Employment
Employment Legal Services
Last Updated: October 3, 2026We provide employment relations services covering the full cycle from recruitment and onboarding to resignation and dismissal, helping companies build stable and compliant employment relationships with their employees. Who We Serve Companies with formal employees, or companies facing layoffs; Companies in labor disputes or facing potential labor arbitration; Companies that need to build employment policies...
Under What Circumstances May an Employer Not Terminate an Employment Contract?
Last Updated: October 3, 2026An employer may not terminate an employment contract under Articles 40 or 41 of the Labor Contract Law where the employee: (1) has engaged in work involving occupational-disease hazards and has not undergone a pre-departure occupational health examination, or is suspected of having an occupational disease and is undergoing diagnosis or medical observation; (2) has...
What Are the Legal Consequences of an Employer’s Unlawful Termination of an Employment Contract?
Last Updated: October 3, 2026What are the legal consequences if an employer unlawfully rescinds or terminates an employment contract? If the employee requests continued performance, the employer shall continue to perform the contract. If the employee does not request continued performance or performance is no longer possible, the employer shall pay damages at twice the statutory economic-compensation rate.
What Are the Standards for Overtime Pay?
Last Updated: October 3, 2026In any of the following circumstances, the employer shall pay remuneration above the employee’s normal hourly wage at the following rates: (1) at least 150% of wages when the employee is required to work extended hours; (2) at least 200% of wages when the employee is required to work on a rest day and no...
What Are the Standards for Statutory Economic Compensation?
Last Updated: October 3, 2026Statutory economic compensation is paid based on the employee’s years of service with the employer at the rate of one month’s wage for each full year. A period of at least six months but less than one year is counted as one year; for less than six months, half a month’s wage is paid. If...
What Conditions Must Be Met to Operate a Labor Dispatch Business?
Last Updated: October 3, 2026A labor dispatch business shall meet the following conditions: (1) registered capital of at least RMB 2 million; (2) fixed business premises and facilities suitable for its operations; (3) a labor-dispatch management system compliant with laws and administrative regulations; (4) other conditions prescribed by laws and administrative regulations. An operator shall apply to the labor...
What Does the Law Provide Regarding Probation Periods?
Last Updated: October 3, 2026Question: How long may a probation period last? An employment contract may provide for a probation period, which may not exceed six months. For a contract of at least three months but less than one year, probation may not exceed one month; for a contract of at least one year but less than three years,...
What Is the Limitation Period for Applying for Labor Arbitration?
Last Updated: October 3, 2026The limitation period for applying for arbitration of a labor dispute is one year, calculated from the date on which the party knew or should have known that its rights had been infringed. The limitation period is interrupted when one party asserts its rights against the other party, requests relief from a competent authority, or...
When Must an Employer Enter into an Open-ended Employment Contract with an Employee?
Last Updated: October 3, 2026An employer and employee may enter into an open-ended employment contract by agreement. If the employee proposes or agrees to renew or enter into an employment contract in any of the following circumstances, an open-ended contract shall be concluded unless the employee requests a fixed-term contract: (1) the employee has worked continuously for the employer...
Which Employees Should Be Retained as a Priority During a Layoff?
Last Updated: October 3, 2026When reducing its workforce, an employer shall give priority to retaining: (1) employees who have entered into relatively long fixed-term employment contracts; (2) employees who have entered into open-ended employment contracts; (3) employees whose households have no other employed person and who support an elderly person or minor. If the employer recruits again within six...