Legal Seminar Organized by Local Police

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ChronoCloud
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Joined: Tue Aug 17, 2021 4:18 am

In order to promote the sustainable development of the FullSing Internet Industrial Park and enterprises, and to further strengthen the legal awareness of business practitioners. Changdi police station of Longhua District, Haikou invited lawyers, Wu Renzi and Guo Manchan from Hainan Realiser Law Firm to FullSing Internet Industrial Park on the morning of August 19th to give a free educational legal seminar. The content of this seminar includes the compliance and legal risks of corporate operation, legal protection of employees' rights and interests, followed by on-site legal consultation and discussion, involving laws such as the Civil Code, Labor Law, and Criminal Law.

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First of all, Lawyer Wu explained the corporate compliance and potential legal risks of corporate operation with relevant laws and cases. She stressed the importance of the corporate criminal compliance and points out that compliance is the premier responsibility of companies.

The criminal legal risks are the most severe and fatal risks faced by enterprises and entrepreneurs which will be probably penalized by fine and even imprisonment.

Business operation shall comply with laws and regulations, industry standards, corporate rules and regulations, as well as international treaties, rules, etc. Enterprises should pay attention to the prevention of the criminal offence at the crime of falsely issuing VAT special invoices, the crime of causing a serious labor security accident, the crime of counterfeiting registered trademarks, the crime of infringing commercial confidentiality, and the crime of producing and selling fake or inferior commodities etc.

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Secondly, Lawyer Guo introduced the rights and interests of employees from the perspective of Chinese labor law and explained to everyone the law on the signing of employment contract, overtime work, and work-related injury through the analysis of real cases.

1.Do I need to sign an employment contract? What are the legal consequences of not signing an employment contract?

The employment contract is the agreement between employees and employers to establish employment relations and clarify the rights and obligations of both parties. The employment relationship is established since the date of the employee starting the work. To establish an employment relationship, a written employment contact should be signed.

In the event that no written employment contract was concluded at the time of the establishment of an employment relationship, a written employment contract shall be signed within one month since the date of the employee starting the work.

If an employer signs a written employment contract with an employee more than one month but less than one year after the employee's starting date, the employer shall each month pay to the employee twice his/her wage and sign the written employment contract. The period of payment of double wages shall be calculated from the next day after the 1st month of the employee starting the work to the day before the written employment contract is made up; The maximum payment period is 11 months. If the employer fails to sign a written employment with an employee after one full year upon the employee starts the work, it shall be deemed that they have concluded an open-ended employment contract. Therefore, the employment contract must be signed in a written form, otherwise, employers will undertake adverse legal consequences.

2. How long could a reasonable probation period be? What is a reasonable range of salaries for the probation period?

If the term of an employment contract is not less than 3 months but less than 1 year, the probation period shall not exceed one month; If the term of a employment contract is not less than one year but less than 3 years, the probation period shall not exceed two months; For a employment contract with a fixed term of 3 years or more or without a fixed term, the probation term shall not exceed six months.

The salary of an employee during the probation period shall not be lower than the minimum wage for the same position of the same employer or lower than 80% of the salary stipulated in the employment contract, nor may it be lower than the minimum local wage where the employer is located.

3.How to calculate overtime hours and overtime wage?

China executes the working time system that employees do not work over 8 hours everyday and do not exceeding 44 hours a week on average. Employers should ensure that employees have at least one day off per week.

The Employer shall abide by the following standards and pay employee remunerations at a higher rate than that for normal working hours under any of the following circumstances:

A. To pay no less than 150% for the normal wages for the overtime hours;

B. To pay no less than 200% for the normal wages if the overtime hours are arranged on the employee's rest days and no make-up rest days are taken;

C. To pay no less than 300% of the normal wages if the overtime hours are arranged on Chinese national public holidays.

4. Is a traffic accident happens to an employee during the commute, could it be considered a work-related injury?

The answer is yes. According to the regulations on work injury insurance, if the employee gets injured in a traffic accidents or public transportation such as metro, bus, ferry and train accidents while going to or returning from work, and the employee is not mainly responsible for the accident, it shall be deemed as a case of work-related injury.

After the lecture, audiences spoke enthusiastically and asked questions about the current hot and difficult legal issues. Lawyers Wu Renzi, Guo Manchan and director Lin Zixuan of Changdi police station answered questions to audiences on the spot.

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Through the vivid and detailed lectures of the lawyers with the analyses of some real cases to help the audience better understand so as to prevent the legal risks of corporate operation, this seminar has been greatly helpful for the business practioners in our area.

The seminar has been greatly successful and have also gained much attention from the expat community of Haikou, however, due to that the seminar was carried out in Chinese, only a few expat friends with very high Chinese language proficiency attended the seminar. In the future, ChronoCloud Innovation Center will continue with our efforts to gather practical legal topics, especially the ones that the Hainan expat community is mostly concerned about and forward such questions to the local authorities. We look forward to more high-quality legal seminars like this one, which could support and attract more expat talents to Hainan for their business and innovation!

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