SELECT content FROM law_ref_lang_word WHERE word_id=66 AND lang_id=3 FirstLaw 第一國際法律事務所
【China Affairs】
  • Introduction on Labor Laws of the PRC                                                                             

                    ◎  According to PRC LaborLaw, PRC LaborContract Law, and theRegulation on the
                          Implementation of the Labor Contract Law of the PRC, the employer shall pay remunerations,
                          overtime remunerations & social insurance premiumsto the employee.

  • Employers’Liability                                                                                                           

                    ◎  Failure to conclude a labor contract in a timely manner:

                          1.The employer shall each month pay to the employee twice his wage.

                          2.The employee fails to conclude a written employment contract with the employer:

                                 2-1.Where any employee, after being notified by the employer in writing, fails to
                                                 conclude a written employment contract with the employer within one month
                                                 from the day when he is employed, the employer shall terminate the employment
                                                 relationship with the employee and notify the employee in writing.

                                 2-2.In which case, the employer is not required to make any economic compensation
                                                 to the employee, but shall pay the employee for his actual working time.

                    ◎  Discharge of Labor Contracts

                          1.In the case of any of the following circumstances, the employer may discharge the labor
                                  contract after it notifies the employee himself in written form 30 days in advance or after
                                  it pay the employee an extra month's salary:

                          2.The employee falls ill or is injured for a non-work-related reason, who is not able to bear
                                  the original post after the expiration of the medical treatment period as prescribed, nor 
                                  can he assume any other position as arranged by the employer;

                                 2-1.The employee is incapable of doing his job and remains so upon training or up
                                                 on adjustment to his post; or

                                 2-2.The objective circumstance has altered significantly, on which the conclusion 
                                                 of the labor contract is based, which results in that the labor contract is unable 
                                                 to be performed.

                                 2-3.And no agreement concerning the modification of contents of the labor contract
                                                 is reached after consultations between the employer and the employee.

                    ◎  Payment of Economic Compensation

                          In the case of any of the following circumstances, employers shall make an economic
                          compensation to the employees:

                          1.Any employee discharges the labor contract according to Article 38 of LaborContract

                          2.Any employer intends to discharge the labor contract with the employees according to
                                  Article 36 of LaborContract Lawand reaches consensus with the employees through

                          3.The employer discharges the labor contract after it notifies the employee himself in written
                                  form 30 days in advance or after it pay the employee an extra month's salary;

                   4.The employer discharges the labor contract subject to the first Paragraph of Article 41
                           of  LaborContract Law;

                          5.The labor contract is a contract with a fixed period, which is terminated in accordance
                                  with Paragraph (1) of Article 44 of LaborContract Law, except that the employee
                                  disagrees to renew the contract even though the conditions offered by the employer are
                                  the same as or better than those stipulated in the current contract;

                          6.The labor contract is terminated in accordance with Subparagraphs (4) of Article 44
                                  of  LaborContract Law, the employer is announced bankrupt according to law; and
                                  according to (5) of Article 44 of LaborContract Law, the employer is revoked of
                                  business license thereof, or is ordered to close down or is discharged, or it determines
                                  to go to liquidation before the schedule; or

                          7.Other circumstances as prescribed by laws and administrative regulations.

                    ◎  The Liability for Compensation

                           In the case of any of the following circumstances, the employer shall assume the liability for
                           compensation to the employees:

                          1.Any employer infringes the legitimate rights and interests of employees;

                       2.Any employer is in violation of LaborContract Lawbecause of discharge or termination
                               of the labor contract;

                       3.Any employer violates LaborContract Lawbecause of stipulating the probation period
                               with any employee;

                          4.A labor contract has been confirmed as invalid;

                          5.Any committed violation or crime by an employer causes any damage to the worker;

                          6.Any employer is in violation of LaborContract Lawdue to collecting property from workers.

                    ◎ Social Insurance

                         1.The State shall develop social insurance undertakings, establish a social insurance system,
                                 and set up social insurance funds so that employees may receive assistance and
                                 compensations under such circumstances as old age, illness, work-related injury,
                                 unemployment and child-bearing. 

                         2.The employing unit and employees must participate in social insurance and pay social 
                                 insurance premiums in accordance with the law. 

                         3.The employing unit that fails to pay social insurance premium without reason shall be
                                 ordered by the labor administrative department to pay within fixed period of time. If 
                                 the unit still fails to make the payment beyond the time limit, an additional arrears
                                 payment may be demanded. 

  • Labor Disputes                                                                                                                 

                    ◎  Wherea labor dispute takes place, the parties involved may apply to the labor dispute
                          mediation committee of their unit for mediation; if the mediation fails and one of the parties
                          requests for arbitration, that party may apply to the labor dispute arbitration committee for
                          arbitration. Either party may also directly apply to the labor dispute arbitration committee
                          for arbitration. 

                    ◎  If one of the parties is not satisfied with the adjudication of arbitration, the party may bring
                          the case to a people's court.

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