In Hong Kong, Labour Secretary Chris Sun Yuk-han has urged former staff of the now-closed Physical gym chain to be vigilant when signing new contracts with Perface, the company that has retained about 200 of the 770 former employees. The Physical gym chain closed on September 6, 2024, due to unpaid contributions totaling HK$3 million (approximately US$386,000) for 740 employees. In light of this, the government plans to file a winding-up petition to assist affected employees in claiming ex gratia payments. Perface, which aims to employ all former workers, has already renamed one of the branches to 'Perfit'. Additionally, the government is investigating allegations of exploitation concerning imported workers. This situation highlights ongoing labour rights and employment issues in Hong Kong, as authorities emphasize the importance of protecting workers' interests during transitions to new employment contracts. [5e16ec93]
Meanwhile, in a separate but related issue, Hi-Speed Human Resources, a subsidiary of Hi-Speed Supply Chain, has been warned by the Mandatory Provident Fund Schemes Authority to pay HK$1.6 million in pension contributions for 400 employees or face legal action. The Labour Department has received complaints from workers at the firm about pay arrears, as Hi-Speed Human Resources has not paid employees' salaries for two months. The authority has requested immediate payment of the arrears and will pursue civil claims in court if necessary. Hi-Speed Human Resources has still not paid pension contributions and surcharges for May and June. The authority has received nine employee complaints since May. Employers who fail to pay staff within seven days of the wage period expiry face fines and jail time. The Labour Department is actively following up on the incident and has reminded employers to comply with the Employment Ordinance. [2a4434f6]