Pay-Related Calculations

All leave and absence payments are determined by the Employment Amendment Ordinance (EAO) of 2007 and are calculated on the basis of the employee’s average wages over the previous 12 months.

Employees who are employed under a continuous contract are entitled to benefits such as rest days*, holiday pay, paid annual leave, maternity leave pay, paternity leave pay, sickness allowance, severance payment and long service payment. An employee who has been employed continuously by the same employer for four weeks or more, with at least 18 hours worked in each week is regarded as being employed under a continuous contract.

*Neither the Minimum Wage Ordinance nor the Employment Ordinance prescribes that rest days should be paid. Whether rest days are with pay or otherwise and how rest day pay is calculated are matters to be agreed between employers and employees.

For more information on calculating the average daily wage, please see the following section:

• Average Daily Wage

Further information about salary calculations may be found in the sections below:

• Salary Calculations
• Leave Pay

These calculations will be performed automatically when employees’ hours are captured or leave is recorded on the system. For more information on these features, please see the following sections:

• Payroll Processing > Entering Employee Hours
• Time and Attendance
• Leave Management > Recording Leave