Hong Kong Annual Leave & Statutory Holidays Calculator

Under Section 41AA of the Employment Ordinance (Cap. 57), an employee under a continuous contract is entitled to progressive paid annual leave: 7 days for the 1st and 2nd years of service, increasing by 1 day per year from the 3rd year (8 days) up to a statutory ceiling of 14 days per year from the 9th year onwards.

Annual leave pay and encashment upon termination are calculated using the employee's Average Daily Wages (ADW) earned over the preceding 12-month period (excluding periods of unpaid leave or sickness allowance). Formula: ADW × Unconsumed Annual Leave Days.

Under Cap. 57, statutory annual leave between 7 and 10 days must be taken physical rest and cannot be bought out with wages in lieu while employment continues. Only annual leave exceeding 10 days can be encashed with the mutual consent of the employee and employer. However, upon termination of employment, all accrued untaken leave must be encashed in full.

Statutory holidays are mandatory paid holidays under the Employment Ordinance (increasing from 14 days in 2024 to 17 days by 2026 under the Employment Amendment Ordinance 2021). General holidays (17 days including bank and Christian holidays) are required for banks and government offices. Employees with continuous service are entitled to statutory holiday pay.

If an employer requires an employee to work on a statutory holiday, the employer must provide an alternative holiday within 60 days before or after the statutory holiday, giving at least 48 hours advance notice. The employer cannot buy out statutory holidays with payment in lieu.