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Minimum Wage upon Renewal of FDH Contract

  1. #1
    Obiwan is offline Registered User
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    Minimum Wage upon Renewal of FDH Contract

    Hi Ladies,

    My helper's contract (2 years) is due Sept 2011 have a few questions hope you could assist. Thanks in advance.

    1. Upon renewal, do we pay the then prevailing minimum wage, or do employers typically give a x% raise upon renewal of each contract?
    2. Besides minimum wage, is there a long service award that is to be paid as part of monthly wage. For eg, if the helper has worked for say 8 years, is there a minimum wage for each 2-way renewal of contract that is different from the minimum wage?
    3. Is the current minimum wage still HKD3,580?

  2. #2
    carang's Avatar
    carang is offline Registered User
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    no, it is up to you whether or not you offer her a raise. the current minimum wage is $3580 + $740 food allowance (ONLY if she doesn't eat your food).

    long service is paid when you no longer need the helper BUT only after 5 years of service. if the helper quits, it isn't necessary to pay it....that is the word we got from the labour dept a month ago when our helper quit to move to canada.

  3. #3
    mummymoo is offline Registered User
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    Generally I would say I would give her a raise if her performance justifies it. We've raised our helper's wage by about $400 per contract but we've had her less than 2 contracts.

    Moreover if you give a raise, it is entirely up to you, but don't put it in the green contract. Just write it as $3580, and then pay it to her as a bonus every month (for performance). Makes life easier for you when the relationship goes south (usually earlier on), may prevent helper from taking your contract and trying to convince another employer to give her a higher wage, LSL pay (when the relationship goes south). Cynical, I know, but I learnt the hard way. Anyway, with a great helper, you won't need the protection this tactic affords, but for the very small %, it is very important.

    Hope this helps

  4. #4
    Hmmm is offline Registered User
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    Understood!!! Thank you very much!

  5. #5
    Obiwan is offline Registered User
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    thank you cara, thank you mummymoo. cheers.

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