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End Of Contract Letter Template for Hong Kong

An End of Contract Letter is a formal document used in Hong Kong to officially document the conclusion of an employment relationship at the end of a fixed-term contract or agreed termination period. Governed by Hong Kong's Employment Ordinance (Cap. 57), this document outlines the final employment date, details of final payments including salary and benefits, arrangements for company property return, and any post-employment obligations. It serves as a crucial legal record ensuring compliance with Hong Kong employment law requirements while providing clarity to both employer and employee regarding the termination process.

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What is a End Of Contract Letter?

The End of Contract Letter is a essential document in Hong Kong's employment landscape, typically used when a fixed-term employment contract reaches its natural conclusion or when both parties have agreed to end the employment relationship. It must comply with Hong Kong's Employment Ordinance and related employment legislation, ensuring proper documentation of the employment termination process. The letter serves multiple purposes: it confirms the final working day, outlines all final payment calculations including salary and unused leave, addresses MPF (Mandatory Provident Fund) arrangements, lists company property to be returned, and reminds employees of any ongoing obligations such as confidentiality. This document is crucial for both legal compliance and maintaining clear records of the employment conclusion.

What sections should be included in a End Of Contract Letter?

1. Date and Address Block: Employee's name, address, and date of the letter

2. Subject Line: Clear indication that this is an End of Contract Letter

3. Contract Details Reference: Reference to the original employment contract, position, and employment period

4. Confirmation of End Date: Clear statement of when the employment relationship will end

5. Final Payment Details: Overview of final salary, unused annual leave payment, and other entitlements

6. Company Property Return: List of company items to be returned before the last day

7. Confidentiality Reminder: Reminder of ongoing confidentiality obligations

8. Closing and Signatures: Formal closing, signature blocks for both parties

What sections are optional to include in a End Of Contract Letter?

1. MPF Settlement Details: Details about the handling of MPF contributions and account, used when employee has MPF entitlements

2. Outstanding Claims Settlement: Information about pending expense claims or reimbursements, included if there are outstanding claims

3. Reference Letter Offer: Mention of providing a reference letter if agreed upon

4. Non-compete Reminder: Reminder of post-employment restrictions, included if the original contract contained non-compete clauses

5. Exit Interview: Information about exit interview arrangements, if company policy requires one

6. Benefits Continuation: Information about any benefits that continue post-employment, if applicable

What schedules should be included in a End Of Contract Letter?

1. Final Payment Calculation Schedule: Detailed breakdown of all final payments including salary, leave, bonuses, and deductions

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

3. Employee Clearance Form: Checklist for various departments to sign off on employee clearance

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

Jurisdiction

Hong Kong

Publisher

Genie AI

Document Type

Termination Notice

Cost

Free to use

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