Littler Global Guide - China - Q1 2017

Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

Termination of Employment Document

Precedential Decision by Judiciary or Regulatory Agency

A recent case in Beijing reinforces the PRC Labor Contract Law in ruling that if an employment contract between an employer and an employee is canceled or terminated, the employer must issue a document promptly certifying the cancellation or termination of the contract. Failure to do so will subject the employer to liabilities of any losses found by the court.

Employment Contract

Precedential Decision by Judiciary or Regulatory Agency

An appellate court in Guangdong recently ruled that Chinese law prohibits imposing a penalty on employees under an employment contract unless one of the two exceptions apply: (1) penalty in pursuant of an education reimbursement agreement; (2) penalty in pursuant of a non-compete agreement/clause.

Pay On Time

Precedential Decision by Judiciary or Regulatory Agency

A recent case in Shenzhen reiterates the rule that an employee must be paid within seven days after the agreed payment cycle. There are strict rules to follow to obtain an extension. Employment laws may not be contracted away.

Information contained in this publication is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney.