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It is better to manage the army than to manage the people. And the enemy.
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Layoff Response

After Receiving the Termination Notice#

Don't panic, stay calm. Find any recording tools or software at hand to listen to what the other party says. Think it over first, don't give a substantive and decisive response right away; you can also consider replying later. Fight for your legal rights and compensation. At this time, you can start saving your pay slips, clock-in records, labor contracts, and other materials, and collect documents related to your job responsibilities, project results, performance evaluations, etc., in case they may be needed for future arbitration.

When asked about being laid off and how to act afterward, people's thoughts generally fall into three categories:

The company is not concerned about whether you want to rest or find a job immediately; they care about:
Value: What value can you bring to the company;

Attitude: What is your attitude towards work;

Ability: What have you done during the time after being laid off? What can your actions prove about your abilities?

Secondly, focus on the short term: entertainment, job hunting, and selection are all short-term behaviors. Resting and entertaining is understandable, but once this time becomes prolonged, the brain and body will sink into a comfort zone, making it increasingly difficult to return to a working state.

Thirdly, there is a narrow mindset: the above three approaches only swing between the options of "job hunting" and "resting." Therefore, the relevant work we can do is merely preparing resumes, browsing job sites, submitting applications, and preparing for interviews. This narrow mindset limits our vision, and when one path is blocked, it feels like there is no way out.

Thus, our considerations regarding layoffs must revolve around the "company perspective," "long-term perspective," and "holistic perspective."

The first step is to divide the layoff situation into two phases: one phase is the preparation phase before the layoff, and the other is the planning phase after the layoff.

The second step is to have a series of preparations before the layoff. Stay vigilant in times of peace to avoid being caught unprepared.

The third step is to establish plans for different stages after the layoff. Please note that this is not a short-term plan like "rest" or "job hunting," but a plan that spans up to a year.

Preparation Before Layoff
Regardless of what job you do, think about the most critical situation: if I get laid off, what preparations should I make now? Thinking from a holistic perspective means that it's not just about preparing a resume; rather, it's about preparing from these three aspects:

1. Finances#

The direct impact of being laid off is the loss of income, turning personal earnings into negatives. If there is no savings pool at this time, family cash flow will break, and many people are also burdened with mortgage and car loans, leading to a collapse in mentality and desperation.

Therefore, financial risk management is needed at all times.
Financial assessment: What are the monthly expenses? If you indulge a bit, how much more can you spend? If you "declutter," what is the minimum expenditure?
Financial reserves: If you have a family, it's best to save enough to cover one year's expenses without working. If you are single, at least save enough for six months' expenses.

2. Abilities#

You may have never comprehensively sorted out your abilities. You might think that having worked in a certain job for several years is an ability; or you might consider organizing your various certificates as a form of ability sorting. But these do not necessarily mean you truly possess certain abilities.

One method to sort out abilities is to "update your resume."
Capable people update their resumes every year; the old term is "year-end summary," while the trendy term is "review."
In the process of updating your resume, you can naturally sort out your abilities and discover what similar jobs you have done in the past. If this job is gone, what other jobs can you find?

More importantly, during the updating process, new discoveries will emerge. For example: I want to transition from operations to marketing, but after writing my resume, I realize I haven't done any marketing-related projects; this means that in the following year, I need to work on some marketing-related projects to unlock new abilities.

3. Networking#

Now everyone probably knows that having connections for job hunting increases the success rate. Anyone who has successfully made a significant career transition has almost certainly utilized their network.

However, the problem is that if you only think about using your network to find a job after being laid off, you may find that you haven't built many connections. After all, networking relationships are built over time through consistent effort.

So, this is something one should do before being laid off: sort out your network while also expanding it.

When we prepare in these three areas, we can roughly anticipate what cards we can play if we encounter the risk of layoffs, which will reduce psychological worries.

Plan After Layoff
Humans are "goal-plan" animals. When we set a very specific goal and a very clear plan for ourselves, we will act like a wound-up toy.

Let's consider it from the recruiter's perspective: for the same position, three candidates are applying. One has just left their job two or three months ago; another has been unemployed for half a year; and the last one has been out of work for over a year. Even if these three individuals have the same work experience, will we treat them equally?

For the one who just left, we might not care too much about what they have done in the last two or three months; however, for the one who has been unemployed for half a year, we will definitely be more concerned about what they have done during that time. At the same time, we will place the candidate who has been out of work for over a year at the lowest priority, as we clearly doubt their stability.

Since recruiters think this way, as the laid-off individual and job seeker, our job-hunting plan should also be phased, with different focuses and actions for each stage.

1. Initial Plan (0-3 Months)#

The plan for these three months can be summed up in five words: high-standard job hunting. Finding a high-standard "ideal" job within three months is the best choice. So, you can give yourself a break, binge-watch shows, play games, go to Tibet to find yourself, and then travel to Tokyo and Paris, but don't let it exceed one month.

