Many companies operating in China expect their China-based employees to work overtime whenever needed to “get the job done.” Though imposing these sort of work hours can make sense in their home countries, this mindset is at odds with China’s laws. It gets even worse in China when the employer intends to discipline or termiante
I was talking with one of our China lawyers the other day about how we get the same emails and phone calls from companies with China legal problems that either cannot be solved or cannot be solved at a fee that will make sense. We then discussed how so often these problems could have been
Many believe that forming a China WFOE consists mostly of filling in lines on an application and submitting it to a China government office and then sitting back and waiting. If you share this belief, you are, among other things, ignoring all that goes into deciding how to manage the WFOE once formed. I was
For the last few months, I alone have been averaging a call or email a day from someone inquiring about getting money out of China. Yesterday’s calls were typical. One was from a realtor wanting to know how the Chinese buyer of a two-million-dollar house could get her money out of China to pay for it.
China Working Hours and Overtime Issues Navigating the complex landscape of China’s employment laws is a crucial task for foreign companies operating in China. Among the many challenges these businesses face, understanding and complying with China’s employment laws, especially those pertaining to working hours and overtime, are paramount. Misconceptions about these regulations can and do
The PRC Ministry of Human Resources and Social Security recently released a set of rules regarding providing public notice of China employer labor violations (《重大劳动保障违法行为社会公布办法》). The goal of these new rules is to deter employers from violating China’s labor and employment laws and regulations. These rules will take effect on January 1, 2017, and they
It is far cheaper to avoid China employment law problems than to deal with one that has arisen. If you follow the following eight rules, your chances of having a China employment problem will markedly decrease. 1. Use written employment contracts. China employers without a written employment contract are exposing themselves to penalties, administrative fines and the risk of
With the last quarter of the year approaching and with China increasing its scrutiny of foreign businesses operating in China, now seems like the right time to talk about what foreign businesses (WFOEs, joint ventures, representative offices) should be doing to protect themselves on the China compliance front. If you have familiarized yourself with applicable
Generally speaking, China employees must be employed under a written employment contract. Such a contract may be for a fixed or an indefinite term. When it comes to unilaterally terminating an employment contract, China employment law does not treat the employee and the employer as equal parties; the employee has much more power than the
It goes without saying you should choose good business partners abroad. The kind of partner that doesn't like getting sued ... and hence doesn't give you reason to sue them. Partners that won't steal your IP. But just how can you know a partner is reliable before you do business with them and put them to the acid test?
