Expat = someone who is not a HKG permanent resident
Mullah Lite:
Wrong! Once employed on EXPAT terms and conditions, the contract is binding no matter HOW LONG you live and work in Hong Kong.
There mere fact that you qualify for a permanent HKID after 7 consecutive years in Hong Kong is a privilage and courtesy from the Hong Kong SAR government and in check with the same rights granted to chinese nationals living and working in overseas countries.
Your employment contract has NOTHING to do with a change in status in the country where you now live and work.