Compensation standards for employees of enterprises that terminate labor contracts

Except for the circumstances stipulated in Article 39 of the Labor Contract Law, the employer is not required to pay severance in other circumstances, and the form of compensation is different depending on the reason for termination.

1. If both parties agree to terminate the contract through consultation, the economic compensation shall be paid to the employee according to the standard of one month's salary for each full year of the employee's service in the unit. where it is more than six months but less than one year, it is calculated as one year; If it is less than six months, the worker shall be paid half a month's salary. The monthly wage referred to here refers to the average salary of the employee in the 12 months prior to the termination or termination of the labor contract, which is calculated according to the salary payable.

2. If the unit is unilaterally dismissed without a legitimate reason, it needs to pay double the compensation according to the above standards.

Labor Contract Law

Article 39 The employer may terminate the labor contract if the worker falls under any of the following circumstances:

1) During the probationary period, it is proved that they do not meet the employment requirements;

2) Seriously violating the rules and regulations of the employer;

3) Serious dereliction of duty, malpractice for personal gain, causing major damage to the employer;

4) The worker establishes labor relations with other employers at the same time, causing a serious impact on the completion of the work tasks of the employer, or refuses to make corrections upon the employer's request;

5) The labor contract is invalid due to the circumstances specified in Item 1, Paragraph 1 of Article 26 of this Law;

6) Those who have been pursued for criminal responsibility in accordance with law.

Article 47 Economic compensation shall be paid to the laborer according to the standard of one month's salary for each full year of the worker's service in the unit. where it is more than six months but less than one year, it is calculated as one year; If it is less than six months, the worker shall be paid half a month's salary.

Article 87 Where an employer dissolves or terminates a labor contract in violation of the provisions of this Law, it shall pay compensation to the worker in accordance with twice the standard of economic compensation stipulated in Article 47 of this Law.

If the labor contract is terminated or not renewed due to reasons attributable to the company, the employee shall be compensated with one month's salary. And so on.

After the termination of the labor contract, if the enterprise needs to compensate the labor, the compensation method is mainly economic compensation, which is divided into economic compensation and compensation, and the standard of economic compensation and compensation is as follows:

1) Economic compensation.

According to Article 47 of the Labor Contract Law, severance shall be paid to the employee at the rate of one month's salary for each full year of service in the employer. where it is more than six months but less than one year, it is calculated as one year; If it is less than six months, the economic compensation of half a month's salary shall be paid to the laborer. If the monthly wage of a worker is three times higher than the average monthly wage of the employee in the previous year announced by the people of the municipality directly under the Central Government or the city divided into districts where the employer is located, the standard of economic compensation to be paid to him shall be three times the average monthly salary of the employee, and the maximum annual limit for paying economic compensation to him shall not exceed 12 years.

The term "monthly wage" mentioned in this article refers to the average salary of an employee in the 12 months prior to the termination or dissolution of the labor contract.

2) Indemnity.

The compensation is mainly for the economic compensation that the employer should pay to the employee when the labor contract is terminated illegally, which is generally twice the economic compensation. Pursuant to Article 87 of the Labor Contract Law, if an employer dissolves or terminates a labor contract in violation of the provisions of this Law, it shall pay compensation to the employee in accordance with twice the standard of economic compensation stipulated in Article 47 of this Law.

According to Article 46 of the Labor Contract Law, if an employer terminates the employment relationship in accordance with the provisions of Articles 36, 40 and 41 above, it shall pay economic compensation to the employee.

Article 47 stipulates that severance shall be paid to the worker at the rate of one month's salary for each full year of service in the employer. where it is more than six months but less than one year, it is calculated as one year; If it is less than six months, the worker shall be paid economic compensation for the half-ground transportation for one month's wages. Monthly wage refers to the average salary of an employee in the 12 months prior to the termination or dissolution of the employment contract.

In addition to the above-mentioned circumstances, if an employer dismisses an employee, it is deemed to have terminated the labor contract in violation of the law, and the employer shall pay compensation to the employee at twice the standard of economic compensation, that is, according to the number of years the employee has worked in the employer, and the employee shall be paid two months' wages for each full year. where it is more than six months but less than one year, it is calculated as one year; If it is less than six months, the employee shall be paid one month's salary compensation. Early bend.

1. What agreed clauses can be added to the labor contract?

Include agreed clauses such as probationary period, training, confidentiality, non-competition, liquidated damages, and handover of resignation in the employment contract.

