Unions help catering workers chase nearly $11m in unpaid wages from four restaurants

Labor unions have assisted 98 catering employees in filing claims totaling close to HK$11 million for unpaid salaries, severance, and other entitlements from four troubled restaurants.

Between October and December this year, the Federation of Hong Kong and Kowloon Labour Unions and the Federation of Hong Kong Food & Beverage Industries Trade Unions received complaints from 98 workers across four eateries. 

The largest cases involve two branches of the same chain in Sha Tin and Tsing Yi, affecting 26 and 32 workers, respectively, with claims of about HK$2.96 million and HK$3.7 million. 

A closed restaurant in Admiralty, formerly known as Victoria City Restaurant, owes 21 staff around HK$2.97 million, while a Hung Hom venue owes 19 employees approximately HK$1.27 million.

Claims filed at the Labour Tribunal cover wages in arrears, payment in lieu of notice, severance pay, annual leave, and holiday compensation. 

Courts have already ruled in favor of the 58 workers from the Sha Tin and Tsing Yi outlets, who will soon apply for ex-gratia payments from the Protection of Wages on Insolvency Fund. Remaining cases await hearings.

Three of the restaurants also defaulted on mandatory provident fund contributions totalling around HK$710,000, with arrears spanning three to four months. 

Workers reported that three of the venues switched from old to new operating companies, with two still trading.

Union leaders highlighted concerns that the insolvency fund does not cover MPF arrears and urged the government to expand its scope, noting such amounts are relatively small. 

They called for employers to meet legal obligations upon closure and for authorities to investigate suspicious company restructurings that may shift wage liabilities onto public funds.