Most employment cases are won or lost on the file built over the previous two or three years, not on the wording of the termination notice. The employer carries a far wider burden of proof than the employee — attendance, pay, rules, the basis for a transfer, performance records. This list follows the employment cycle and can be used as an annual HR review.

1. Onboarding and the contract

Gaps at the start are the hardest to repair. They affect validity, the evidence base and the risk of double wages.

  • Was the contract signed within one month of the start date, by the employee in person? Was a counterpart delivered, with a receipt kept?
  • Does the onboarding form include a written confirmation that there is no unended employment and no outstanding non-compete?
  • Were education, licences and CV claims checked, and does the contract say that a false statement is fraud and grounds for dismissal?
  • Does the probation period match the term (six months only on a fixed term of three years or more, or an open-ended term)? Has this person had only one probation?
  • Are the conditions for passing probation in writing and acknowledged? A dismissal for failing them requires proof that the conditions were stated in advance.

2. Rules and working time

A handbook is usable only if the content is lawful, the process was democratic, and it was published to the workforce. Missing any one of the three usually knocks it out.

  • Were rules that affect employees' interests discussed with the workers' congress or the whole workforce, and is that recorded?
  • Is there written proof of publication (acknowledgement, training sign-in, system read-record)? A poster or a group email rarely stands alone.
  • Are the cases of "serious breach" listed, not left as a general phrase?
  • If comprehensive or unfixed hours are used, is there an administrative approval? Without it, overtime pay still accrues on the excess.
  • Are attendance records complete? Is overtime approval actually used — unpaid self-arranged overtime needs a rule to stand on.

3. Pay, redeployment and performance

Transfers and pay changes are where disputes cluster. Review usually turns on three points: a genuine operating need, no discriminatory or punitive purpose, and whether pay and conditions have become materially worse.

  • Are pay records kept for at least two years, and do bank flows match the payslip?
  • Is the job and place of work in the contract too vague, or too tight? The first may be treated as unclear; the second leaves no room to move.
  • Is a transfer explained in writing as necessary and reasonable? Was a change in pay structure confirmed separately?
  • Were performance standards published in advance? A dismissal for incompetence needs the prior step of training or transfer, and a record of it.
  • Are bonus and commission conditions, including "nothing on leaving", in a written document? Amounts already earned in service are usually still due if they are not.

4. A few working points

First, a file is a chain. A transfer with a notice but no reasons, or reasons but no acknowledgement, is a break.

Second, a negotiated exit usually costs less than a unilateral one. Unlawful dismissal attracts twice the statutory severance, and the employee may claim reinstatement. Where the evidence is thin, a settlement with a full-and-final clause is often the steadier path.

Third, rules need a rhythm. A handbook that is never revised drifts from how the place is actually run, and becomes evidence against the employer. A full review every two years is a reasonable pace.

This is a general working list, not a judgment on particular facts. Local practice differs. Handle a live matter against the local standard and the file you actually have.

This note is general information from Shanghai Shen Yong Law Firm. It is not advice on a particular matter and does not create a retainer. For a specific question, write to info@sylegal.cn.
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