Defaulting-employer blacklist goes live: 500 criminal convictions in five years

The MPFA has launched its online “blacklist” of MPF default contributions of non-compliant employers, naming more than 2,300 employers that breached the MPF ordinance over five years: 500 criminal convictions plus 3,258 civil judgments or awards. The public can search the MPFA website by company name, business registration number or judgment date.

How bad are the criminal cases?

Sixteen repeat offenders; one farm chased 20 times for HK$860,000. Sixteen employers have repeat records: Wah Tai Farm, prosecuted three times, was chased for MPF arrears 20 times in five years involving HK$860,000; Loyal Way, Sing Pao management and Well-Union Hong Kong were also prosecuted three times each — Well-Union has seven chasing records, Sing Pao’s two defaults involved HK$2.45 million in arrears. Twelve more employers were prosecuted twice.

Will newly convicted directors be named?

Yes — directors and officers convicted from 23 May are named. Earlier cases keep directors anonymous, but from yesterday, convicted companies’ directors and senior officers are named: a Digital Arts senior officer was fined HK$22,000 in Kwun Tong Magistrates’ Court for failing to contribute for one employee from January to November 2010; a cleaning company was fined HK$36,000 for missing contributions from September 2009 to July 2010.

How hard is the MPFA enforcing?

2,594 summonses in a year, up 130%. Summons applications for contribution defaults and failure to enrol employees rose 1.3 times year on year in 2010/11. Chief operating officer (enforcement) Cynthia Yu said the blacklist aims to deter breaches so jobseekers can vet employers before joining — protecting their MPF rights — and helps the government pick contractors by track record.

Workers should keep an eye on whether employers contribute on time; learn more at MPF fund comparison.