When can a service period be set?
A service period refers to the minimum duration an employee must work for an employer after receiving special benefits, such as company-sponsored specialized training, as mutually agreed upon by both parties.
During this period, the employee is obligated to remain with the company.
If they resign before the service period ends, they must pay a penalty as stipulated in the agreement. However, the penalty cannot exceed the total training costs incurred by the employer and must be proportionate to the unfulfilled portion of the service period.
The law clarifies that a service period agreement does not affect regular salary adjustments. Employees are entitled to pay raises in accordance with the company's standard wage policies during the service period.
If the labor contract expires before the service period ends, it should be extended until the service period is completed, unless both parties agree otherwise.
Source: Official WeChat account of the Ministry of Human Resources and Social Security at "rsbzwwx"