During this time, create a career goal plan: what is your top choice of profession, your second choice, and your third choice. This is very similar to the "reach-stabilize-protect" plan for college entrance exam applications. Job hunting should also have a "reach-stabilize-protect" strategy. Aim for a few professions, stabilize a few professions, and protect a few professions.

Then, for the next two months of job hunting, spend the first two to three weeks focusing on the "reach" strategy. Submit resumes, connect with your network, interview with companies, and mobilize all possible resources to target the companies and professions you most want to join. After two weeks of pushing, you will have two outcomes: a. Successfully employed; b. Discover a significant gap, realizing that it is not feasible in the short term. Then switch to the "stabilize" strategy, putting more effort into job hunting for your second-choice profession.

2. Mid-term Plan (3 Months - 1 Year)#

As we reach the mid-term, the strategic approach must change.

Because when we start submitting resumes and interviewing again, companies will likely lower our priority. If someone has not found their desired job in three months, analyzing the reasons from the company's perspective: either they haven't been looking, which indicates they are restless and unstable; or they have been looking but haven't found anything, which suggests they lack clarity in self-positioning.

At this point, if we continue to pursue high-standard job hunting, our chances will diminish significantly, so we can only adopt the "stabilize" and "protect" strategies. Therefore, we must first relax our job-hunting standards, trying out positions in both large and small companies, and both desired and undesired roles.

Secondly, it's time to prepare for work that doesn't require a formal job. The so-called "non-job work" can be nicely termed "freelancing" or "entrepreneurship," but less pleasantly, it can be called "part-time work" or "gigs." As a person remains unemployed for a longer period, their chances of successfully reapplying decrease. However, if they are still working and earning, it can increase their success probability. This indicates that they possess proactive qualities and the ability to earn money. Therefore, at this stage, you should consider several questions:
What problems can I solve?
Where are my clients?
How do I find clients?
How do I sell myself?

Then, set a 2-3 month learning plan to acquire skills that can solve clients' problems. Many skills may not be learned in a day or a week, but if you truly dedicate yourself to learning for three months, you can achieve results. For example: mastering a full suite of office software can help you beautify PPTs for others, etc.; learning Photoshop, video editing, or graphic design can earn you some money; learning community operations can allow you to directly participate in various communities, helping them serve clients and earn money.

Finally, do you remember the financial preparations mentioned before the layoff? If you could roughly assess your maximum and minimum monthly expenses at that time, when you have been unemployed for three months without income, you will need to reduce your monthly expenses.

Start by quitting smoking and drinking to save some money; cook for yourself; boil your own water; choose only the most essential extracurricular classes for your children; if you have a car, it's best to park it in a free public parking lot; avoid impulse shopping while watching live streams. In the absence of increased income, focus on cutting expenses to get through tough times.

3. Long-term Plan (>1 Year)#

The most unfortunate thing has happened. You have been laid off and have not worked for a year.

At this point, unless you have been studying full-time or working independently during this year, you should not submit resumes. The chances of being called for an interview are very slim. If you still want to find a job, referrals from friends and family may be the most likely way out.

At this time, the plan should shift from "job hunting" to "earning money."

In simple terms, this means using all legal means to solve certain problems for people in exchange for income. For example, on a cold winter night, Lao Wang and Lao Ma were at a hot pot restaurant in the south city, and they ran out of lamb and beer. Lao Wang said he was tight on money lately. Lao Ma suggested, "Why not make some money?" The next morning, a black three-wheeled motorcycle arrived at the street corner, and two men in black got out and moved two boxes. A breakfast stall was set up just like that.

Although this is a joke, it illustrates that as long as you want to, there are always ways to make money.

Being Asked to Resign Voluntarily#

Do not resign voluntarily, do not resign voluntarily, do not resign voluntarily. If you do not sign the resignation agreement, the boss cannot terminate you unless they pay compensation.

According to the Labor Law of the People's Republic of China:
Article 24: The labor contract may be terminated by mutual agreement of the parties to the labor contract.
Article 25: The employer may terminate the labor contract under the following circumstances:
(1) During the probation period, if it is proven that the employee does not meet the recruitment conditions;
(2) Serious violation of labor discipline or the employer's rules and regulations;
(3) Serious dereliction of duty, personal gain, causing significant harm to the employer's interests;
(4) Being legally held criminally responsible.
Article 26: The employer may terminate the labor contract under the following circumstances, but must notify the employee in writing thirty days in advance:
(1) The employee is ill or injured not due to work, and after the medical period expires, cannot engage in the original work or any work arranged by the employer;
(2) The employee is unable to perform the work, and after training or job adjustment, still cannot perform the work;
(3) Significant changes in the objective circumstances on which the labor contract was based occur, making it impossible to perform the original labor contract.

