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terminating a helper severance pay?

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ORIGINAL POST
Posted by mixeymum 16 yrs ago
I'm going to be terminating my helper shortly. I am a bit confused as if I need to pay severance pay and annual leave.


She started in October, she will have been with us 10 months. I know I need to give one months notice, inform immigration, buy her a ticket back plus $100 food allowance. So is the severance pay applicable to someone who has worked with you for just 10 months? Also, she planned to take annual leave in July which will be at the end of the last month of the notice given contract end, so can she just work the 3 weeks and have the annual leave as planned on the last week so she is still getting paid for annual leave (just working the last 3 weeks instead of the month but still getting paid)? Oh also for calulating the severence pay and annual leave (if it is applicable) we pay the 3580 plus more on top for food and extras so do I calculate the pro rata thing with or without this? And what is the "release letter" and what purpose does it serve?


Can someone help me clarify, this is so confusing this whole domestic helper thing! thanks!

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COMMENTS
axptguy38 16 yrs ago
"So is the severance pay applicable to someone who has worked with you for just 10 months? "


Severance is only required when she has worked more than 24 months.


See here under chapter 10 Read More


"she planned to take annual leave in July which will be at the end of the last month of the notice given contract end, so can she just work the 3 weeks and have the annual leave as planned on the last week so she is still getting paid for annual leave (just working the last 3 weeks instead of the month but still getting paid)? "


If I am understanding this correctly, she would have the annual leave at the end of her employment period. Then my guess is you should pay her for it as it has been accrued. Not 100% sure.



"And what is the "release letter" and what purpose does it serve?"


This is a letter stating that you have terminated her, the reason and the dates involved. The purpose it to protect you from future litigation.

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mixeymum 16 yrs ago
thank you for your replies.


Just to clarify then so I need to pay for

1. The last month that she works after the 1 month notice has been given to her

2. the annual leave (if she doesn't take it in the last month)

3. the ticket back and $100 travel food allowance.


One more thing. When we hired her, she had finished her contract from another employer and did not return to the Phillipines but instead got "deferred leave" I think it was called, so instead of going back to PH and coming back her to begin her contract she deferred it. She was suppossed to go back to the Phillipines within one year instead of taking a break after 2 years. I am a touch confused now, as I didn't pay for her ticket from Phil to HK as she was here already. I know I need to pay her ticket back, but was I suppossed to pay for another ticket for her to go back for a holiday even though she's been with us for only 10 months? I don't want to do her wrong, but don't want to pay for something I'm not required to either! this is confusing! thank you for any advice.

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axptguy38 16 yrs ago
"1. The last month that she works after the 1 month notice has been given to her

2. the annual leave (if she doesn't take it in the last month)

3. the ticket back and $100 travel food allowance."


Almost correct. On point three, you need to pay her entire trip back, from your door to hers. Not just the ticket.




As for your other question, since you never paid for her trip to HK, you should technically pay for that trip (used or not). Also her previous employer should pay her trip to the Philippines (used or not).

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ken132 16 yrs ago
If you employed her via an agency, the best thing is to bring her back to to the agents and they can help you do all the calculations.

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smallfry 16 yrs ago
check with the agency and dept about whether you have to pay for the deferred leave trip - I don't think you should have to pay for this as the helper has not worked for 12 months and has not taken the trip.


Deferred leave is approved by the dept for 12 months - if the helper takes the leave, the she gets the trip - if she doesn't (because she's resigned) you shouldn't have to pay for a trip which wasn't taken.


The dept should be able to confirm either way on this but I don't see why you shouldn't get this benefit (not having to pay for a trip which wasn't taken) when you also bear the burden of these circumstances (the costs of termination plus those of a new hire, should you replace the current helper).

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spurtio 16 yrs ago
Download the FDH Guide from the Labour Department. Read More

It will help clear your mind. It has a very useful set of template forms at the back and also explains nearly everything.


All the advice above is sound. You should have paid for her original trip from PH to HK, and should now be paying for her trip back to PH now. That trip includes any bus or ferry or jeepney journey once back in teh PH and in addition a food/travel allowance for the day/s journey.


Make sure you have signed, and witnessed, copies of all the documents showing what you have paid her (including previous pay receipts). It protects you from any comeback later.




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mixeymum 16 yrs ago
thanks all for your help.

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mixeymum 16 yrs ago
Ah another question now, I'm a bit confused with the paperwork , can someone help me clarify if am I suppossed to notify immigration of the termination of the contract or the labour department or both?

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katana 16 yrs ago
mixeymum,


You have to notify ID within 7 days. Labour Dept. deal with 'employment' issues of all employees whether FDH or not so they will deal with any issues related to unpaid wages, money owing etc. The FDH will complain to LD if she believes you broke the employment law (not ID) and basically LD will in turn chase you. If the FDH lodges a complaint with LD she will be allowed to stay in HK until the issue is settled or rejected, if not she has 14 days only before she must leave. Hence why some unscrupulous FDH lodge a complaint with LD as they get longer to look for a new employer and may even get some $$$ as a result (some apparently even work illegally part-time during the period before the case is heard by LD).

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mixeymum 16 yrs ago
Thank you Katana, that really helps me understand it. There are so many scary tactics helpers use, it's all very worrying! So many people have kindy shared info on this site I'm so glad I know now, otherwise, I would be a prime target as I have a tendency to just be trusting. I'll be getting everything signed in writing for sure! So thanks again!

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