Foreign Domestic Helpers Taking Illegal Jobs:What Are the Risks for Employers? Can Insurance Still Help?
Recently, the Immigration Department arrested 43 people in an operation targeting illegal workers, including 7 current foreign domestic helpers and 8 employers. Some helpers were caught secretly working in restaurants washing dishes during their free time, such as when buying groceries. In some cases, employers even arranged for their helpers to work in restaurants they owned. These actions are not only illegal, they can also create legal problems for employers and may affect insurance protection.
Why is illegal work by foreign domestic helpers so risky for employers?
According to Hong Kong’s Standard Employment Contract, foreign domestic helpers can only perform household duties at the employer’s registered address. Tasks may include cooking, cleaning, or caring for children or the elderly. If a helper is found working for someone else, even part-time, it is considered illegal, whether they do it on their own or the employer allows it.
Employers may face the following consequences:
l Being prosecuted for violating the Immigration Ordinance, which may lead to up to 10 years in prison and a fine of HKD 500,000.
l If the employer knows about the illegal job and does nothing, they may be treated as a co-offender.
l If the helper is injured while doing illegal work, the domestic helper insurance may not cover the cost. The employer could be forced to pay all medical expenses out-of-pocket which could be very costly.
Insurance may not cover injuries from illegal work
Some employers mistakenly think, “I already bought insurance, so I’m safe.” But it’s not that simple. Most insurance plans for domestic helpers only cover medical expenses for legal duties at the agreed work location and during working hours.
Example: If your helper secretly goes to a restaurant to work during her time off and slips while washing dishes, requiring surgery, those medical costs might not be covered. Since the injury happened outside the legal scope of work, the insurance company can reject the claim. In such cases, the employer would be fully responsible for the costs.
How employers can prevent illegal work issues
Here are some ways to lower the risks:
Remind your helper that they can only work at your home. Even helping your relatives or neighbors is not allowed.
Watch for warning signs. Is your helper especially tired after time off? Does she leave the house in work clothes or with work tools?
If you suspect illegal work, talk to your helper directly. If needed, contact the employment agency or relevant authorities.
Remind your helper of the consequences, such as early contract termination, being blacklisted, or being deported.
Insurance is your basic safety net but only for legal work
Having domestic helper insurance coverage for your foreign domestic helper is essential. It helps cover medical expenses, third-party liability, and sometimes even legal support. But remember: the insurance only works if the helper follows the law. That’s why it’s important to choose a comprehensive insurance plan that covers hospitalization, medical expenses, accidents, and more, but also to ensure your helper works legally at your home.
Summary
When a foreign domestic helper works illegally, it’s not just a legal issue, it’s also an insurance risk for the employer. As an insurance provider, we strongly encourage employers to make sure their helper works only at the registered home address and to maintain good communication. Choosing a well-rounded domestic helper insurance plan gives both the employer and the helper extra protection and peace of mind.
Related product:
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The information provided in this article is for general reference only and should not be considered as any form of advice. Our company assumes no responsibility for its use
