

  • Life and Disability Insurance

Taxes in Hong Kong

Learn how employment taxes and statutory fees affect your payroll and your employees’ paychecks in Hong Kong.

  • Less than HK$ 7,100 - relevant income x 5%

  • HK$ 7,100 to HK$ 30,000 - relevant income x 5%

  • more than HK$ 30,000 - $1,500

Types of leave

Hong Kongese employees are entitled to at least seven days of annual leave after working with an employer for a year. This increases with service years and caps out at 14 days off annually after nine years with an employer.

Employment termination

Termination process

An employee can be terminated for misconduct, negligence, disobedience of reasonable regulations, and generally, violating the employment.

An employee cannot be terminated for pregnancy, taking maternity leave, getting injured at work, joining a union, exercising their sick leave, or taking time off work to fulfil civil responsibilities like jury duty, etc.

Notice period

The employment contract spells out the notice period an employer should provide before laying off an employee and should be at least seven days.

If there’s no notice period specified in the employment contract, an employer must inform an employer at least 30 days before their employment is terminated.

Notice period required during the probation period

  • within the first month, no notice period is required

  • after the first month where a contract makes provision for a required length of notice, the period is as per agreement

  • after the first month where a contract does not make provision, the notice period should not be less than seven days

Notice period for a continuous contract / after the probation period

  • where the contract makes provision, the notice period is as per agreement, not less than seven days

  • where the contract does not make provision, the notice period should not be less than one month

Severance pay

According to the Hong Kong Employment Ordinance, an exiting employee is entitled to a severance package equal to 2/3 of the last full month’s salary or HK$ 22,500 multiplied by the number of years of employment with the employer.

The calculation for an employee that is paid on a monthly basis:

  • (the previous full month’s wages * 2/3) * reckonable years of service

  • the sum should not exceed 2/3 of $22,500 (i.e. $15,000)

Probation periods

Probation periods in Hong Kong last anywhere from one to three months and should be clearly defined in the employment contract.

Fair Pricing in Hong Kong

Employer of Record

Hire and pay your global team

Starting at US$599/month

Top features

  • Satisfaction guaranteed

  • No deposits or hidden fees

  • Zero onboarding or offboarding fees

  • Compliant equity incentives support including withholding and reporting

  • Built-in security and compliance

  • Fast onboarding (average 2-3 days)

  • Flexible, localised benefits

Contractor Management

Compliantly onboard and pay contractors

US$29

per contractor/month

Start free trial

Top features

  • Only pay for contractors you actively work with

  • Work with contractors in 200+ countries

  • Create, edit, and sign tailored, localised contracts

  • Approve contractor invoices with one click or auto-pay

  • Transparent payments with complete visibility

Global Payroll

Consolidate your multi-country payroll

US$50

per employee/month

Top features

  • Reduce costs by centralising payroll management

  • Ensure local compliance for every country

  • Direct support from in-house local payroll experts

  • Accurate, on-time, compliant payroll to level-up your employee experience

  • Tax and labour authority reporting handled for you

HRIS

Manage all of your employees in one place

Free
Sign up

Top features

  • Guided onboarding and offboarding

  • Employee profile and document management

  • Time and attendance (time off and tracking)

  • Expense management and reimbursement

  • Employee self-serve on the platform and mobile app