Full legislation
s.32O
Award of terminal payments
(1) Subject to section 32M , if no order for reinstatement or re-engagement is made under section 32N , the court or Labour Tribunal may make an award of terminal payments to be payable by the employer to the employee as it considers just and appropriate in the circumstances. (2) Terminal payments under this section refer to the statutory entitlements under this Ordinance that the employee has not been paid and that the employee is entitled to upon the termination of the contract of employment, or that he might reasonably be expected to be entitled to upon the termination of the contract of employment had he been allowed to continue with his original employment or original terms of the contract of employment to attain the minimum qualifying length of service required for the entitlements under this Ordinance. (3) Subject to subsection (4), terminal payments include— (a) any wages and other payments due to the employee under his contract of employment; (b) any payment in lieu of notice payable under Part II, in the case of a dismissal without due notice; (c) any end of year payment payable under Part IIA; (d) any maternity leave pay or sum payable under Part III; (4) Notwithstanding that the employee has not attained the qualifying length of service required for the entitlements under this Ordinance, the court or Labour Tribunal may make an award for terminal payments under subsection (1) or (5) which shall be reckoned according to the actual length of time that the employee has been employed under that contract of employment with the employer. (5) For the purposes of this section, where no order for reinstatement or re-engagement is made for an unreasonable variation of the terms of the contract of employment, the court or Labour Tribunal may treat the unreasonable variation of the terms of the contract of employment as an unreasonable dismissal by the employer and make an award for terminal payments and such terminal payments should be calculated up to the last date on which the employee renders services to the employer or the date on which an award of terminal payments under this section is made by the court or Labour Tribunal, whichever is the earlier. (6) The respective provisions governing the calculation of the statutory entitlements shall apply to the calculation of the terminal payments. (Amended 21 of 2018 s. 6 ) (7) Sections 31I and 31IA shall apply to any severance payment paid under this section. (8) Sections 31Y , 31YAA and 31YA shall apply to any long service payment paid under this section.