Fight for Your Legal Compensation
How much can you be compensated?
Article 40: The employer may terminate the labor contract by notifying the employee in writing thirty days in advance or by paying the employee an additional month's salary:
(1) The employee is ill or injured not due to work, and after the specified medical period expires, cannot engage in the original work or any work arranged by the employer;
(2) The employee is unable to perform the work, and after training or job adjustment, still cannot perform the work;
(3) Significant changes in the objective circumstances on which the labor contract was based occur, making it impossible to perform the labor contract, and the employer and employee fail to reach an agreement on changing the labor contract content.

Article 47: Economic compensation is paid to the employee based on their years of service at the company, with one month's salary paid for each full year. For those with more than six months but less than one year, it is calculated as one year; for those with less than six months, half a month's salary is paid as economic compensation.

Is layoff compensation salary only referring to basic salary?
Layoff compensation usually refers to the employee's salary for the last month before being terminated, which is the employee's actual income. This income includes basic salary, bonuses, allowances, overtime pay, and all other salary income. Therefore, when calculating layoff compensation, all income should be added together to ensure that the employee receives all the wages they are entitled to.

What should I do if the boss is still unwilling to provide compensation after the conversation?
It can only be resolved through legal means:

  1. Negotiate with the employer.
  2. Request mediation from the inspection team.
  3. Apply for arbitration with the labor bureau.
  4. Initiate a lawsuit in the people's court.

Necessary Documents After Resignation
Make sure the employer processes your resignation paperwork; many people are not aware of this. Be clear that resignation paperwork is not the same as a resignation certificate; resignation paperwork is not the same as a resignation certificate; resignation paperwork is not the same as a resignation certificate.

Summary of the n+1 Package#

Current issues with the agreement:

  1. The compensation does not specify amounts for: three times annual leave, double pay for weekend overtime, and 1.5 times for weekday overtime.
  2. Compensation amounts for year-end bonuses calculated by time.
  3. Compensation amounts for overtime during the "transition period."
  4. The months for social security and housing fund contributions can be negotiated.
  5. The agreement states that payments will be made by the end of April, while the Labor Contract Law stipulates that payments should be made on the last day of the handover.
  6. Regarding stock ownership, it is recommended to negotiate the exit date to April or discuss other conditions.
  7. If you haven't signed yet, there is room for negotiation; do not believe in so-called "group module versions."

Points to Note During Negotiation:

  1. Record the conversation; inform HR and those present, stating, "To ensure our legal rights during this conversation, this discussion will be recorded." (Such recordings are legal.)
  2. Learn to withstand pressure, clearly understand the terms of the agreement, especially the second, third, and fifth clauses. Don't be misled by deceptive language on-site that affects your decision-making and judgment.
  3. When n is greater than 1, inquire about choosing 2n, and be sure to collect evidence. (Because the employment environment is not optimistic.)
  4. If the leader offers to introduce you to the next job and asks for your resume, please be detailed. Clarify the leader's motives before taking action.
  5. Keep personal labor contracts, attendance and overtime records, and agreement contracts saved. (Personal labor contract: Jingwo -> HR electronic signature -> labor contract, can be exported; attendance and overtime records can be exported as PDF from the ERP personnel portal.)
  6. Try to stabilize your emotions, read up on labor laws, and calmly calculate the compensation amount you should receive. The premise is reasonable compensation.
  7. Think about why HR is so eager to have you sign n+1.

Some Tips for the Package:

  1. Spend all employee points.
  2. Spend all balances (even if you don't spend all, it will be paid with the last salary and will be combined for tax purposes).
  3. Take sick leave; if the leader approves, just do it. For continuous days, a certificate from a top-tier hospital is required.
  4. Weekday compensatory leave is calculated at 1.5 times, weekend compensatory leave at 2 times, and holiday leave plus annual leave at 3 times.
  5. N+1 has no impact on resignation background checks.
  6. N is the total income over the past 12 months divided by 12, which includes year-end bonuses, with a cap of three times the average salary in Beijing (around 37,840 in 2021).
  7. N+1 is compensation per the agreement; once signed, it is considered agreed. 2N is for approval; as long as you don't leave and have sufficient evidence, and do not make mistakes in the company, you can potentially succeed.

Do not sign! Do not sign! Do not sign! Recent illegal determination scores; here are some references.

  1. According to labor law, you can choose to continue performing the labor contract. Let them force a layoff and then arbitrate for 2N. Clock in and out normally every day; unreasonable demands can be refused. From now on, record every day and keep all work-related evidence. Once you sign, all your rights are gone. This so-called "negotiation" is merely a legal facade for enforcement review; as long as you don't sign, keep the evidence, and they won't dare. Remember, whether negotiating or stating your rights, such as 2N, stock options, and unreasonable demands, should all be removed. Many of the company's standard clauses are traps that limit your rights. So do not sign, and even negotiate; confirm whether each clause should appear in the agreement, actively and unconditionally asserting your rights, and do not fall for their coercive tactics disguised as "negotiation." Be cautious.

