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Before The Implementation Of The Labor Law, Is The "Layoff" Season?

2007/12/12 14:32:00 41635

Since January 1, 2008, the newly promulgated labor contract law will be formally implemented.

Just before the implementation of the labor contract law, a number of employing units began to dismiss their employees for "structural redundancies": "CCTV has concentrated more than 1800 temporary staff members", "WAL-MART fried people", "HUAWEI's resignation" and "606 cleaners in Fuyong, Shenzhen have been relieved of their contracts".

At a time, before the implementation of the labor contract law, it seems that it is the time of "laying off".



After careful analysis of these employers' behavior, it can be found that they are exactly the same as those of the old employees who refunded their 5~10 before the promulgation of the labor contract law. The two party only happens at different times.

From this point of view, LG is more like the "initiator" of the "layoffs" related to the labor contract law.

So why is there so much "layoffs" in just a few months?



The protective measures are known as the "ten highlights" of the new labor contract law (expand the scope of application of the labor contract law, standardize the form of labor contract, expand the application of the non fixed term labor contract, limit the application of the penalty clause, stipulate the competition restrictions, appropriately expand the application of the economic compensation, standardize the labor dispatch, standardize the part-time employment form, and increase the illegal labor cost of the employing units, etc.), and on the basis of the original labor law, they have made new rules for the main body of the labor market.

These new rules will inevitably bring new challenges and risks to employers.

Therefore, in order to better cope with challenges and evade risks, all household units are actively adjusting labor relations with their employees and striving to adjust them to the best condition before the implementation of the labor contract law.

Therefore, before the implementation of the labor contract law, the emergence of a "layoff" climax seems not surprising. It is only one of the pains before the implementation of the labor contract law.



"Kill ten thousand enemy, self harm three thousand".

Employers try to cope with these challenges and avoid risks through layoffs. In fact, they are both misreading and absurdity of the new law, damaging the image of their social public and getting the reputation of "irresponsible". Instead, they increase their risks to themselves.

In fact, the labor contract law, in order to avoid large fluctuations in labor relations, has set up a pitional clause, such as the ninety-seven clause stipulates that "the labor contract which has been enacted before the implementation of this Law and on the date of implementation of this Law shall continue to perform". This means that the labor contract, which has been concluded in accordance with the law and has been concluded before the implementation of the labor contract law and on the date of implementation of the labor contract law, should not violate the laws and regulations at the time of the conclusion of the contract, and even after the implementation of the labor contract law, even if some provisions are not in conformity with the provisions of the labor contract law, it should also be deemed effective and should continue to perform.



From the point of view of HUAWEI's resignation, the aim of HUAWEI is to write off the seniority of the employees ahead of time and to recount the length of service, so as to avoid employees' continuous work for ten years and sign a fixed term labor contract.

Aside from the factors such as HUAWEI's welfare for employees and so on, we can see that when HUAWEI is leaving the post at present, it can be said that it is accompanied by a wife and a soldier. HUAWEI's so-called "quit" staff did not really leave HUAWEI, but continued to work, not really leaving. "In law, the mark of departure is: to hand over work cards, to stop wages, to stop social security, to pfer files, to register for unemployment, rather than to submit a resignation report.

HUAWEI is obviously unlikely to do that. Nearly 10000 people must leave at the same time and leave a reasonable time to come back, which will have a huge impact on the operation of their enterprises.

Therefore, although HUAWEI stipulates that the length of service is recalculated, even if the employees themselves agree, but the statutory is greater than the agreement, the turnover of these employees has not been recalculated, but should be calculated continuously.

According to the fourteenth provision of the labor contract law, employees who work for ten years or more in the same unit shall sign an unfixed term labor contract.

Of course, the compensation paid by HUAWEI is only a part of the possible economic compensation in advance to the laborers.

Just like a worker who has worked in HUAWEI for 8 years, this time he has already obtained the compensation for the first 8 years. After signing the labor contract again, assuming that after three years, there is a need to pay the economic compensation, the age of the first 8 years can be eliminated and only the compensation for the next three years can be obtained.



Through these series of "layoffs" events, we can draw two conclusions: first, before the implementation of the labor contract law, employers are trying their best to adjust their behavior in the field of labor relations; two, the employer's understanding and understanding of the labor contract law is biased, leading to some negative events.

For this reason, employers and their human resource managers need to accept the effective training of the labor contract law in time to correctly understand and deal with the challenges and risks brought about by the labor law, so as to take effective measures to deal with them positively instead of taking the means of "layoffs".

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