Permanent Layoff Letter Template for Hong Kong

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Key Requirements PROMPT example:

Permanent Layoff Letter

"I need a Permanent Layoff Letter compliant with Hong Kong law for a company-wide restructuring affecting 50 employees in our financial services division, with termination dates set for March 15, 2025, including provisions for outplacement services and enhanced severance packages."

Document background
The Permanent Layoff Letter is a crucial document used in Hong Kong when an employer needs to terminate employment relationships permanently due to business restructuring, economic conditions, or organizational changes. This document must strictly adhere to Hong Kong's Employment Ordinance (Cap. 57) and related employment legislation, ensuring proper communication of termination terms, severance entitlements, and statutory obligations. The letter serves multiple purposes: it provides formal notification of employment termination, documents the official end date, details final payment calculations, outlines benefit arrangements, and specifies any post-employment obligations. Given Hong Kong's stringent employment laws, the document must be carefully drafted to include all legally required information while maintaining clarity and professionalism in communication.
Suggested Sections

1. Letter Header and Date: Company letterhead, date, and employee's personal details including name, position, and address

2. Layoff Notice Statement: Clear statement of employment termination and effective date

3. Reason for Layoff: Brief explanation of the business circumstances necessitating the layoff

4. Notice Period Details: Information about the notice period or payment in lieu of notice

5. Final Payment Information: Overview of all final payments including salary, severance, unused leave, and other entitlements

6. Return of Company Property: List of company property to be returned and process for return

7. Benefits Information: Information about the cessation of benefits and any continuation options

8. MPF Details: Information about handling of MPF accounts and contributions

9. Acknowledgment and Signature: Space for both employer and employee signatures to acknowledge the communication

Optional Sections

1. Outplacement Support: Details of any career transition or outplacement services being offered

2. Reference Letter Offer: Information about the availability of reference letters or future employment references

3. Non-Compete Reminder: Reminder of any existing non-compete or confidentiality obligations

4. Rehire Eligibility: Statement about eligibility for future employment with the company

5. Immigration Status Impact: For foreign workers, information about how termination affects their visa status

6. Grievance Procedure: Information about the process for raising concerns about the layoff decision

Suggested Schedules

1. Final Payment Calculation: Detailed breakdown of all final payments including severance, pro-rated bonus, unused leave

2. Benefits Summary: Detailed summary of benefit cessation dates and any conversion options

3. Company Property Checklist: Itemized list of company property to be returned

4. Important Contact Information: List of relevant contact details for HR, benefits providers, and other important contacts

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant Industries

Financial Services

Technology

Manufacturing

Retail

Healthcare

Education

Professional Services

Construction

Hospitality

Telecommunications

Media and Entertainment

Real Estate

Logistics and Transportation

Energy and Utilities

Relevant Teams

Human Resources

Legal

Finance

Operations

Administration

Information Technology

Sales

Marketing

Customer Service

Research and Development

Production

Quality Assurance

Facilities Management

Supply Chain

Relevant Roles

Chief Executive Officer

Chief Financial Officer

Managing Director

General Manager

Department Head

Senior Manager

Manager

Supervisor

Executive

Officer

Coordinator

Administrator

Specialist

Analyst

Assistant

Technical Staff

Operations Staff

Sales Representative

Customer Service Representative

Administrative Assistant

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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