Skip to main content
All CollectionsGuides for Hong Kong UsersPayroll Features
How Automatic Statutory Holiday Pay Works in Talenox (Hong Kong)
How Automatic Statutory Holiday Pay Works in Talenox (Hong Kong)

Statutory holiday pay must be paid out to an employee. This is how Talenox triggers this automatically.

Danial avatar
Written by Danial
Updated over a week ago

Below, you'll find responses to frequently asked questions that we often encounter:

  1. How does Talenox determine an employee’s eligibility for automatic statutory holiday pay?

  2. Can Talenox calculate statutory holiday pay automatically based on employment duration?

  3. Will automatic holiday pay be included in employees’ regular payroll processing?

In Hong Kong, statutory holiday pay are compulsory on top of the employee's basic pay (prorated) and should be calculated using 1 day of Average Daily Wage (ADW) using Full Pay Amount as guided by the Employment Ordinance. The daily rate of holiday pay is a sum equivalent to the Average Daily Wages (ADW) earned by an employee in the 12-month period preceding the following specified dates. If an employee is employed for less than 12 months, the calculation shall be based on the shorter period.

This is now automated in Talenox and the system will automatically calculate this using the 12-months ADW as guided here:

Source: https://blog.talenox.com/adw-for-hk-smes/

How to Enable Automatic Statutory Holiday Pay in Talenox?

As this is a new feature, it needs to be enabled from the backend. These are the steps that you can take to enable this in your account.

  1. Request this to be enabled from the in-app support channel or write to us at support@talenox.com

  2. Once we have received your request, we will enable this and inform you.

  3. After this has been enabled from our end, the system will now calculate statutory holiday pay automatically based on the proration settings that you have chosen.

How is Statutory Holiday Pay (Hong Kong) calculated?

There are 2 ways to calculate Average Daily Wage, either Working or Calendar Days. You can head over to Profiles to set up the proration calculation based on your company's policy.

1) Head over Profiles > Company Details > Edit

2) Go to Payroll Details > Proration Calculation and select your settings:

How is Statutory Holiday Pay (Hong Kong) reflected in Payroll?

The Statutory Holiday Pay will be show in the Leave Payments/Deductions and it will be calculated based on the proration settings that you have set.


The basic pay will also be automatically prorated based on the number of working days in the month.


With this automation, you can ensure that the payroll calculation is compliant to the Hong Kong Ordinance. That's how easy it is in Talenox! 😊

Did this answer your question?