RMJM - Hong Kong Staff Dispute

Hong Kong Staff Dispute

In March 2011, a publicized dispute took place over RMJM's Hong Kong office when its local principal, Ms. Catherine Siu, lodged an official complaint against RMJM management personnel in Edinburgh with the Hong Kong labour department over unpaid salaries. Under Hong Kong law, if a company is prosecuted and found guilty of non-payment of wages, it could be fined up to £27,500 along with its directors being sentenced to up to three years in prison. In "an e-mail tirade sent to all staff in the division," Ms. Siu accused RMJM's chief executive of "stripping out all cash" from the Hong Kong division and leaving the Hong Kong office unable to make payments to workers and local creditors. RMJM responded by saying it had suspended Ms. Siu amid an investigation into her "bizarre, irrational behaviour," while admitting there was a "limited element of substance" to her e-mail. The company also claimed that Ms Siu, who had worked for the firm for seven years, intended to "destabilise" the business in Hong Kong. Declan Thompson, RMJM's commercial director, said that salaries had been delayed over the Chinese New Year period due to slow payments from clients. Approximately 80 workers were reported to have left the Hong Kong office in the preceding year over claims of unpaid wages.