Posted by
Vikki
18 yrs ago
To waffle hk
Can you tell me if the calculation for long service is 2/3 of the full monthly salary or the base salary, we pay our helper well over the basic salary. she has been with us for 14 years so it will be quite a large amount I'd assume
Regards
Vikki
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I don't think you can do that - if you sign something that is against the law then it is not binding, and could get you into a lot of trouble if anyone should dispute it later.
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Yes you are obliged to give her long service payment, and whatever else is stipulated in her contract (wages in lieu of notice, if applicable, travel allowance, 1-way plane ticket to place of origin, unused leave..)
It is risky (aside from being agianst the law) to have a verbal, mutual agreement about non-payment of long service, even if she is paid well above the minimum. Your domestic helper has the right to claim said amount even if you claim you "both agreed", when the time comes that you'd have to terminate her contract and she's eligible for the long service pay..
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I have say it seems rather mean to wish to deny your DH her long service payment. If you've employed her for 5 years she must be doing good work.
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TC
18 yrs ago
Simplewife (if you're still there),
Your friend is breaking the law. As the maid agreed to the arrangement (albeit possibly under some sort of duress) it might not come to light, but I wouldn't even bet on that. If your friend agreed to pay above the minimum then as far as the law is concerned that does not absolve her from the obligation to pay LSL. The two are entirely separate and one cannot legally be offset against the other. [Agha, I've just noticed that annebin said the same thing. Sorry ah!]
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Lizzie2 and Vikki,
The law said the long service lumpsum is based on the salary stated on the Green contract form. Like you, I paid my DH more than the basic. But when they renew contracts, the agencies tend to just print $3270 on the contracts. So if that's the case for you, then you will only need to calculate it as $3270x 2/3 x no. of years.
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