Hong Kong’s New 468 Rule for Continuous Employment

On 18 June 2025, LegCo passed the Employment (Amendment) Bill 2025 (the "Bill"). The Bill revises the working hours threshold for determining continuous employment and makes it easier for employees to enjoy the employment protection available under the Employment Ordinance (Cap. 57). The revised continuous contract requirement will take effect from 18 January 2026.

Currently, employees are required to work at least 18 hours per week over four consecutive weeks (known as the "418" rule) in order to be considered in continuous employment under the Employment Ordinance. Where an employment contract is a continuous contract under the Employment Ordinance, the worker is entitled to various statutory employment rights and benefits, including statutory holidays, sickness allowance, and rest days.

Under the Bill, the criteria for determining continuous employment will be adjusted as follows (also known as the "468" rule): 

1.Reducing the weekly working hours threshold from 18 to 17 hours; and

2. Providing for an additional method for fulfilling the continuous contract requirement: Where an employee works for 68 hours or more within a 4-week period for the same employer, the employee will also be considered to have fulfilled the continuous contract requirement.

The Bill will allow more employees to be eligible for statutory employment benefits and protection. For the employees who have already met the previous "418" rule under the current provision, their employment rights and benefits will not be affected. Going forward, employers should bear the new "468" rule in mind when considering and calculating employment benefits and termination payments.