Leave Benefits in Hong Kong

Dear HR Community Members,

Hong Kong labour law allows encashment of a max of 10 days' leave if the employee cannot utilize it (excluding termination) fully.

Could I check if anyone with HK HR experience to advise what the standard practice for HK companies is to deal with such leave other than encashment?

Thank you.

Best regards




You could consider carrying forward a set number of days, say 1 year's annual leave entitlement to the next year (15 days + 15 days, i.e. a maximum of 30 days) and thereafter any excess leave can lapse. - N

Restriction on Pay in lieu of Leave. An employee may choose to accept payment in lieu of the part of his leave
entitlement which exceeds 10 days. 以工资代替年假的限制 雇员可以选择接受款项代替部分年假,但祇限于超逾 10 天的年假部分 This is mentioned in the labour law chapter 4 - Torrance

For us, payment in lieu of annual leave is not permitted, except under the conditions as stated in the Employment Ordinance. In any one year, we allow a maximum of 50% of annual leave entitlement to be carried forward to the following year. Any contractual annual leave on the remaining balance over 50% will be forfeited. With thanks & regards Rabiah

Hi Claire, we do not practice any other form except encashment. - Sarah



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