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The Cost of Hiring a Domestic Helper in Hong Kong: A Comprehensive Breakdown

Breakdown of Hiring Costs:


2024 Minimum Wage for Foreign Domestic Helpers:

For contracts signed after October 1st, 2023, the minimum monthly wage for domestic helpers is HK$4,870, an increase of HK$140 from the previous rate. The revised minimum wage for 2024 is yet to be announced. However, many employers offer higher salaries based on the complexity of the work, the helper's experience and skills, and any bonuses or incentives. The specific salary is determined through mutual agreement between the employer and the helper.


Food Allowance:

According to the "Standard Employment Contract," employers must provide free meals or a food allowance of at least HK$1,236 per month. The food allowance offers flexibility for helpers, allowing them to choose their meals based on their preferences and dietary needs. However, both food allowances and provided meals have their advantages and disadvantages, and the best option should be decided through discussion between the employer and the helper.


Mandatory Employee Compensation Insurance:

Domestic helpers are susceptible to illness or injury while working in Hong Kong. Therefore, the Labour Department requires employers to provide free medical care and purchase insurance for their helpers. Several insurance options are available specifically for foreign domestic helpers, with annual premiums ranging around HK$1,200.


Roundtrip Airfare and Transportation:

Employers are responsible for providing one-way airfare for the helper from their home country to Hong Kong and back upon completion or termination of the contract. For destinations like the Philippines and Indonesia, the one-way airfare typically costs around HK$1,500, but the actual price can vary depending on the airline, class, and season. Additionally, employers must cover the helper's transportation costs from the airport to their residence upon arrival and departure from Hong Kong. This expense usually doesn't exceed HK$300.


Employment Agency Fees:

If you choose to hire a domestic helper through an employment agency, you will incur agency fees. Sunlight Employment Agency's overseas domestic helper service starts at HK$11,980, which includes:

-Local domestic and language training fees

-Overseas medical examination

-Contract confirmation fee at the Indonesian/Philippine Consulate in Hong Kong

-Initial Hong Kong entry visa fee

-One-way airfare to Hong Kong

-Dedicated airport pick-up to our office

-First two days of meals

-Assistance with obtaining the helper's Hong Kong identity card

-Free infant care training course for helpers (presented by a professional registered nurse)

-Helper's documentation and departure fees

-Labour law consultation

-Free enrollment in domestic helper training courses in Hong Kong

-One-time replacement of an overseas/ready-made domestic helper within six months at a discounted price (subject to terms and conditions)

-First year of Hong Kong Labour Insurance

-Including Philippine insurance premium

-By understanding these costs, you can plan your budget effectively and make an informed decision about hiring a domestic helper in Hong Kong.


Estimated Expenses for Hiring a Domestic Helper for 2 Years

 Domestic Helper Salary


Expense Category


Estimated Cost

Employment Agency Fees, Visa Fees, Airfare, Medical Examination, etc.

Minimum HK$11,980

Salary

HK$116,880(HK$4,870 x 24 months)

Food Allowance

HK$29,664(HK$1,236 x 24 months)

Domestic Helper Insurance

HK$1,200

Total

HK$158,764

In addition to the monthly salary, agency fees, airfare, and other expenses, employers are also responsible for miscellaneous costs like daily necessities, utilities, and transportation after hiring a domestic helper. While these expenses may seem small individually, they can accumulate over time and vary depending on individual circumstances. Therefore, employers should carefully plan their budget before hiring a domestic helper.


Termination Costs for Foreign Domestic Helpers

Similar to local employees in Hong Kong, domestic helpers are entitled to severance pay or long service payment under specific conditions, as per the Labour Department regulations. However, it's important to note that employers are not required to pay both severance pay and long service payment; they only need to pay one of them.


1.Foreign Domestic Helper Severance Pay:

As per the Labour Department regulations, employers must pay severance pay to domestic helpers in the following situations:

-Dismissal due to redundancy: If a domestic helper is dismissed due to the employer's reduced business needs or operational scale, they are entitled to severance pay.

-Non-renewal of fixed-term contract due to redundancy: If a domestic helper's fixed-term employment contract is not renewed, and the reason for non-renewal is redundancy, they are also entitled to severance pay.

-The domestic helper must have worked continuously for the same employer for at least 24 months before being dismissed or not having their contract renewed.

Severance Pay Calculation for Foreign Domestic Helpers:


2.Latest monthly wage x 2/3 x service period (If the domestic helper's service period is less than one year, their severance pay will be calculated proportionally.)


Foreign Domestic Helper Long Service Payment:

Domestic helpers are entitled to long service payment if they have been continuously employed by the same employer for 5 years or more and leave under the following circumstances:

-Not being offered a contract renewal by the employer after the contract expires.

-Not being summarily dismissed for serious misconduct.

-Resigning due to a medical certificate issued by a registered medical practitioner or a registered Chinese medicine practitioner, certifying that they are unfit to perform their current job.

-Reaching the age of 65 or above and retiring.

-Death during employment.


If you have any questions regarding these costs, please feel free to contact Sunlight Employment Agency. We are happy to answer your questions.


The information provided on this website is for reference only. No express or implied warranty is given by the Sunlight Employment agency as to the accuracy of the information and will NOT be liable for any errors in, omissions from, or misstatements or misrepresentations (whether express or implied) concerning any such information.
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