Foreign domestic helper standard employment contract Q&A
Job-hopping / Returning to original place of residence / Termination of employment contract / Long service payment and severance pay
Online discussions in foreign domestic helper forums mostly revolve around the "Standard Employment Contract." As an employer hiring foreign domestic helpers, it's crucial to understand the contents of this contract. Apart from knowing your rights as an employer, it's equally important to understand your obligations towards the helpers to avoid disputes or legal issues. In this series, we've compiled the most common questions, including the employer's responsibility if the helper job-hopping, arrangements for the helper's return to their home country, termination of the employment contract, and eligibility and calculation of long service payment and severance pay.
Question: What is the Employer's Responsibility under the Contract if the Helper is
(A) Job-hopping – Clause 12
Answer: According to Clause 12 of the Standard Employment Contract, both the employer and the helper must submit written notifications to the Immigration Department within seven days of the contract's termination date. They also need to provide a copy of the written confirmation of contract termination to the Immigration Department. Both parties can use the "Termination of Employment Contract for Foreign Domestic Helpers Notification Form" (Download: https://www.immd.gov.hk/eng/forms/forms/id407e.html) provided by the Immigration Department as a template. The Immigration Department keeps these records for considering the helper's future visa applications or extension requests. They have a special team to review cases of suspected job hopping by helpers. Therefore, when submitting the written confirmation copy, it's advisable to provide the Immigration Department with the reason for terminating the contract, as it may be taken into consideration.
Related Article: Q&A: "Job-hopping" among foreign domestic helper
(B) Returning to the Helper’s Original Place of Residence – Clause 7(a)
Answer: According to Clause 7(a) of the Standard Employment Contract, if the contract is terminated prematurely or upon expiration, the employer must cover the travel expenses for the helper to return to their home country from Hong Kong. This ensures the helper can return smoothly without being stranded due to lack of funds. Although the contract doesn't specify how the employer should calculate the amount, it's recommended that the employer directly provides the helper with a non-changeable plane ticket from Hong Kong to their home country, rather than cash equivalent, to reduce the risk of overstaying in Hong Kong.
Question: Under What Circumstances Can the Employment Contract Be Terminated?
Answer:
Employer-initiated termination: Requires giving one month's written notice or paying one month's wages in lieu of notice.
Helper-initiated termination: Similarly requires giving one month's written notice or paying one month's wages in lieu of notice.
Special circumstances for immediate termination: May not require notice period or payment of one month's wages in lieu of notice. Circumstances include helper's refusal to follow reasonable and lawful instructions, misconduct, fraud, or habitual negligence. The employer must provide multiple warnings before immediate termination.
Related Article: Termination of Foreign Domestic Helper Contracts with Salary & Insurance Arrangements
Question: Qualification for Long Service Payment or Severance Payment
Answer: The helper must have worked continuously for the same employer for at least five years to qualify for long service payment, under certain conditions. The employer is required to pay long service payment to the helper in such cases. If the helper chooses not to renew the contract or resigns voluntarily, they don't qualify for long service payment.
Question: Conditions for Receiving Severance Payment
Answer: If the helper is not offered contract renewal or is dismissed due to redundancy reasons and has worked continuously for the same employer for at least 24 months, the employer is required to pay severance payment.
Question: Calculation of Long Service Payment and Severance Payment
Answer: Normally, the employer only needs to calculate one of them depending on the circumstances. The calculation method is the same for both: (monthly wage x 2/3) x years of service (proportionally calculated if less than one year). For example, with a monthly wage of HK$4,870 and 6.5 years of service, the calculation would be (4870*2/3) * 6.5 = HK$21,103.33.
Related Article: Part 2: Salary calculation methods for long service payment and contract termination for foreign domestic helper
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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
