How a Mid-Sized Company Retained Its Team Post-Closure

A Singapore-based SaaS provider with 80 employees globally, including 12 key staff in Hong Kong, faced the challenge of closing their Hong Kong entity due to post-pandemic cost restructuring. The company needed to reduce operational costs and restructure their regional presence, but they wanted to retain their key Hong Kong staff who were supporting regional clients and possessed critical market knowledge, client relationships, and operational expertise. The challenge was executing a compliant entity closure while maintaining service continuity for their regional client base.

AYP Group partnered with the SaaS provider to implement a comprehensive Employer of Record (EOR) solution that enabled them to retain all 12 Hong Kong employees during the entity closure process. The solution included:

- Strategic planning for entity closure while maintaining workforce continuity
- Legal termination of all 12 employees from the closing Hong Kong entity with full compliance
- Immediate re-engagement of all staff under AYP's EOR employment structure
- Seamless transition of employment contracts with MPF continuity and new local contracts
- Full compliance with Hong Kong's Employment Ordinance and regulatory requirements
- Maintenance of existing compensation packages, benefits, and working arrangements
- Complete HR and administrative support throughout the closure process
- Ongoing payroll, MPF contributions, and benefits administration under the EOR model

AYP ensured that all legal obligations were met while providing a smooth transition that maintained team integrity and client service capabilities.

The post-pandemic restructuring and entity closure delivered outstanding results:

- 100% talent retention - all 12 key employees were successfully retained
- No disruption to client relationships or service delivery
- Fully compliant transition with MPF continuity and proper employment contracts
- Successful entity closure completed in under 6 months
- Maintained all regional client support capabilities
- Preserved critical market knowledge and operational expertise
- Achieved cost restructuring objectives while maintaining service quality
- Continued operations in Hong Kong without maintaining a legal entity
- Seamless transition with zero client or employee loss