The latest compensation standard for bankrupt employees in factories

Home. Compensation standards for employees who have closed down their factories.

Questions. Compensation standards for employees who have closed down their factories.

Zhong Meina, Lawyer, Liaoning Qingsong Law Firm.

Compensation is paid according to the number of years the worker has worked in the factory. One month's salary is paid to the worker 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 worker shall be paid half a month's salary.

Legal basis] Article 47 of the Labor Contract Law stipulates that severance compensation shall be paid to the employee according to the number of years of service in the employer and one month's salary 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 worker shall be paid half a month's salary. 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 severance shall be paid to him at the rate of three times the average monthly wage of the employee, and the maximum period of payment of severance 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.

Hello, if the factory signs a resignation agreement with the employee after bankruptcy or reorganization, in accordance with the provisions of the labor law, one month's compensation will be paid for each full year, and one year's compensation will be paid for less than one year and more than 6 months. If it is less than 6 months, it will be compensated for half a year, and the maximum shall not exceed 12 years. The monthly rate of compensation is based on the average salary of 12 months in the current month.

Legal analysis: 1. If the employer declares bankruptcy in accordance with the law, it shall pay economic compensation to the employee. Severance shall be paid to the worker according to the number of years of service in the employer and one month's salary for each full year.

If the employee is not more than six months but less than one year, and six months are counted as one year, the worker shall be paid half a month's salary, but the maximum period for which the economic compensation shall be paid shall not exceed 12 years.

2. Even if the enterprise goes bankrupt, it shall pay the wages owed to the employees, medical treatment, disability allowance and bereavement expenses, and the basic endowment insurance and basic medical insurance expenses owed shall be transferred to the personal accounts of the employees.

Legal basis: "The People's Republic of China Co-lease and the Labor Contract Law of the People's Republic of China".

Article 46 Under any of the following circumstances, the employer shall pay economic compensation to the worker: (1) the worker terminates the labor contract in accordance with the provisions of Article 38 of this Law; (2) The employer proposes to terminate the labor contract to the employee in accordance with the provisions of Article 36 of this Law and terminates the labor contract through consultation with the employee; (3) The employer terminates the labor contract in accordance with the provisions of Article 40 of this Law; (4) The employer terminates the labor contract in accordance with the provisions of the first paragraph of Article 41 of this Law; (5) Except in the case where the employer maintains or improves the agreed conditions of the labor contract and the employee does not agree to renew the labor contract, the fixed-term labor contract is terminated in accordance with the provisions of Paragraph 1 of Article 44 of this Law; (6) Terminating the labor contract in accordance with the provisions of Paragraphs 4 and 5 of Article 44 of this Law; (7) Other circumstances provided for by laws and administrative regulations.

Article 47 Economic compensation shall be paid to the worker according to the number of years he or she has worked in the unit and one month's salary for each full year. if it is more than six months but less than one year of hardship, it will be calculated as one year; If it is less than six months, the worker shall be paid half a month's salary. 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 severance shall be paid to him at the rate of three times the average monthly wage of the employee, and the maximum period of payment of severance shall not exceed 12 years.

The term "monthly wages" as used in this article refers to the average wages of an employee for the 12 months prior to the termination or dissolution of the labor contract.

The compensation standard for employees after the closure of the factory is as follows: the bankruptcy estate shall pay off the bankruptcy expenses and common debts in the following order after giving priority to the repayment of bankruptcy expenses and common debts: 1. The wages and medical treatment, disability allowance and bereavement expenses owed by the bankrupt person to the employees; 2. The social insurance premiums owed by the bankrupt person other than those specified in the preceding paragraph and the taxes owed by the bankrupt person; 3. Ordinary bankruptcy creditor's rights.

Enterprise Bankruptcy Law of the People's Republic of China

Article 113 After giving priority to the repayment of bankruptcy expenses and common debts, the bankruptcy estate shall pay off in the following order: (1) the wages, medical treatment, disability allowance, and bereavement expenses owed by the bankrupt person to the employees, the basic endowment insurance and basic medical insurance expenses that shall be transferred to the personal accounts of the employees, and the compensation that shall be paid to the employees as stipulated by laws and administrative regulations; (2) the social insurance premiums owed by the bankrupt other than those provided for in the preceding paragraph and the taxes owed by the bankrupt; (3) Ordinary bankruptcy creditor's rights. If the bankruptcy estate is insufficient to satisfy the claims in the same order, it shall be distributed proportionately.

The salaries of directors, supervisors and senior managers of a bankrupt enterprise shall be calculated on the basis of the average wages of the employees of the enterprise.

Article 114 The distribution of the bankruptcy estate shall be carried out in the form of monetary distribution. However, unless otherwise resolved by the meeting of the debtors.