Levy

[rani]

Mushi,

One of the first articles in the SCMP stated that employers who are paying by installment would not have to pay future installments, but according to the Gov't website, that's incorrect.

Employers of pre-existing contracts, i.e. contracts with visa granted before August 1, 2008, are required to continue to pay their levy as provided under the ERO. That said, they would be able to enjoy levy suspension for the new contract period when visas for contract renewal of their serving FDHs or for the hiring of new FDHs are granted at any point in time during the two-year levy suspension period.

 

[happymebaby]

Hi Rani when you say contracts with visa granted before August 1, 2008, does it mean when the DH arrive in HK or when the agent applied for the visa? As my new helper will be arriving within this week and I don't know whether I'm entitle to the levy waiver?! Thanks

 

[jodymo]

My helper says that we just have to make a new application, with support letters. Apparently the government are dealing with the added influx of helper renewels by opening longer hours - though my helper says it can still take all day. So far, no mention of having to return home blah blah blah that usually happens when renewing a contract.

 

[cwbmum]

Hi
We hired our helper through an agency exactly one month ago. We paid the first Levy payment $2400. The lady from the agency called me yesterday and said that we can renew the contract so we don't have to pay any further levy payments. Our helper doesn't need to leave HK, she will carry on as normal but the date on her visa will be a new one.
The agency are charging us $1000 for their fee, this is fine with us as we don't want to be stood around for hours filling in forms etc. We are still saving a lot of money even after paying the agency fee.
We have decided to give our helper an extra bonus each month due to food costs etc.
So in the end we are all happy.

 

[rani]

HappyMe,

I think the date is when you pick up the visa from immigration. You have to pay the levy then. Do you remember paying?

CWBMum, can you ask your agent, if you need to pay your helper severance/long service pay and give her the $ for a ticket home? Cos you are terminating the contract.

 

[mushi]

hi shri, i have heard that the govt is making some revision to this suspension clause to include levys that are being in installments and have not yet been pd....any idea on this? also what are the extra expenses one needs to pay for if contract terminated/re-done with same helper? just want to understand if it is better to re-hire or to continue paying the levy....thanks

 

[peainpod]

On costs, it should come to around H$460 to terminate/rehire a helper from the Philippines. The HK govt will charge $160 for the visa processing and the Philippines consulate charges HK$297.50 to notarize the new contract. (This is if you do all the paperwork yourself. Agents will obviously charge a fee if you go through them.)

There is no need to factor in the costs of an airticket as the HK govt is allowing "deferred home leave" for early termination/rehiring so that under this "advanced contract renewal arrangement, helpers are not required to leave Hong Kong after the termination of the existing contract."

Info is posted on the govt website at this link:
http://www.immd.gov.hk/ehtml/fdh_acr.htm

 

[cwbmum]

Hi
Rani - Had a chat with my agency women, she said if you have had your helper for more than 4 years (2 contracts), wish to continue signing for her then its up to you if you pay severance pay now or later. The next new contract will be without Levy. If you have signed your helper again and are on the 3rd contract, say 3 months into it then you can renew the contract either yourself through the government or through an agent. I have chosen to go through agent as I am living far away from town and with two small children, don't fancy standing around for hours.
My helper does not have to return to the Philippines nor do we have to pay her for a air ticket.
I hope this helps - all new to this really as this is the first full time helper we have had and first time we have used an agency.
I am sure if you called any agency up they will be willing to explain it to you.

 

[mushi]

dear peainpod, thanks so much for giving us the cost....saves a lot of trouble....one more cost would be the return ticket to her home that u have to bear.....in the current arrangement we have to pay only one way....so that should be about $1000 extra....plus the $100 per month that u have to pay her .....what do u say? have u gone thru this process yourself? did yr helper manage to do all the paperwork? i don;t know why my helper is all worried about this/...how do i reassure her?

 

[peainpod]

Hi Mushi, sorry I should have clarified that the situation I mentioned above ($460, no need for airticket) applies only if you rehire you current helper (i.e. advance contract renewal) and NOT if you fire the current one and hire a new helper. If you change helpers, then course you would have to pay for a ticket home for the old helper (and pay for the new helper's ticket as well).

I think it's quite straightforward to do the advance renewal yourself. You can downlaod all of the forms from the HK Immig at this link (except for the green contract which you need to get 4 orig copies from Immig - but yr helper will be able to do that. Most helpers keep a stock or can get from their friends).
http://www.immd.gov.hk/ehtml/fdh_acr.htm

If your helper is from the Philippines, then just download the express contract processing form from the consulate website, and then get your helper to bring it to the consulate together with 4 signed orig contracts to get it notarized.
http://www.philcongen-hk.com/labor/main.htm

Your helper can then take the notarized contracts plus all of the Immig forms and supporting docs to Immig tower in Wanchai to apply for her new visa.

My helper was a Direct Hire so I did all the documentation myself when I first hired her. The renewal process seems a bit simpler, and she can probably do all of the running around herself, without needing you to go.

Mushi, if your helper is confused/worried, I think she should talk to her friends on her day off. They have very good networks and I'm sure they can explain to her how to go thru the whole application process.