When a company unlawfully terminates employment, the compensation equals twice the standard severance amount
Original: eternity4719 · source details
Original author: eternity4719 · Chinese source: · English adaptation: parveen0029. Translation and grade notes ↗
Bibliographic titles are retained in their original language.
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Cost and benefit at a glance
- Check the cost Cost ↓
- There is no direct cost involved. However, arbitration can take several months to resolve, and you must remain actively involved throughout this period without …
- Then the source benefit Benefit ↓
- Under labor law, employers who unlawfully terminate or end employment contracts must pay compensation equal to twice the standard severance amount outlined in Article 47 of the law…
In plain terms
If a company unlawfully terminates an employee, the compensation payable is twice the standard severance amount — commonly referred to as “2N.” Whether termination qualifies as unlawful depends on specific circumstances. It’s advisable to seek legal aid or consult an attorney first to determine whether negotiation with the employer or pursuing arbitration is the better course of action.
This guide's cartoon · show illustration
Enlarge illustrationOriginal illustration with Chinese lettering; the English dialogue is below. Humour is a reading aid, not evidence.
English dialogue
- Just a formality.
- Let me finish reading the plot.
Cost: what it takes
There is no direct cost involved. However, arbitration can take several months to resolve, and you must remain actively involved throughout this period without being able to drop the process midway.
Benefit: what the source reports
Under labor law, employers who unlawfully terminate or end employment contracts must pay compensation equal to twice the standard severance amount outlined in Article 47 of the law. This means first calculating the standard severance figure and then doubling it for payment to the employee.
Conditions, limits and disagreements
This is the commonly known “2N” compensation rule. Whether termination qualifies as unlawful hinges on particular facts and conditions. Seek legal counsel first; further guidance on next steps is provided in Section 7.
Original references
Original bibliographic titles and links are preserved; some titles are in Chinese.
全国人大常委会 (2007). 中华人民共和国劳动合同法（2008 年 1 月 1 日施行）（第八十七条）. http://www.gov.cn/gongbao/content/2007/content_711013.htm
Medical, legal, financial and policy conditions vary by person, place and time. Policy material primarily concerns mainland China; check the cited document and current local requirements.