FAQs

One staff has worked for me more than three years, now we are planning to dismiss him. Please advise me any compensation i should give?
According to labor law, the employer should give employee compensation if they need dismiss them or need cut employee due to company reasons. The compensation standard is calculated this way: one year working time brings one month average salary as compensation. In your case, the company shall give three months employee’s average salaries as compensation.

How to set the probation period if we need hire an employee and sign the labor contract?
According to labor law, if the employee signs one year with employee the probation period cannot be more than one month. If the contract is less than one year, the probation period is half a month at most.

If the employee passes the probation period, the probation period is included into the contract period? Shall the employer make up the probation period social insurance?
The probation period is included into the one year time set in the labor contract. The probation period social insurance should be made up.

What is the working time according to labor law in China? How to calculate the hourly overtime rate during weekdays?
In China, the labor law sets the working time is eight hours a day and five days a week which starts on Monday and ends on Friday. By bilateral discussion, the working time can be flexible. Employers can set the lunch time which is not included into the eight hours work time. The OT rate on weekday is : basic salary divides 21.75 days, then divides 8 hours, and multiplies 1.5 times.

 

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