Hong Kong is widely regarded as the business gateway to China, offering international lawyers unparalleled access to some of the world’s largest deals and matters. With its strategic location and dynamic legal market, Hong Kong is an attractive destination for legal professionals seeking global experience and career advancement.
The Legal Market in Hong Kong
Hong Kong’s legal landscape is constantly changing, much like other major legal centres around the world. Many international law firms have established local practices in the region, offering full legal services under Hong Kong law. However, US firms often take a different approach. While some have set up localised operations, others focus on US securities law and international cross-border transactions, usually maintaining smaller teams.
Language Skills: A Key Consideration
Fluency in Mandarin or Cantonese is highly desirable for firms in Hong Kong, though it varies depending on the role and practice area. In some cases, language skills may be essential, especially if the hiring partner does not have them. In these instances, the new hire must often be able to conduct business fluently in Mandarin or Cantonese. However, this requirement is not universal and depends on the specific needs of the firm.
Opportunities and Market Trends
Hong Kong offers significant opportunities for overseas lawyers, particularly in working on high-value transactions and major arbitration or litigation matters. However, the market can be highly practice-specific, and it’s important to evaluate your options carefully. For example, a corporate lawyer specialising in a niche area within a particular jurisdiction might find it challenging to secure a role at a leading US firm if their experience is considered too specialised or not aligned with Hong Kong’s market demands.
The practice areas consistently in demand in Hong Kong include:
- Corporate
- Funds
- Banking and Finance
- Projects and Project Finance
- Construction
- Disputes/International Arbitration
Cost of Living
Like most major cities, housing remains a significant expense, with rent prices still on the high side, similar to other global financial hubs. However, overall cost of living is statistically cheaper than the likes of New York and London.
Cost of Living in Hong Kong is 7.1% lower than in London (without rent) (Numbeo)
Cost of Living Including Rent in Hong Kong is 11.5% lower than in London (Numbeo)
Cost of living in Hong Kong is 35% cheaper than in New York City (Expatiisan)
Favourable Tax Environment
One of the key advantages of working in Hong Kong is its attractive tax regime. Hong Kong has a simple tax system with low tax rates for businesses and individuals. There are only three types of taxes in Hong Kong: profits tax, salaries tax and property tax.
Tax rates are capped at 16.5%, significantly lower than those in many Western countries. Additionally, many firms offer remuneration packages that allow lawyers to deduct rent from their taxable income, reducing their overall tax bill.
Climate and Location
Hong Kong’s climate is tropical, with hot, humid summers reaching around 31 degrees Celsius, and mild, dry winters averaging about 18 degrees. Its location also provides easy access to some of Asia’s most exciting destinations. Whether you’re keen to explore the jungles of Cambodia, relax on the beaches of Thailand, or experience the energy of Tokyo, Hong Kong offers a gateway to it all.
Five Fun Facts About Hong Kong
- Despite its famous skyline, 40% of Hong Kong’s land area is made up of country parks and nature reserves, making hiking a popular pastime.
- Dim sum, a culinary staple originating in southern China, means “touch the heart” and was traditionally created as a snack for travellers.
- Hong Kong International Airport is vast, covering the equivalent size of 20 football pitches.
- The city is a gastronomic paradise, boasting one of the highest numbers of restaurants and cafes per capita. It also offers the world’s most affordable Michelin-starred dining.
- Don’t be surprised if your apartment building lacks a fourth floor – the number four is considered unlucky in Chinese culture, as it sounds like the word “death.” Conversely, the number eight, symbolising wealth, is seen as very fortunate.
In Summary
Hong Kong continues to be a prime destination for international lawyers looking to work on high-profile matters while enjoying the benefits of living in a vibrant, cosmopolitan city. With its ever-evolving legal market, favourable tax environment, and cultural appeal, Hong Kong remains an ideal location for legal professionals seeking to further their careers on the global stage.
If you're a lawyer exploring opportunities in Hong Kong, we'd love to help. Contact us at info@sonderconsultants.com to arrange a confidential, no-obligation chat.