  2. Other workers facing similar issues can refer to this; if they want to negotiate, simply reply, "Talk to my lawyer." It's not expensive; you can find a lawyer to handle such matters for around a thousand yuan. HR should not play both sides. This is a reasonable, legal, and straightforward solution. Don't be intimidated by their underhanded tactics.

  3. Further options for follow-up plans:

    1. If you go along with their "negotiation," you may gain minimal compensation rights but lose the maximum rights to defend and voice your concerns, while the company gains the most overall benefit.
    2. Arbitration allows you to legally obtain the compensation you deserve without being denied by any clauses, and the company also bears the risk of losing the arbitration lawsuit.
    3. The company should provide legally valid economic evaluations, union evaluations, and formal government documents for legal assessment.
    4. Lastly, everyone can negotiate; true "negotiation" should provide sufficient supplements. All items except the fourth one guarantee maximum company benefits and maximum employee losses, so you should clearly see the specific relationship and choose for yourself.

In summary, two points of action: do not be afraid, maintain dignity, and you can legally defend your rights; secondly, do not sign.

  1. A reminder: if you do not understand the relevant labor law clauses, consult a lawyer. Do not interpret them yourself with partial knowledge, as many will exploit your lack of understanding of specific practical details to trap you.

  2. As long as you do not actively propose to resign, the company can only negotiate terms to make employees resign voluntarily. You can understand that the conditions proposed by the company are to exempt the enterprise from liability and risk.

  3. Generally, as long as it is not a violent review, companies will handle reviews through negotiated resignations. The company pays promptly, and the employee proposes to exempt the company.

  4. Generally, companies will not voluntarily offer 2N unless the individual can actively present evidence of the company's illegal termination of labor.

  5. For the above reasons, the conditions under which employees propose their resignations are generally >= N+1. Invalid companies have backup economic evaluations at the labor bureau.

  6. Lastly, it is not advisable to blindly pursue 2N, and do not sign anything without reviewing it. If you are not satisfied with the conditions, you can endure it as long as you maintain a stable mindset. After all, enduring in the company is actually lower than going for evaluations. If the company inadvertently triggers the "forced termination of labor relations" and "forced termination of labor relations" scenario, congratulations in advance, as long as you are prepared to prove it for arbitration, it is highly probable.

  7. I have gone through arbitration and can share my experience. I have undergone several background checks and have never heard of arbitration affecting job hunting. You can arbitrate while continuing to work, needing only a few days off at most.

  8. If you are still working at the original company, as long as the company dares to reduce your salary or delay payments, keep the evidence and apply for arbitration, you will win and receive your salary and compensation.

  9. Additionally, arbitration can be expedited without expansion. Also, if you haven't received money, do not withdraw your lawsuit.

  10. If your salary is reduced or payments are delayed, you can immediately resign, look for a new job, and mine at the same time.

  11. As long as the original company does not go bankrupt, both work and compensation can be obtained. A special reminder is to pay attention to judicial compensation. For what evidence is needed, you can go to the local labor arbitration team to get a list of required evidence.

Summary of Layoff Experience

  1. When communicating with HR about decision-making matters, please first take the following two steps:
    • Ignore their threats and say: I need to think about it.
    • Call 12348, the national free legal consultation service, to inquire about labor arbitration and other matters.
  2. Absolutely do not: proactively initiate a resignation application.
    • Under no circumstances should you propose a transfer application!
    • Once proposed, there will be no truth left!
    • Legal coercion refers to threats with a knife! Therefore, all your subsequent evidence will be used!
    • Overtime and such will also be useless!
  3. Exclude rumors and common HR threat tactics:
    • XX behavior caused serious losses: as long as it did not cause serious losses or economic damages to the company, it does not constitute serious negligence, and the law will not support their claims.
    • There is no internet credit platform, there is no internet credit platform, there is no internet credit platform!
    • Termination compensation and year-end benefits are two different matters!
    • In summary, as long as you do not cause the company actual significant losses, the company has no reason not to pay you your year-end bonus and terminate your employment.

I am involved in internal legal education for workers and have compiled common legal issues based on the current evaluation environment of the largest companies. Those in need can refer to this to counter unscrupulous capitalists.

  1. How much compensation, what is the standard, and how to compensate for three-period women?

    • If reported to the labor department, the economic rating disclosed by listed companies is n+1 months' notice pay. If it is not the employee's fault, and the company unilaterally terminates the labor relationship, except for the first labor contract not being renewed, it is n+1; otherwise, the compensation is 2n or continue to perform the labor contract. Women in three periods are not allowed to be evaluated.
  2. Is there a cap on compensation? How is it calculated? Is it taxable?

