Dear Sir/Madam.

I have been working for the current Employer for six year; and I received a contract-end gratuity bi-annually. The amount of gratuity is equal to 10% of total salaries for two-year contract; and the gratuity is inclusive of the total monthly contributions made by the Employer as an Employer to the MPF scheme. Therefore, the actual amount of gratuity payment is equal to (10% of total salary for 2 years) - (Employer's contribution for our MPF for 2 years).

I recently received termination notice from my employer, and realized that my long severance payment will be offset by benefit of MPF from the Employer's contribution. I wonder if my Employer could use the MPF contribution which is actual derived from our contract-end gratuity to offset our long severance payment? is it a violation of current rules and ordinance?

Thank you