Q&A on Asian Bus.

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Are there any statutory requirements regarding the signing of redundancy agreements between an employer and employee in the PRC?

  • FAQ: CHINA
  • Date: 15.07.2010

There is no statutory requirement for signing a redundancy agreement between the employer and the staff to be reduced. Basically, redundancy is the employer’s decision, although the statutory criteria must be satisfied and the required procedures must be completed before the redundancy becomes effective. The employer must also prepare a redundancy plan.

For more details, see Asia Pacific Employment Law Commentary , [CHN ¶80-581] Redundancy agreements