    • According to Article 47 of the Labor Contract Law, compensation is calculated based on the average salary of the employee for the 12 months prior to the termination of the labor relationship, including salary, bonuses, pensions, allowances, and all pre-tax income that can be calculated as salary. If high, it is capped at three times the average salary of workers in the previous year in the respective city, with a maximum compensation period not exceeding 12 years, i.e., n <= 12. There is no limit for those below the average wage. According to Article 87 of the Labor Contract Law, the compensation is double the compensation amount, meaning that when the employer illegally terminates the labor contract, 2n <= 24. Similarly, low wages have no limit. As for whether +1 applies, it depends on whether there was prior notice. Details depend on local regulations. In Beijing, the earlier the notice, the fewer days of notice pay will be paid.
  3. How to compensate for non-work-related medical emergencies during the injury period?

    • During the work injury period, non-work-related medical stability cannot be unilaterally evaluated by the company (both parties must agree). After recovery or the medical period expires, it follows the normal labor contract provisions, but a 30-day notice must be given. Specific medical period content varies from three months to two years based on employee conditions.
  4. If the company unilaterally terminates the labor relationship, can the year-end bonus be claimed?

    • Whether the year-end bonus can be claimed depends on the specific content in the labor contract. For example, if the contract states a two-month year-end bonus, it can be calculated based on actual working time for the year. If the contract states 0-2 months and includes certain clauses, the specific content and the company's public clauses must be reviewed, as this falls under the company's discretion, and arbitration decisions are difficult to support. However, if the company has clearly informed you of this year's year-end bonus or has explicitly stated that you can receive a corresponding year-end bonus level according to relevant systems, then with sufficient evidence, support can be obtained.
  5. Can the non-compete clause be lifted? How long should it be limited? How is compensation calculated?

    • If you sign a contract, the company decides when to lift it, and the non-compete period cannot exceed two years. If the company fails to pay compensation for more than three months, you can request to lift it. The minimum compensation is 30% of the salary, and if agreed upon, it is calculated as per the agreement.
  6. What is the scope of the non-compete clause? Will companies not on the list be restricted?

    • According to public case studies, whether restrictions apply depends on whether there is a substantial competitive relationship between companies, not merely based on the scope of business licenses. In simple terms, companies not on the list may still fall within the restriction range, while companies on the list may not necessarily be restricted.
  7. How to handle annual leave? Can it be taken before terminating the labor relationship? Answer: Annual leave can be taken before termination; if the company does not allow it, an additional 200% salary is required.

  8. What if the company requires signing an agreement for various reasons and refuses to provide a resignation certificate?

    • The company cannot refuse to issue a resignation certificate for any reason, nor can it impose any penalties or evaluations on the resignation certificate. Just report it to labor supervision.
  9. Can the mature portion be realized, and can the immature portion be realized?

    • Stock incentives currently have a legislative gap in China, and judicial practice recognizes them as labor disputes. The realization of the immature portion needs to be determined based on the specific content of the contract (for example, how many days remain until maturity). Sufficient evidence can support this. The mature portion can be claimed. However, if certain companies are structured as VIEs, where the labor contract is with a domestic company but the registered entity for the options is in the Cayman Islands, labor arbitration will not be effective, and litigation will be necessary. Due to jurisdictional issues, if your options are highly valuable, it is advisable to collect evidence carefully. If there is little money involved and you do not want to go through the hassle, consider giving up. Once it involves jurisdictional issues, it can become complicated, as seen in the Meituan case, which has been unresolved for over five years.
  10. How to obtain arbitration proof?

  • Pay attention to preserving relevant evidence, forming a chain of evidence through mutual verification, and keeping electronic data as complete as possible. For crucial evidence, you can seek notarization from a notary office.

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(The bold text in the article is the original text of the legal provisions.)

  1. Compensation:

  2. Compensation has a punitive nature and only applies when the employer illegally terminates the labor contract. When the employer illegally terminates the labor contract, they should pay economic compensation according to Article 48 of the Labor Contract Law.

Article 48 of the Labor Contract Law 【Legal Consequences of Illegal Termination or Termination of Labor Contracts】 states that if the employer violates the provisions of this law to terminate or end the labor contract, and the employee requests to continue performing the labor contract, the employer shall continue to perform it; if the employee does not request to continue performing the labor contract or the labor contract can no longer be performed, the employer shall pay compensation according to Article 87 of this law.

Article 87 【Legal Responsibility for Violating the Termination or Termination of Labor Contracts】 states that if the employer violates the provisions of this law to terminate or end the labor contract, they shall pay compensation to the employee at twice the economic compensation standard stipulated in Article 47 of this law.

  1. Circumstances of illegal termination of the labor contract by the employer:

(1) The employer and the employee have not reached a mutual agreement; regardless of whether compensation is paid, it constitutes illegal termination.

Article 36 of the Labor Contract Law states that the employer and the employee may terminate the labor contract by mutual agreement. It should also be noted that if compensation has been paid according to Article 87 of the Labor Law, the employer will not pay economic compensation again, meaning that the double compensation and economic compensation do not apply simultaneously.

