The Work Contract Termination Letter is a crucial document used in Hong Kong employment relationships to formalize the end of employment. It must comply with the Hong Kong Employment Ordinance (Cap. 57) and related employment legislation, ensuring all statutory requirements are met. This document is typically used when either the employer initiates termination or in mutual separation scenarios. The letter should include specific details about the termination date, notice period arrangements, final payments (including any statutory payments like severance or long service payment if applicable), treatment of unused annual leave, and instructions regarding company property return. It may also reference ongoing obligations such as confidentiality and any applicable post-employment restrictions.
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1. Letter Header: Company letterhead, date, and reference number
2. Recipient Details: Employee's full name and address
3. Subject Line: Clear indication that this is a termination letter
4. Formal Termination Statement: Clear statement of employment termination with specific end date
5. Notice Period Details: Information about notice period or payment in lieu of notice
6. Final Payment Information: Overview of final salary, unused annual leave, and any other statutory payments
7. Company Property Return: Instructions regarding return of company property
8. Confidentiality Reminder: Reminder of ongoing confidentiality obligations
9. Signature Block: Company representative's name, title, and signature
1. Garden Leave Provisions: Include when employee is being placed on garden leave during notice period
2. Severance Payment Details: Include when employment has lasted for 24 months or more and termination is due to redundancy
3. Long Service Payment Details: Include when employment has lasted for 5 years or more and termination is not due to redundancy
4. Post-Employment Restrictions: Include when reminding employee of existing non-compete or non-solicitation clauses
5. Reference Provision: Include when offering to provide future employment references
6. Acknowledgment Section: Include when requiring employee to countersign the letter
1. Final Payment Calculation: Detailed breakdown of all final payments including salary, leave pay, and statutory payments
2. Company Property Checklist: Itemized list of company property to be returned
3. Handover Document List: List of documents, projects, and responsibilities to be handed over
4. Benefits Termination Schedule: Details of when various employment benefits will cease
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