Notes to Fina - 星島新聞集團

ncial Statements
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(continued)
3.
Employee benefits
Paid leave carried forward
The Group provides paid annual leave to its employees
under their employment contracts on a calendar year
basis. Under certain circumstances, such leave which
remains untaken as at the balance sheet date is
permitted to be carried forward and utilised by the
respective employees in the following year. An accrual
is made at the balance sheet date for the expected
future cost of such paid leave earned during the year
by the employees and carried forward.
Employment Ordinance long service payments
Certain of the Group’s employees have completed the
required number of years of service to the Group in
order to be eligible for long service payments under
the Hong Kong Employment Ordinance in the event of
the termination of their employment. The Group is
liable to make such payments in the event that such a
termination of employment meets the circumstances
specified in the Employment Ordinance.
A provision is recognised in respect of the probable
future long service payments expected to be made.
The provision is based on the best estimate of the
probable future payments which have been earned by
the employees from their services to the Group to the
balance sheet date.
Global China Group Holdings Limited Annual Report 2002
81