(2) The employer dismisses the employee without just cause, constituting illegal termination of the labor contract.

Article 39 of the Labor Contract Law stipulates the circumstances under which the employer may terminate the labor contract:
The employer may terminate the labor contract under the following circumstances:
(1) During the probation period, if it is proven that the employee does not meet the recruitment conditions;
(2) Serious violation of the employer's rules and regulations;
(3) Serious dereliction of duty, personal gain, causing significant harm to the employer's interests;
(4) The employee simultaneously establishes a labor relationship with other employers, severely affecting the completion of the work tasks of this unit, or refuses to correct it after the employer raises the issue;
(5) The labor contract becomes invalid due to the circumstances specified in Article 26, Paragraph 1 of this law;
(6) Being legally held criminally responsible.

(3) Article 42 of the Labor Contract Law stipulates the circumstances under which the employer may not terminate the labor contract. If terminated, it constitutes illegal termination of the labor contract.

Article 42 states that the employer may not terminate the labor contract under the following circumstances:
(1) Employees engaged in work that exposes them to occupational disease hazards have not undergone pre-departure occupational health checks, or suspected occupational disease patients are in the diagnosis or medical observation period;
(2) Employees who have occupational diseases or have been injured at work and have been confirmed to have lost or partially lost their ability to work;
(3) Employees who are ill or injured not due to work and are within the specified medical period;
(4) Female employees during pregnancy, childbirth, or breastfeeding;
(5) Employees who have worked continuously for fifteen years in this unit and are less than five years away from the legal retirement age;
(6) Other circumstances stipulated by laws and administrative regulations.

  1. N+1 Compensation:

  2. N-fold compensation

Article 46 of the Labor Contract Law states that the employer shall pay economic compensation to the employee under the following circumstances:
(1) The employee terminates the labor contract according to Article 38 of this law;
(2) The employer proposes to terminate the labor contract according to Article 36 of this law and reaches a mutual agreement with the employee to terminate the labor contract;
(3) The employer terminates the labor contract according to Article 40 of this law;
(4) The employer terminates the labor contract according to Article 41, Paragraph 1 of this law;
(5) Except for the circumstances where the employer maintains or improves the conditions stipulated in the labor contract and the employee does not agree to renew the contract, the fixed-term labor contract is terminated according to Article 44, Item 1 of this law;
(6) The labor contract is terminated according to Article 44, Items 4 and 5 of this law;
(7) Other circumstances stipulated by laws and administrative regulations.

Article 47 of the Labor Contract Law: Economic compensation is paid to the employee based on their years of service at the company, with one month's salary paid for each full year; for those with more than six months but less than one year, it is calculated as one year; for those with less than six months, half a month's salary is paid as economic compensation. If the employee's monthly salary exceeds three times the average monthly salary of workers in the previous year published by the municipal or district-level people's government where the employer is located, the economic compensation shall be paid at the amount of three times the average monthly salary of workers, and the maximum compensation period shall not exceed twelve years. The term "monthly salary" refers to the average salary of the employee for the twelve months prior to the termination or end of the labor contract.

N-fold compensation: Compensation is paid based on years of service, with one month's compensation for each full year, calculated as one year for more than six months, and half a month's compensation for less than six months.

  1. Employee-initiated termination of the labor contract (N-fold): (Articles 26 and 38 of the Labor Contract Law)
    (1) The employer has not provided labor protection or working conditions as stipulated in the labor contract;
    (2) The employer has not paid labor remuneration in a timely and sufficient manner;
    (3) The employer has not paid social insurance premiums for the employee as required by law;
    (4) The employer's rules and regulations violate the provisions of laws and regulations, harming the rights and interests of the employee;
    (5) The employer has used fraud, coercion, or taken advantage of the employee's vulnerability to make the employee enter into or change the labor contract against their true intention;
    (6) The employer has exempted themselves from legal responsibilities or excluded the rights of the employee in the labor contract;
    (7) The employer has violated mandatory provisions of laws and administrative regulations;
    (8) The employer has forced the employee to work through violence, threats, or illegal restrictions on personal freedom;
    (9) The employer has issued unsafe work orders that endanger the employee's personal safety.

Article 26 states that the following labor contracts are invalid or partially invalid:
(1) Contracts entered into or changed under fraud, coercion, or taking advantage of the employee's vulnerability, against their true intention;
(2) The employer has exempted themselves from legal responsibilities or excluded the rights of the employee;
(3) Violations of mandatory provisions of laws and administrative regulations.

Article 38 states that the employer may terminate the labor contract under the following circumstances:
(1) The employer has not provided labor protection or working conditions as stipulated in the labor contract;
(2) The employer has not paid labor remuneration in a timely and sufficient manner;
(3) The employer has not paid social insurance premiums for the employee as required by law;
(4) The employer's rules and regulations violate the provisions of laws and regulations, harming the rights and interests of the employee;
(5) The labor contract becomes invalid due to the circumstances specified in Article 26, Paragraph 1 of this law;
(6) Other circumstances stipulated by laws and administrative regulations that allow the employee to terminate the labor contract.

