Research On The Liquidated Damages System Of Labor Contract In China

Due to China’s labor law not liquidated damages system of labor contract stipulations, the corresponding local legislation inconsistent。The employee used to restrain the freedom of the employer by means of concluding the terms of extremely high and unreasonable amount of liquidated damages in the labor contract, which has caused a great damage to the employer’s right of choosing his own job in accordance with his own wishes and limited the reasonable and efficient flow of labor resources, it does no good to the development of the economy as well as the harmony and stability of the society. The implementation of the law of our country to improve the relevant legislation, normative system of liquidated damages, is conducive to the protection of the legitimate rights and interests of workers. However the author thinks, excessive restriction of liquidated damages is unable to realize the system should function," labor contract law" on the system of liquidated damages clause too principle, in reality easily lead to misunderstanding and disputes. In this paper, the labor contract system of penalty concept, legislative status, based on properties of liquidated damages, analyzes the necessity of the existence of labor contract law", according to the penalty system existence insufficiency, proposed to the service period item and non-competition clauses of refinement, and try to labor contract breach of contract damages the inadequacies of the system it also puts forward some suggestions.This paper is divided into four parts, first from the labor contract breach of the conception, in the introduction of theory, on our country’s labor contract system of liquidated damages legislation is reviewed, and a detailed analysis of the labor contract breach of the nature, clear service period the nature of liquidated damages for breach of competition restriction compensation, the nature of punitive. Next on our country’s labor contract breach of contract damages system has analyzed in the view of jurisprudence, breach of contract damages exist necessity, but also should be restricted, or not conducive to protect the rights and interests of workers. Again carefully studied our country labor contract penalty system problems, such as the service period duration lack of restrictions, slightly narrow applicable scope, the competition restriction compensation stipulated minimum standards, adjustment of the penalty claim loss. Finally, on the basis of full argument, according to China’s labor contract penalty system existence question proposed consummates our country’s labor contract penalty system recommendations, such as reasonable limit duration of service, enlarge service period the default scope rules of competition restriction compensation, minimum standards, clear to give workers a breach of contract damages adjustment of claim.