6% drop in labor dispute cases despite surge in worker complaints

The Labour Affairs Bureau’s (DSAL) 2023 annual report revealed a decrease in overall labor dispute cases and fines, even as more workers filed multiple complaints on a wider range of issues.

Last year, the bureau recorded 1,653 labor dispute cases, marking a 5.9% decrease from the previous year.

Top grievances included wages, severance pay and termination notice periods.

Complaints about overtime and public holiday compensation were also prevalent, with nearly 600 workers filing such claims.

While the total value of fines imposed on employers decreased to MOP 22.8 million, the majority were still related to non-payment of wages, holidays and termination benefits. Labor dispute violations also resulted in fines totaling MOP22 million to 161 employers.

Between January and June this year, the DSAL received nine complaints involving 11 employees allegedly forced to take unpaid leave. The DSAL stated that these actions violate labor laws and can lead to employer prosecution or revocation of non-resident worker permits.

Prior to 2020, labor disputes over mandatory suspensions were dealt with via a compensation scheme. However, this scheme was repealed with the implementation of the minimum wage law that year. Concerned about potential underemployment despite tourism recovery, lawmaker Ella Lei has requested details of how authorities are monitoring these risks and strengthening worker protections.

The lawmaker expressed ongoing concerns about suspensions from work and unpaid leave, despite the pandemic’s end and return of tourism. Lawmakers have called for authorities to implement better mechanisms to protect workers, as the previous compensation scheme was eliminated with the minimum wage law.

In response, the DSAL stated it will review current procedures and strengthen worker protections. The bureau also emphasized its continued strict control over the employment of non-resident workers, prioritizing local employment while supporting key industries’ staffing needs during economic recovery. Victoria Chan