If the employer uses violence, threats, or illegal restrictions on personal freedom to force the employee to work, or if the employer issues unsafe work orders that endanger the employee's personal safety, the employee may immediately terminate the labor contract without prior notice to the employer.

  1. Termination of the labor contract by the employer:
    If the employer proposes to terminate the labor contract, they should pay the employee compensation based on their years of service (N-fold).

In cases of no-fault dismissal: (+1)
Here, +1 does not refer to compensation but to notice pay. Only in cases of no-fault dismissal (medical period expiration, inability to perform work, significant changes in objective circumstances at the time of contract signing) and without providing the employee with a 30-day prior notice, must +1 be paid.

According to Article 40 of the Labor Contract Law, the employer may terminate the labor contract by notifying the employee in writing thirty days in advance or by paying the employee an additional month's salary:
(1) The employee is ill or injured not due to work, and after the specified medical period expires, cannot engage in the original work or any work arranged by the employer;
(2) The employee is unable to perform the work, and after training or job adjustment, still cannot perform the work;
(3) Significant changes in the objective circumstances on which the labor contract was based occur, making it impossible to perform the labor contract, and the employer and employee fail to reach an agreement on changing the labor contract content.

  1. Economic layoffs by the employer (N-fold):
    Article 41 【Economic Layoffs】 states that if there are circumstances requiring the reduction of twenty or more employees or a reduction of less than twenty employees but accounting for more than ten percent of the total number of employees, the employer must explain the situation to the labor union or all employees thirty days in advance, listen to the opinions of the labor union or employees, and after reporting the layoff plan to the labor administrative department, may proceed with the layoffs:
    (1) Restructuring according to the bankruptcy law;
    (2) Severe difficulties in production and operation;
    (3) The company changes production, undergoes major technological innovations, or adjusts its business model, and still needs to lay off employees after changing the labor contract;
    (4) Other significant changes in the objective economic circumstances on which the labor contract was based, making it impossible to perform the labor contract.

When laying off employees, priority should be given to retaining the following personnel:
(1) Those who have signed long-term fixed-term labor contracts with this unit;
(2) Those who have signed indefinite labor contracts with this unit;
(3) Those with no other employed family members and who need to support elderly or minor dependents.

If the employer lays off employees according to the provisions of this article and rehires employees within six months, they should notify the laid-off employees and give them priority for reemployment under the same conditions.

  1. Termination of the labor contract (N-fold):
    Article 44 states that the labor contract terminates under the following circumstances:
    (1) The labor contract expires;
    (2) The employee begins to enjoy basic pension insurance benefits according to law;
    (3) The employee dies, or is declared dead or missing by the people's court;
    (4) The employer is declared bankrupt according to law;
    (5) The employer's business license is revoked, ordered to close, dissolved, or the employer decides to dissolve early;
    (6) Other circumstances stipulated by laws and administrative regulations.

  2. Termination of the labor contract:
    Article 36 【Mutual Termination of Labor Contracts】 states that the employer and employee may terminate the labor contract by mutual agreement.

Article 37 【Employee's Advance Notice to Terminate the Labor Contract】 states that the employee may terminate the labor contract by notifying the employer in writing thirty days in advance. If the employee is in the probation period, they may notify the employer three days in advance to terminate the labor contract.

This means that when you want to resign, you should notify the company thirty days in advance. Regardless of whether the company allows you to leave, you can terminate the labor contract after thirty days. If the company refuses to issue a resignation certificate, it is advisable to seek arbitration.

Finally, arbitration or litigation is your inherent and legitimate way to protect your legal rights, and no one can deprive you of it. It will not become your "stain." Once your rights are violated, please bravely take up the legal weapon to protect yourself.

The law is the law; although there are gaps with reality, it serves as a guideline. In real life, we cannot execute everything according to the law, but achieving most of it is not a problem. However, for workers, the rights that belong to you should be defended by yourself; do not endure passively. While we need to accept some compromises, do not retreat repeatedly on your rights.

Social Security

  1. Individuals paying through flexible employment:
    There is a note here:
    You must have a local household registration or have paid social security for more than ten years, and can only pay for pension and medical insurance. If you have a household registration from another place, you can only pay for pension, and medical insurance will be interrupted. If you meet the requirements, the operation method is also very simple:
  • The premise is that your previous company has stopped your insurance.
  • Use the app to register as a flexible employment participant for social insurance.
  • Then search for "social insurance payment" on Alipay or in Zhejiang, and you will receive a notification at the end of the month, then pay it yourself.
    This is the online method; offline, just remember to bring your documents to the "Citizen Center" to handle it.
  1. Paying through a company:
    This is equivalent to joining a company, so all five insurances and one fund can be paid. However, the state has policies for agency payments; I see many have been taken down on Taobao. You can consider this based on your situation.

