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Employee Service Agreement for Hong Kong

Employee Service Agreement Template for Hong Kong

A comprehensive employment agreement governed by Hong Kong law that establishes the formal employment relationship between an employer and employee. This document outlines the terms and conditions of employment, including roles and responsibilities, compensation and benefits, working hours, leave entitlements, and other key employment terms in compliance with the Hong Kong Employment Ordinance and related employment legislation. The agreement incorporates mandatory provisions required by Hong Kong law while allowing flexibility to address specific employment arrangements and additional benefits.

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What is a Employee Service Agreement?

The Employee Service Agreement is a fundamental document used to formalize employment relationships in Hong Kong. It serves as the primary contract between employers and employees, establishing clear terms and conditions of employment while ensuring compliance with Hong Kong employment laws, particularly the Employment Ordinance (Cap. 57) and related legislation. This agreement is essential for both new hires and existing employees requiring updated terms, incorporating mandatory statutory provisions while allowing customization for specific roles, seniority levels, and industry requirements. The document typically requires review and input from HR, legal, and management to ensure it adequately protects both parties' interests while maintaining compliance with local employment regulations.

What sections should be included in a Employee Service Agreement?

1. Parties: Identifies the employer and employee with their full legal names and addresses

2. Background: Brief context of the employment relationship and purpose of the agreement

3. Definitions: Defines key terms used throughout the agreement

4. Appointment and Term: Details of the position, commencement date, and employment term (fixed/continuous)

5. Duties and Responsibilities: Outline of the employee's role, reporting lines, and key responsibilities

6. Place of Work: Primary workplace location and potential for travel/relocation

7. Hours of Work: Standard working hours, overtime arrangements, and rest day provisions

8. Remuneration and Benefits: Salary, bonus, allowances, and statutory benefits including MPF

9. Leave Entitlements: Annual leave, sick leave, maternity/paternity leave and other statutory leave

10. Medical Benefits: Health insurance and medical coverage provisions

11. Confidentiality: Protection of company confidential information and trade secrets

12. Intellectual Property: Ownership and rights to work products and inventions

13. Data Protection: Handling of personal data in compliance with PDPO

14. Termination: Notice periods, grounds for termination, and procedures

15. Company Policies: Compliance with employee handbook and company policies

16. Governing Law: Specification of Hong Kong law as governing law

What sections are optional to include in a Employee Service Agreement?

1. Probation Period: Terms of probationary period, if applicable

2. Commission Structure: For sales or commission-based roles

3. Share Options: For employees eligible for company share schemes

4. Post-termination Restrictions: Non-compete and non-solicitation clauses for senior positions

5. International Assignment: For employees who may be assigned overseas

6. Variable Compensation: For roles with performance-based pay components

7. Flexible Working Arrangements: For positions allowing remote or flexible work

8. Garden Leave: For senior positions where garden leave may be required

9. Secondment Provisions: For potential internal transfers or secondments

10. Sign-on Bonus: For positions offering joining bonuses with associated terms

What schedules should be included in a Employee Service Agreement?

1. Schedule 1 - Job Description: Detailed outline of role responsibilities and requirements

2. Schedule 2 - Remuneration Package: Detailed breakdown of salary components and benefits

3. Schedule 3 - Commission Structure: Detailed commission calculations and terms (if applicable)

4. Schedule 4 - Company Policies: Key company policies requiring specific acknowledgment

5. Schedule 5 - Restricted Activities: Detailed post-termination restrictions (if applicable)

6. Appendix A - Statutory Benefits Summary: Summary of Hong Kong statutory employment benefits

7. Appendix B - Medical Benefits: Details of medical insurance coverage and claims procedures

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok成人版 | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Hong Kong

Document Type

Severance Agreement

Cost

Free to use

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