Page 53 - Doing Business in China

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The government may also order the employer to remunerate/compensate employees or make up for any financial
losses they have suffered if the company violated employees’ legitimate rights and interests in any of the following
ways:
▪ The employer deducts wages or delays payment of wages to employees without reason�

▪ The employer refuses to pay employees overtime payment�
▪ The employer pays employees’ wages below the local minimum wage standard�

▪ The employer fails to provide employees with severance pay in accordance with the labour contract law after
termination of labour contracts�

According to the law, the employer shall bear responsibility for compensation if the execution of any invalid
contracts is attributed to the company and resulted in damages to employees�

In addition, an employer that revokes labour contracts or purposely delays the execution of labour contracts in
violation of the conditions specified in it may be ordered by the labour bureau and other related administrative
departments to make corrections, and shall bear the responsibility of providing compensation if this resulted in
damages to employees�

Employers that recruit employees whose labour contracts with their previous employer have not yet been
terminated shall assume joint responsibility for compensation if the previous employer suffered economic losses
as a result�

Employers that fail to pay social insurance premiums without reason may be ordered by the labour bureau and
other related administrative departments to make the payment within a fixed period of time� If the company still
fails to make payment after the time limit, an additional arrears payment may be demanded�

Employees who terminate labour contracts in violation of the conditions specified in labour contract law or
violate confidentiality terms agreed upon in the labour contracts and consequently cause the employer to suffer
economic losses shall be liable to provide compensation in accordance with the law�

About Helen Yin, Director & Branch Head, Shenzhen
Helen brings over 20 years of accounting and financial management experience in China
to her role� She currently leads SBA Stone Forest’s Shenzhen branch and oversees
a team dedicated to serving foreign clients� Additionally, Helen serves as a CFO and
financial & HR consultant for multiple businesses, amassing over 10 years of experience
in these capacities�

Her passion lies in helping small and medium-sized companies grow through operational
process improvements, effective human resource management, superior reporting, and
enhanced internal controls� Her professional experience has spanned various industries
including finance, retail, F&B, IT, trading, and manufacturing� Furthermore, her prior experience as a small business
owner enables her to effectively bridge the gap between accounting and business ownership�

Before joining SBA Stone Forest, Helen served as the financial manager at GE financial group, where she was
responsible for financial monitoring and reporting� She successfully led ERP enhancements, including the
implemention of new budgeting and financial modules that significantly improved organisational efficiency�

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