  2. Easy Social Security, Ant Financial Social Security Payment:
    This principle is similar to paying through an agency company. However, it is relatively more formal; if you cannot find a suitable agency company, you can choose this. It will also specify the cost details, making it clearer for you.

Do you need to apply for unemployment insurance?
First, I want to tell everyone that if you are paying social security through an agency company, it is advisable not to claim it, as you will not be able to. If you pay social security yourself, as mentioned above, you need a local household registration in Hangzhou, and can only pay for pension and medical insurance. I don't know if self-paid social security can be claimed; I haven't tried it, but everyone can give it a shot.

Then there are two types of unemployment assistance:

  • If it states "voluntary resignation" → unemployment assistance of 912 yuan/month.
  • If it states "involuntary resignation" → unemployment insurance of 1824 yuan/month.

You can first ask HR about your resignation situation; generally, a resignation certificate for "layoff" is considered "voluntary resignation." In our company, if needed, you can ask HR to issue a termination notice again.

Calculation Principles for Claimable Months:

  • If the payment period is over one year, you can receive two months of unemployment insurance;
  • If the payment period is over one year, for each additional eight months, you can receive an additional month of unemployment insurance; if the remainder is over four months but less than eight months, it is calculated as eight months, but the maximum benefit period does not exceed twenty-four months.

How to claim unemployment benefits in Beijing? What are the impacts of receiving unemployment benefits?
After becoming unemployed in Beijing, you can claim unemployment insurance, but you must meet certain conditions, and receiving unemployment insurance may have some impacts on other aspects. Here are the details:

Conditions for Receiving Unemployment Insurance:

  1. You must have participated in unemployment insurance, and both your unit and you have fulfilled the payment obligations for more than one year.

  2. You must not have interrupted employment due to your own will. For example: being terminated by the employer, the labor contract expiring without renewal, etc.

  3. You must have registered for unemployment and have job-seeking requirements.

In simple terms: you have been laid off by the company!

Application Process:
Official process (can be directly ignored):

  1. Register for unemployment: Within 60 days from the termination or dissolution of the labor contract, bring your ID card, termination certificate, unemployment registration certificate, and other materials to the local unemployment insurance agency to register for unemployment.

  2. Submit application materials: including ID card, termination certificate, unemployment registration certificate, social security card, etc.

  3. Review: The unemployment insurance agency reviews the application materials.

  4. Receive unemployment benefits: After approval, unemployment insurance will be paid monthly to the individual's bank account.

Internet - Quick Method:
-- Note: Alipay -> Search "Unemployment Assistance" -> Select "Unemployment Insurance Application - Beijing" -> Just submit the application.

-- The status of unemployment benefits is submitted by the company; after submission, you can apply.

-- The application for unemployment benefits does not require you to provide any materials; just apply directly; I did!

-- The unemployment benefits I received were on the 14th of each month.

Duration for Receiving Unemployment Insurance:
The duration for receiving unemployment insurance is determined by the cumulative payment period, with a maximum of 24 months. For example:

  • For cumulative payments of more than 1 year but less than 5 years, you can receive 2 months of unemployment benefits for each year.
  • For cumulative payments of more than 5 years but less than 10 years, you can receive 3 months of unemployment benefits for each year.
  • For cumulative payments of more than 10 years, you can receive 4 months of unemployment benefits for each year.

I can accumulate up to 16 months of benefits.

Impact of Receiving Unemployment Insurance:

  1. Medical Insurance: During the period of receiving unemployment insurance, the basic medical insurance premiums for unemployed individuals are paid by the unemployment insurance fund, and individuals do not need to pay.

  2. Pension: During the period of receiving unemployment insurance, unemployed individuals do not pay pension insurance premiums, and the unemployment insurance fund does not pay on their behalf, resulting in no new records in the personal pension account during the period of receiving unemployment insurance.

  3. Employment Record: The record of receiving unemployment insurance will be stored in the social security system, and it will not negatively impact future social security records.

  4. Other Social Insurance: Receiving unemployment insurance does not affect the receipt of other types of social insurance benefits, such as maternity insurance, work injury insurance, etc.

  5. Housing Provident Fund: During unemployment, neither individuals nor units will pay housing provident fund contributions, and accounts will stop accumulating.

Points to Note:

  • Unemployment insurance is paid monthly, and unemployed individuals should regularly register for job-seeking at designated locations to express their job-seeking intentions.

  • If you find a job while receiving unemployment insurance, you should promptly report to the unemployment insurance agency to stop receiving unemployment benefits.

Through the above steps and information, you can understand how to claim unemployment insurance after becoming unemployed in Beijing and the potential impacts. For detailed policy information, you can consult the local unemployment insurance agency or social security center.

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