Since our previous newsletter, the protection of wages has been on the agenda for policymakers across the region. Japan has increased its minimum wage in an attempt to support wage growth, while Korea has passed major legislation imposing harsher penalties for employers who habitually delay wage payments. In Australia, a new criminal offence has been introduced for intentional underpayments. It will be interesting to see whether these developments are indicative of a wider trend forming in the region.
Elsewhere, we have also seen developments on employment status. In Japan, a notable piece of new legislation has taken effect providing greater protections to freelance workers, while in New Zealand, the focus has been on the issue of criteria, with a new gateway test for employee status being proposed.
Finally, we see developments in the area of post-termination obligations and restrictions, a topic of significant importance to employers across the region. In Hong Kong, a District Court has reaffirmed the multiple factors that need to be considered when determining whether information is confidential or not. In Singapore, new guidelines on the use of non-compete clauses in employment contracts are expected to be released with the aim of preventing unreasonable clauses from becoming a norm in employment contracts.
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