Employment law challenges for foreign companies seeking to
establish a business or extend their operations in Greater
China.
On 1 July 1997, the People's Republic of China
(PRC) resumed the exercise of sovereignty over
Hong Kong, which became the Special Administrative Region
(HKSAR) of the PRC. The Basic Law of the HKSAR
(Basic Law) came into effect on 1 July 1997 and is
the constitutional document for the HKSAR.
The Basic Law contains the concept of 'one country, two
systems' and expressly provides that the laws previously in
force in Hong Kong continue to be maintained. The exception to this
is any laws that contravene the Basic Law. The Basic Law expressly
states that the HKSAR courts may refer to precedents of other
common law jurisdictions when making decisions. Further still, it
states that the Courts of Final Appeal and the judiciary of the
HKSAR are given the power to invite judges from other common law
jurisdictions to participate in the judicial