In order to prevent disputes over the validity of rules and regulations, the employment contract may stipulate the terms of the rules and regulations that have been publicized to the employee (e.g., "Party B confirms that it has understood the content of the company's rules and regulations").

In order to prevent the employee's resistance when dissolving or terminating the employment contract (such as not accepting the dissolution or termination of the employment contract, etc.), the terms for the service of the written notice of dissolution or termination of the employment contract may be stipulated in the employment contract (e.g., "if Party A's relevant written documents and notices cannot be directly delivered to Party B, Party B shall confirm that the home address filled in the employment contract is the mailing address").

In order to prevent disputes in the event of a job adjustment or salary adjustment, a clause such as "the post changes with the salary" can be stipulated in the employment contract (e.g., "if Party B is adjusted due to Party B's incompetence in the job, the salary will be appropriately adjusted according to the adjusted position").

In addition to the above-mentioned provisions, the enterprise may also agree on some other matters according to the actual situation, such as the "management rights of the employer", on the premise of complying with the provisions of the law.

2. Whether the labor contract should be sent to the labor bureau for sealing.

Before October 2007, the labor contract needs to be authenticated, and it will be stamped by the labor bureau; After that, the labor contract certification measures were abolished, and the labor department no longer stamped it. Article 16 of the Labor Contract Law stipulates that "a labor contract shall be agreed upon by the employer and the employee, and shall be signed or sealed by the employer and the employee on the text of the labor contract".

Therefore, as long as the labor contract signed now does not violate the provisions of relevant laws and is also signed on the basis of voluntariness, equality and consensus between the parties, the labor contract will take effect after both parties sign or seal it. The absence of the seal of the Labor Bureau does not affect the entry into force of the employment contract.

Legal analysis: (1) Negotiate the termination of the labor contract. (2) The employee shall terminate the labor contract by giving advance notice.

3) The employer may terminate the labor contract under any of the following circumstances: (1) the employee fails to provide labor protection or working conditions in accordance with the labor contract; (2) Failure to pay labor remuneration in full and in a timely manner; (3) Failing to pay social insurance premiums for workers in accordance with law; (4) The rules and regulations of the employer violate the provisions of laws and regulations and harm the rights and interests of workers; (5) The labor contract is invalid due to the circumstances specified in the first paragraph of Article 26 of this Law; (6) Other circumstances in which the labor contract may be terminated as provided by laws and administrative regulations. If an employer forces an employee to work by means of violence, threats or illegal restriction of personal freedom, or if the employer directs or forces the employee to perform risky work in violation of rules and regulations and endangers the employee's personal safety, the employee may immediately terminate the labor contract without prior notice to the employer.

Legal basis: Labor Contract Law of the People's Republic of ChinaLegal basis: Article 36 of the Labor Contract Law of the People's Republic of China The employer and the employee may terminate the labor contract if they reach a consensus through consultation.

Article 37 A worker may terminate a labor contract by notifying the employer in writing 30 days in advance. The employee may terminate the labor contract by notifying the employer three days in advance during the probationary period. Article 38 An employee may terminate a labor contract under any of the following circumstances:

1) Failure to provide labor protection or working conditions in accordance with the provisions of the labor contract; (2) Failure to pay labor remuneration in full and in a timely manner; (3) Failing to pay social insurance premiums for workers in accordance with law; (4) The rules and regulations of the employer violate the provisions of laws and regulations and harm the rights and interests of workers; (5) The labor contract is invalid due to the circumstances specified in the first paragraph of Article 26 of this Law; (6) Other circumstances in which the labor contract may be terminated as provided by laws and administrative regulations. If an employer forces an employee to work by means of violence, threats or illegal restriction of personal freedom, or if the employer directs or forces the employee to perform risky work in violation of rules and regulations and endangers the employee's personal safety, the employee may immediately terminate the labor contract without prior notice to the employer.

Under normal circumstances, the compensation standard for the termination of a labor contract by an employee of an enterprise is one month's salary for each year of work, and not more than 12 months' salary.

The monthly wage of severance compensation is calculated according to the wages due to the worker, including hourly wages or piece-rate wages, as well as monetary income such as bonuses, allowances and subsidies. If the average salary of an employee in the 12 months prior to the termination or termination of the labor contract is lower than the local minimum wage standard, it shall be calculated in accordance with the local minimum wage standard. If a worker has worked for less than 12 months, the average wage shall be calculated according to the number of months actually worked.