Cap 57 s 31B General provisions as to right to severance payment (EMPLOYMENT ORDINANCE)

Contents of Section

Chapter:	57	Title:	EMPLOYMENT ORDINANCE	Gazette Number:
Section:	31B	Heading:	General provisions as to right to severance payment	Version Date:	30/06/1997

(1) Where an employee who has been employed under a continuous contract for a period of not less than 24 months ending with the relevant date- (Amended 76 of 1985 s. 5)

(a) is dismissed by his employer by reason of redundancy; or

(b) is laid off within the meaning of section 31E,

the employer shall, subject to this Part and Part VC, be liable to pay to the employee a severance payment calculated in accordance with section 31G. (Amended 52 of 1988 s. 5)
(2) For the purposes of this Part an employee who is dismissed shall be taken to be dismissed by reason of redundancy if the dismissal is attributable wholly or mainly to the fact that-

(a) his employer has ceased, or intends to cease, to carry on the business-

(i) for the purposes of which the employee was employed by him; or

(ii) in the place where the employee was so employed; or

(b) the requirements of that business for employees to carry out work of a particular kind, or for employees to carry out work of a particular kind in the place where the employee was so employed, have ceased or diminished or are expected to cease or diminish. (Replaced 62 of 1992 s. 4)

(3) For the purposes of the application of this Part to an employee who is employed as a domestic servant in, or in connection with, a private household, this Part (except section 31J) shall apply as if the household were a business and the maintenance of the household were the carrying on of that business by the employer.

[cf. 1965 c. 62 ss. 1 & 19(1) U.K.]