Finished Contract or Terminated Contract ?

Understanding the nuances between a finished contract and a terminated one for domestic helpers in Hong Kong is crucial for employers and employees when recruiting a domestic helper. You might face several different situations, and each one has its own rules. This guide will help you understand the various contract statuses and what they mean to make informed decisions and find the right help for your household without any stress.

What is the meaning of Finished Contract Status for Domestic Helpers?

Finishing a contract would mean that the domestic helper has completed the contract, and the standard employment contract is effective for two years. At that moment, the worker can renew or move on. A domestic helper with a finished contract can apply for a new job (or renew her current contract). She can go for interviews and get appointed to employment without going through an employment agency or returning to her country of origin. The helper can apply for the stay visa to be extended, thereby delaying annual leave at the end of the contract. For employers, if you connect with a candidate within Hong Kong near or at the end of their contract, the visa processing could be expedited to just 2 to 4 weeks. A lot of finished contract candidates are available on HelperPlace.

Termination due to relocation

With the abundance of expatriates being moved from country to country, many domestic helpers are terminated due to relocation. In this specific case, the helper can apply for work without going through an employment agency and without going back to her country of origin. The visa processing time is only 2 to 4 weeks, and helpers are considered to have a finished contract.

Termination due to financial reasons

This happens when the family is in financial trouble and can no longer afford to pay a foreign domestic helper. This could be due to the family's breadwinner losing employment or illness affecting the breadwinner’s ability to earn a living. In this case, the employer could not afford to continue with the helper’s employment contract. In this specific case, the helper can apply for work without having to go through an employment agency and without going back to her country of origin. The visa processing time is only from 2 to 4 weeks, helpers are considered as finished contract.

Termination due to special reasons

Unfortunately, if the previous employer passes away, the end of the contract will be considered a finished contract (proof must be provided). For this special reason, the visa processing time is 2 to 4 weeks.

Break contract, by the Helper

To break a contract, the helper leaves the job. It may be due to many reasons. The main reason is because some employers are treating the helper unfairly:

• making the worker toil for unreasonable hours or more than usual
• not giving the helper enough food
• not paying the salary
• making the worker sleep in poor conditions due to the lack of space in the apartment
• refusing medical attention

The Labour Department should intervene if a worker is being exploited in any of these instances, but the onus of providing the proof falls on the helper, and a lack of evidence will not support a claim. Some helpers are also breaking their contract for personal reasons (medical emergency, family issue in their country...) or because they don't like working for their employers! In these cases, the helper invariably leaves the job and does not prolong her contract. The helper must perform a one-month notice period, and then she will go back to her country of origin. An employer who wants to hire a break contract has the obligation to use an employment agency. In this case, a new immigration process is required (at least 8 weeks, average 12 weeks).

What are the consequences of a Termination for other reasons?

A terminated contract occurs when the helper is fired from the job. The reason can be misdemeanors such as theft, laziness, harming children in their care, etc. The Immigration Department takes the reason an employee has left employment very seriously. An employer seeking a terminated contract for other reasons should use an employment agency. In this case, a new immigration process is required (at least 8 weeks, average 12 weeks).

How to Hire Overseas Candidates?

A lot of employers are hiring Filipinos or Indonesians who are living in their country of origin. They are looking for the Right Helper (time and cost are not their main criteria!). In this case, an employment agency must be used to notarize the employment contract. The agency's role is to search for skilled candidates, schedule interviews, arrange medical checks, prepare the contract, handle the visa application, and assist helpers in reporting to their own country’s consulate and applying for the Hong Kong ID. Choose carefully an ethical employment agency to help you with the immigration process (at least 12 weeks).

Don't forget!

By law, a foreign domestic helper is not allowed to work for a new employer until the helper gets a work visa. The Immigration Department has a very complex and thorough employment contract form for foreign workers. This appears to cover all eventualities:

• Hours of work and job location
• A job description (how many members to serve, age of the kids...)
• Salary offered – which may not be below the Hong Kong minimum wage
• The accommodation offered
• Medical Insurance
• Compensation would be paid
• Vacation conditions – which include public holidays, rest days and annual leave, and many more factors

If you need more information about the hiring process for a domestic helper, you can read the following guide how to hire a domestic helper