Last updated: 18 September 2026.
Short answer: since 18 January 2026, an employee in Hong Kong is employed under a continuous contract if they have worked for the same employer for four weeks or more and either work at least 17 hours in each of those weeks, or work 68 hours or more in total across any four-week period. This replaced the old 418 rule (18 hours a week for four consecutive weeks). If there is a dispute, the employer now has to prove a contract is not continuous.
What actually changed on 18 January 2026?
The Employment (Amendment) Ordinance replaced a single weekly hours test with a two-limb test. The practical effect is that an employee whose hours dip below the threshold in one week can still qualify on the four-week aggregate.
| Before 18 January 2026 (the 418 rule) | From 18 January 2026 (the 468 rule) | |
|---|---|---|
| Length of employment | 4 weeks or more | 4 weeks or more |
| Hours test | 18 hours or more in each of those weeks | 17 hours or more in each week, or 68 hours or more across any four-week period |
| Burden of proof | Contested case by case | The employer must prove the contract is not continuous |
Source: Labour Department, Employment (Amendment) Ordinance 2025.
Why the aggregate limb matters more than the one-hour drop
The headline change looks small: 18 hours becomes 17. The limb that actually changes outcomes is the 68-hour aggregate. Under the old rule, a single quiet week below 18 hours broke the chain and reset the clock. Under the new rule, an employee averaging 17 hours a week across a month qualifies even if one of those weeks was short.
Two worked examples:
- Retail assistant, four weeks of 20, 20, 8 and 22 hours. Total 70 hours. Under the old rule the 8-hour week broke continuity. Under the new rule the four-week total exceeds 68, so the contract is continuous.
- Weekend-only kitchen hand, 16 hours every week. Total 64 hours over four weeks. Fails both limbs, so not continuous. The threshold is real, not notional.
What does a continuous contract actually give the employee?
This is the reason the test matters. An employee on a continuous contract is entitled to the full range of Employment Ordinance benefits, including rest days, paid annual leave, statutory holiday pay, sickness allowance, maternity and paternity leave, severance payment and long service payment. An employee who falls outside it keeps only the basic protections, such as payment of wages and statutory holidays themselves.
In other words, the difference between 64 and 68 hours a month is the difference between a worker with almost no accrued entitlements and one who can accrue annual leave, sick pay and eventually a long service payment.
The burden of proof has moved, and that is the part most employers miss
The amendment states that in any dispute as to whether a contract of employment is a continuous contract, the onus of proving that it is not continuous rests on the employer. Practically, that means your rosters and time records are now your defence. An employer who cannot produce hour-by-hour records for a part-time worker is very likely to lose the argument by default.
What should a Hong Kong employer do now?
- Audit every part-time and casual worker against both limbs, using the last three months of actual hours rather than contracted hours.
- Fix your time records. Keep hours worked per week per employee, retrievable, for the full statutory retention period. This is now evidence, not admin.
- Re-check your payroll rules. Annual leave accrual, sickness allowance and holiday pay need to switch on automatically for anyone who crosses the threshold.
- Review rostering practice. Deliberately rostering below the threshold to avoid entitlements is a visible pattern and a poor position to defend.
- Update your contract templates so part-time terms reflect the current test rather than the 418 wording.
Does this change how you should hire part-time staff?
It changes the arithmetic, not the strategy. If a role genuinely needs 15 hours a week, it stays outside the test and nothing changes. If a role needs 17 or more, budget from day one for paid annual leave, sickness allowance and the eventual severance or long service exposure, and price the role accordingly. The expensive mistake is discovering the entitlement at termination rather than at hiring. Our guide to hiring staff in Hong Kong sets out the full cost stack.
Frequently asked questions
What is the 468 rule in Hong Kong?
It is the current continuous contract test under the Employment Ordinance: four weeks or more of employment with the same employer, plus either 17 hours or more in each week or 68 hours or more across any four-week period. It took effect on 18 January 2026.
Is the 418 rule still in force?
No. The 418 rule applied before 18 January 2026 and required 18 hours or more in each of four consecutive weeks. It has been replaced.
Who has to prove whether a contract is continuous?
The employer. The amendment places the onus of proving that a contract is not continuous on the employer, which makes accurate time records essential.
Does a part-time worker get annual leave in Hong Kong?
Yes, if they are on a continuous contract. Paid annual leave, sickness allowance, statutory holiday pay and severance or long service entitlements all follow from continuous contract status, regardless of whether the job is described as part-time or casual.
Does the change apply to existing employees?
The test applies from 18 January 2026 onwards, so hours worked from that date are assessed against the new limbs. Employees who did not qualify under the old rule may qualify now without anything about their job changing.
Get this checked properly
FuturRecruit is a licensed Hong Kong employment agency (Employment Agency Licence 83821). We help employers structure part-time and shift-based roles so the entitlements are priced in before the offer goes out, not discovered at termination. Talk to our Hong Kong team or see our recruitment services.
This article is general information, not legal advice. For the authoritative text see the Labour Department.
Related guides
- Statutory Holidays in Hong Kong 2026 and 2027 — all 15 dates and the holiday pay rules
- Minimum Wage in Hong Kong 2026 — HK$43.1 per hour and how it is calculated
- MPF for Employers in Hong Kong — contribution rates and the end of offsetting
- How to Hire Staff in Hong Kong — the full process and cost of a Hong Kong hire
