Labor Contract Law 3

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Article 16 A labor contract shall become effective after the Employer and the employee have both signed or sealed such contract upon reaching a negotiated consensus.

The Employer and the employee shall each keep one copy of the employment agreement.

Article 17 A labor contract shall include the following items:

(1) name, domicile and legal representative or main person in-charge of the Employer;

(2) name, residential address and number of the resident ID card or other valid identity document number of the worker;

(3) term of the labor contract;

(4) scope of work and place of work;

(5) working hours, rest and leave;

(6) labor compensation;

(7) social insurance;

(8) labor protection, working conditions and protection against occupational hazards; and

(9) other issues required by laws and regulations to be included in the labor contract.

Apart from the mandatory terms mentioned above, an Employer and an employee may agree to include other matters in the labor contract such as probation period, training, confidentiality, supplementary insurance and welfare, etc.

Article 18 Should a dispute arise due to the ambiguous nature of the standards for labor compensation or working conditions or other matters, the Employer and employee may renegotiate; if such negotiation fails, the provisions of the collective contract shall apply. If there is no collective contract or if the collective contract is silent on the issue of labor compensation, the principle of equal pay for equal work shall apply; if there is no collective contract or the collective contract is silent on the standards for working conditions or other matters, the relevant regulations of the State shall apply.

Article 19 If a labor contract has a term of more than three months but less than one year, the probation period may not exceed one month; if a labor contract has a term of more than one year but less than three years, the probation period may not exceed two months; for a fixed-term labor contract with a term of more than three years and an open-ended labor contract, the probation period may not exceed six months.

The same Employer may only stipulate one probation period with any given employee.

The probation period shall not apply to labor contracts with a term of less than three months or to labor contracts that terminate upon the completion of a certain task.

The probation period shall form part of the term of the labor contract. If a labor contract merely contains a probation period, such probation period shall be rendered void and be deemed as the term of the labor contract.

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