In light of recent developments in the United States, where President Donald Trump has issued executive orders to dismantle Diversity, Equity, and Inclusion ("DEI") policies within the federal government, many in Hong Kong are left wondering about the implications for their own workplaces. This is particularly pertinent for those employed by companies headquartered in the U.S. or with significant U.S. operations.
The U.S. Executive Order
On January 20, 2025, President Donald Trump signed an executive order titled "Ending Radical and Wasteful Government DEI Programs and Preferencing". This order mandates the termination of all DEI programs, policies, preferences, and activities within the federal government, claiming they are demonstrative of "immense public waste and shameful discrimination".. The order also requires federal agencies to eliminate positions and offices dedicated to DEI efforts and to revise employment practices to ensure equal treatment based solely on individual merit.
While this order specifically targets federal agencies, several
major American corporations including Amazon, Coco-cola, Disney,
Goldman Sachs, Google, Meta and Walmart have already jumped on the
anti-DEI bandwagon by scaling back or rebranding their DEI
initiatives (in some cases, they have simply renamed these policies
to remove references to "diversity").
This raises the question: will companies in Hong Kong follow
suit?
Anti-Discrimination Laws in Hong Kong
Hong Kong has a robust legal framework to combat discrimination in the workplace. The Equal Opportunities Commission ("EOC") enforces several key pieces of legislation:
- Sex Discrimination Ordinance (SDO): Prohibits discrimination on the grounds of sex, marital status, pregnancy, and breastfeeding.
- Disability Discrimination Ordinance (DDO): Prohibits discrimination based on disability.
- Family Status Discrimination Ordinance (FSDO): Prohibits discrimination based on family status.
- Race Discrimination Ordinance (RDO): Prohibits discrimination on the grounds of race.
These laws apply not only during employment but also in the hiring process. Employers are required to ensure that their practices do not discriminate against any individual based on these protected characteristics.
The Role of the Equal Opportunities Commission
The EOC has also issued codes of practice to guide employers in handling discrimination and harassment in the workplace. These codes recommend that employers develop and implement policies to promote diversity and inclusion. While these recommendations are not legally binding, they serve as best practices that can help employers mitigate risks of vicarious liability, whilst also aiming to foster a more inclusive work environment.
Why DEI Policies Are Still Essential in Hong Kong
Despite the rollback of DEI initiatives in the U.S., it remains crucial for employers in Hong Kong to maintain and even strengthen their DEI policies. In particular, Hong Kong's anti-discrimination laws require employers to take proactive steps to prevent discrimination and harassment. Failure to do so can result in legal liabilities, including vicarious liability for the actions of employees.
Tips for Employers in Hong Kong
To effectively implement DEI policies and avoid potential liabilities, employers in Hong Kong should:
- Develop Clear Policies - Create comprehensive DEI policies that outline the company's commitment to diversity and inclusion in compliance with the relevant anti-discrimination laws. Ensure these policies are communicated to all employees.
- Conduct Regular Training - Provide ongoing training for employees and management on DEI principles, anti-discrimination laws, and how to handle complaints of discrimination or harassment.
- Establish Reporting Mechanisms - Set up clear procedures for employees to report incidents of discrimination or harassment. Employers should also ensure that these reports are taken seriously and investigated promptly.
- Monitor and Review - Regularly review and assess the effectiveness of DEI policies and practices. Make adjustments as needed to address any gaps or areas for improvement.
While the recent changes in the U.S. may prompt some companies to reconsider their DEI initiatives, it is essential for employers in Hong Kong to be aware of their obligations under the existing anti-discrimination legislation and have a good set of policies in place. By doing so, they will not only reduce their legal risks and liabilities but also create a more harmonious and productive workplace.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
