Labor Contract Law 4

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Article 44 A labor contract is terminated if:

(1) the contract term expires;

(2) the employee has started to enjoy his entitlement to basic old-age insurance pension in accordance with the law;

(3) the worker is deceased, or is declared dead or missing by a people's court;

(4) the Employer is declared bankrupt in accordance with law;

(5) the Employer has its business license revoked, is ordered to close or is closed down, or the Employer decides on early dissolution; or

(6) other circumstances stipulated by laws or administrative regulations arise.

Article 45 Despite the expiration of a labor contract, if any of the circumstances prescribed in Article 42 of this Law applies, the labor contract shall be extended until the relevant circumstance ceases to exist, at which point the contract shall come to an end. However, the termination of a labor contract resulting from the loss of capacity, wholly or partially, to work as prescribed in item (2) of Article 42 hereof shall be handled in accordance with relevant state regulations on work-related injury insurance.

Article 46 The Employer shall pay the employee financial compensation in any of the following circumstances:

(1) the labor contract is terminated by the employee in accordance with Article 38 hereof;

(2) the Employer proposes to terminate the labor contract pursuant to Article 36 hereof and the labor contract is terminated as a result after the Employer and the employee reach an agreement thereon after consultation;

(3) the labor contract is terminated by the Employer in accordance with Article 40 hereof;

(4) the labor contract is terminated by the Employer in accordance with the first paragraph of Article 41 hereof;

(5) the labor contract is a fixed term contract that terminates in accordance with item (1) of Article 44 hereof, save where the employee refuses to renew the labor contract even though the conditions offered by the Employer are the same as or better than those stipulated in the current contract;

(6) the labor contract is terminated in accordance with items (4) and (5) of Article 44 hereof; or

(7) other circumstances stipulated by laws or administrative regulations.

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