By Xu Xiaodan King & Wood Mallesons’ Commercial & Regulatory group

xu_xiaodanAnswers to Questions on Trial of Labor Disputes (IV) (“Answers (IV)”] was released by the Zhejiang High People’s Court and the Labor Disputes Arbitration Commission of Zhejiang Province on 30 December 2016. These clarify some common questions about judicial practice and existing rules. The following questions arise:

Is an employee entitled to double his salary if statutory clauses are not included in his employment contract?

Pursuant to Answers (IV), if an employment contract omits statutory clauses (such as employment duration, job duties, remuneration, labour protection, working conditions) but there is a genuine intention for the parties (employer and employee) to establish an employment relationship, the contract is likely to be deemed valid. The employee’s claim for double his salary will not be supported. In this situation, the parties can negotiate any omissions in the contract. Failing this, relevant provisions from collective contracts (if any), laws and regulations can be applied.
Continue Reading Latest Judicial Guidance on Labor Disputes in Zhejiang Province

By Luo Ai  Xie Minru  King & Wood Mallesons’ Commercial & Regulatory Group

luo_aiAn announcement from Ministry of Human Resources and Social Security of the People’s Republic of China (MOHRSS) comes out that “Letter of the General Office of the Ministry of Labor on Answer to Whether Disputes Arised from Determining Employees’ Leaving without Permission

By Lucy Lu Lexina Li  King & Wood Mallesons’ Labor Group

lu_lucyThere were increasing labor disputes arising from the termination of employment contract by the employer on the basis of material change of objective circumstance in recent time, which caused many controversies about how to apply this clause in practice. We reviewed the following case happened in Suzhou, Jiangsu Province and would like to discuss the application of this clause on the basis of the judgment of this case.
Continue Reading How to Understand “Material Change of Objective Circumstance”

By Yin Juquan  Pan Faluan  King&Wood Mallesons’ Labor Group

yin_juquanTo hear labor dispute cases fairly and efficiently and to keep the trial criteria of labor dispute cases consistent, many local arbitral and judicial organizations have promulgated guiding opinions based on labor related laws, regulations, and judicial interpretations and with the consideration of local judicial practice.  Anhui Provincial High People’s Court ( “Anhui Provincial Court”) promulgated the Guiding Opinions of Anhui Provincial High Court on Certain Issues in Handling Labor Disputes (“Guiding Opinions”) on January 20th, 2015. The Guiding Opinions absorb some major opinions of national judicial interpretations of labor disputes and local guiding opinions of other municipalities and provinces, and also have some updates on current local judicial practices in handling labor disputes. A good command of these updates could help enterprises mitigate the risks in handling labor disputes. In this article, we will highlight and briefly discuss three main points of the Guiding Opinions. 
Continue Reading Updates of Local Judicial Practice in Labor Disputes — Highlights of Guiding Opinions of Anhui Provincial High Court on Certain Issues in Handling Labor Disputes