To the "labor contract law" promulgated as the dividing line, before the "labor contract law" issued and implemented, because there is no unified norms, legal provisions in some illegal using the law of negligence and unit of choose and employ persons laborer higher penalty due to breach of contract, tried to" control the free movement of workers in this way, for the stability of their own labor personnel, but that even if the laborer because afraid of taking on too much penalty due to breach of contract and stay in the unit of choose and employ persons, its work efficiency and work enthusiasm will be thwarted, at the same time the workers stranded in former unit and the infringement of the rights and interests of any other unit of choose and employ persons. Cause both limit the free flow of labor force, and hinder the development of productivity and to increase the economic benefit of poor results. Later after the "labor contract law" enacted, some specific provisions are made to penalty due to breach of contract system of labor contract, make the situation have been improved greatly. The author thinks that, however, in the "labor contract law" about the liquidated damages system of labor contract stipulation too principle, although the "labor contract law further refinement, but the degree of the perfection of the system can’t satisfy the need of practical application, in the real application of is easy to cause misunderstandings and disputes, need to continue to improve.In this paper, including three parts:the first part of the objective analysis, in the labor contract penalty due to breach of contract system of legislative purpose and nature of labor penalty due to breach of contract, on the basis of draw lessons from foreign legislation for penalty due to breach of contract system, the relevant provisions of the labor contract established in this paper, we study the theoretical basis of labor contract breach of contract system. The second part uses the case analysis, by analyzing several typical cases, focuses on the provisions of the existing labor liquidated damages to the influence of unit of choose and employ persons. The third part of the problems with typical cases, analysis of the labor contract, the penalty due to breach of contract system of gain and loss, and try to labor contract suggestions to perfect the disadvantages of breach of contract system. |