2. Can employers reduce their employees’ benefits or change the terms of employment contracts to evade liabilities under the Mandatory Provident Fund Schemes?

2. Can employers reduce their employees’ benefits or change the terms of employment contracts to evade liabilities under the Mandatory Provident Fund Schemes?

Under the Employment Ordinance, an employee who has been employed under a continuous contract can claim remedies for unreasonable variation of the terms of the employment contract against the employer if the employer, without the prior consent of the employee and in the absence of an express term in the contract that allows for such variation, varies the terms of the employment contract (including reducing the employee's wages or benefits) other than for a valid reason as specified in the Employment Ordinance.