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Fixed Term Contract Termination Letter Template for Hong Kong

A formal document used in Hong Kong to officially terminate a fixed-term employment contract, complying with the Hong Kong Employment Ordinance (Cap. 57) and related employment legislation. This letter serves to document the termination of employment, specify the final working day, outline all final payments and entitlements, address the return of company property, and remind the employee of any continuing obligations such as confidentiality. The document ensures legal compliance while maintaining professional relationships and protecting both employer and employee interests under Hong Kong law.

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What is a Fixed Term Contract Termination Letter?

The Fixed Term Contract Termination Letter is a crucial document used in Hong Kong employment relationships to formally conclude a fixed-term employment arrangement. It must comply with the Hong Kong Employment Ordinance (Cap. 57) and should be issued with appropriate notice as specified in the original employment contract. This document is typically used when a fixed-term contract is approaching its end date, or when both parties agree to terminate the contract earlier than the specified end date. It should include essential information such as the termination date, final payment details, requirements for returning company property, and any post-employment obligations. The letter serves both as a formal record of the employment termination and as a legal document protecting both parties' interests under Hong Kong law.

What sections should be included in a Fixed Term Contract Termination Letter?

1. Date and Address Block: Current date and full address details of both employer and employee

2. Subject Line: Clear indication that this is a termination letter for a fixed term contract

3. Opening Statement: Reference to the fixed term contract and formal notice of termination

4. Termination Details: Specific date of termination and reference to contract end date

5. Final Payments: Overview of final salary, unused leave, and other entitlements

6. Company Property: Request for return of company property and documents

7. Confidentiality Reminder: Reminder of ongoing confidentiality obligations

8. Signature Block: Space for authorized signatory and company details

What sections are optional to include in a Fixed Term Contract Termination Letter?

1. Reason for Termination: Include if there's a specific reason beyond contract expiry that needs to be documented

2. Handover Instructions: Include if there are specific handover requirements or procedures

3. Reference Offer: Include if the company is willing to provide employment references

4. Non-Compete Reminder: Include if the original contract contained non-compete clauses

5. Exit Interview: Include if an exit interview needs to be scheduled

6. Benefits Continuation: Include if there are any benefits that continue post-termination

What schedules should be included in a Fixed Term Contract Termination Letter?

1. Schedule A - Final Payment Calculation: Detailed breakdown of all final payments including salary, leave, and any other entitlements

2. Schedule B - Company Property Checklist: List of company property to be returned

3. Schedule C - Handover Document List: List of documents and tasks to be handed over, if applicable

Authors

Alex Denne

Advisor @ 蜜桃传媒AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents

Jurisdiction

Hong Kong

Cost

Free to use

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