September 16 2009
In August 2009 the Changning District People's Court in Shanghai reportedly ruled that an employment contract was agreed when an offer emailed by an employer to a job applicant was accepted by email. As a result, the court rejected the employee's claim to be paid double wages for working without an employment contract as required by the Employment Contract Law.
Central to the decision was the fact that the content of the offer letter sufficed as an employment contract, since it mentioned terms relating to factors such as:
In addition, the court explained that the double wage penalty is intended to punish employers that intentionally avoid signing written contracts in order to harm employees' interests. In this case, both parties agreed in writing to the basic terms of employment and there was no malicious intent on the employer's part.
For further information on this topic please contact Andreas Lauffs or Jonathan Isaacs at Baker & McKenzie's Hong Kong office by telephone (+852 2846 1888) or by fax (+852 2845 0476) or by email (andreas.lauffs@bakernet.com or jonathan.isaacs@bakernet.com).
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