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Removal of severance payment / long service payment offset – How employers can prepare?

Cancellation of the Mandatory Provident Fund (MPF) offset mechanism announced in the latest policy address that affects severance payment / long service payment arrangement of all companies in Hong Kong. There are a number of aspects that employers should consider and be prepared.

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The gap between spend and employee perceived value could be closed by engaging employees more in their benefits — for example, by through taking into account their opinions when determining which benefits to offer, or communicating with them regularly and effectively about the benefits that are available to them.
Jack Mak, Senior Consultant, Benefits, Hong Kong at Towers Watson
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