If you have been employed for two years, you are entitled to severance pay if you are laid off or made redundant. Severance is generally calculated at 2/3rds of your monthly pay, multiplied by the number of years of your employment.  The Employment Ordinance provides for minimum and maximum severance amounts (which are subject to change from time to time).  Employers may treat any MPF contributions they have made for you in the past as part of your severance payment (i.e. employer’s MPF contributions are deducted from your severance payout).  Difficulties often arise in calculating the correct severance figure – we can assist you with calculating the correct amount you should be getting.

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