How to draft a labor contract in China, the complete checklist
Complete checklists of mandatory items which shall be adequately addressed & included while you are entering into the labor contract with a company, According to The Labor Contract Law of the People’s Republic of China following are the mandatory items:
- Name of the company, address, name of the legal representative or a senior manager
- The name of the employee together with a valid address and identification number
- Commencement date and duration of the employment contract
- Length of probationary period, shouldn’t exceed more than 6 months in any case
- A description of the job and the location where it is to be implemented
- Working hours, vacation provided and length and frequency of break times
- Basic Salary, overtime pay, bonus, Stock options, allowances and benefits,
- Indication that the employer will contribute social insurance for the employee
- Labor protection clause, on-site security and protection from occupational hazards
- Clause for Revocation and Termination of Labor Contracts and its legal liabilities
- Indication that employer or employee will be responsible for Individual Income Tax
Upon renewal of your labor contract, must do
Upon renewal of a labor contract, a labor contract renewal form should be filled out. It should include the following details:
- Name of employee, position, commencement and expiry date of labor contract
- A self-evaluation by the employee of their performance
- An evaluation by the supervisor of the employee’s performance
- The period covered by the renewal; and The document should be signed and stamped by the supervisor and HR department
