Employment

No. Chinese labor law requires a statutory ground for termination and, in most cases, a defined procedure. Terminations are commonly challenged through labor arbitration, and an employer that cannot evidence both the ground and the process is likely to lose. Documenting performance and conduct contemporaneously is what makes a termination defensible.

Yes, but only if the arrangement meets the statutory requirements. The employee must be in a role with access to trade secrets or confidential information, the restriction must be limited in scope, geography and duration, and the employer must pay monthly compensation during the restricted period. Missing the compensation obligation is the most common reason these clauses fail.

Statutory severance is generally one month's salary for each full year of service, with a half-month for service of six months or more, subject to a cap on high earners. The correct calculation depends on whether the termination is mutual, economic, or for cause, and these routes carry different liabilities.

Yes. A written labor contract is mandatory, and an employee who works without one may become entitled to double wages. A handbook is not strictly required, but it is what allows an employer to discipline or dismiss for cause, and it must go through a consultation procedure and be properly communicated to be relied upon.