Labour shuts down erring agency

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THE Labour Department (LD) has refused to renew the licence of an employment agency (EA) in Tuen Mun after it was convicted of overcharging a job seeker.

The LD said the license of Artellect Limited was not renewed after it was convicted and fined $45,000 for overcharging a job applicant.

“It is an offence under the law for an EA to charge a job seeker a commission that is more than 10 per cent of the job seeker’s first month’s salary for successful job placement,” an LD spokesman said.

“An EA that overcharges job seekers may be subject to a maximum fine of $50,000 upon conviction. The Commissioner for Labour will also consider revoking or refusing to renew its licence,” he added.

The spokesman reminded operators of EAs to conduct their business in compliance with the laws including the Employment Ordinance and the Employment Agency Regulations at all times.

“We also encourage job seekers who are suspected of being overcharged by EAs to report their cases to the LD,” he said.

“Upon receipt of a complaint, the LD will initiate investigation promptly and prosecution will be taken out if there is sufficient evidence,” he added.

In December, the LD also announced that it had refused to renew the license of Tamas Employment Agency, located in Tai Wai, after it conducted an investigation.

“After considering all facts collected during investigation, including Tamas having acted against the LD’s repeated advice not to assist in the collection of placement fees from foreign domestic helpers for overseas agents, the Commissioner for Labour…decided to refuse to renew Tamas’ licence on grounds that the licensee was considered not a fit and proper person for operating an EA,” the LD said.

It said the operator of the agency appealed to the Administrative Appeals Board (AAB) but the Commissioner’s decision was upheld by the AAB.

Those who have complaints or inquiries about agencies overcharging job-seekers can call the Employment Agencies Administration of the LD at 2852 3535, or visit its office at 12/F, Harbour Building, 38 Pier Road, in Central.