Document background
The Layoff Agreement serves as a crucial legal instrument in Hong Kong employment relationships, typically used during corporate restructuring, downsizing initiatives, or individual employment terminations. It ensures compliance with Hong Kong's Employment Ordinance (Cap. 57) and related employment legislation while providing a clear framework for employment termination. The document encompasses statutory requirements for severance payments, notice periods, and final settlements, along with additional negotiated terms such as enhanced benefits or post-termination obligations. This agreement is particularly important in Hong Kong's dynamic business environment, where it helps manage legal risks and provides clarity for both employers and employees during the separation process.
