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conoresl1984
Joined: 15 Feb 2017 Posts: 21
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Posted: Thu Mar 16, 2017 2:33 pm Post subject: Fines for breaking contract |
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Hi all
I've heard there are fines handed out if contracts are broken, say for not completing a contract for example. Fines can be as high as $5000. Is this true? If so how can an employer collect the fine? What would prevent a teacher from emptying out his bank account on pay day and getting a flight out of China? |
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nimadecaomei
Joined: 22 Sep 2016 Posts: 605
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Posted: Thu Mar 16, 2017 11:22 pm Post subject: |
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Fines are really only enforceable if you plan on staying in/later returning to China. |
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jimpellow
Joined: 12 Oct 2007 Posts: 913
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Posted: Thu Mar 16, 2017 11:23 pm Post subject: |
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Nothing is preventing a teacher from doing a midnight run, save apparently no longer being able to procure another rp for some years. I am unsure about this, but some talk about this during the recent visa overhaul. One could say having a sense of responsibility and honor, but I am sure there are some employment situations where the teacher is not obligated to show such.
If the teacher is on the proper working papers, he now enjoys the same rights as a Chinese worker. He would want to consult a local lawyer or someone in the know. A fair amount of contracts for foreigners are still written with no regard to this reality, or the employer may just feel the need to be vindictive, and that is always when it becomes interesting. |
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The bear
Joined: 16 Aug 2015 Posts: 483
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Posted: Thu Mar 16, 2017 11:58 pm Post subject: Re: Fines for breaking contract |
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conoresl1984 wrote: |
Hi all
I've heard there are fines handed out if contracts are broken, say for not completing a contract for example. Fines can be as high as $5000. Is this true? If so how can an employer collect the fine? What would prevent a teacher from emptying out his bank account on pay day and getting a flight out of China? |
Nothing.
It's something every teacher who comes to China should be prepared to do. Even if you have a firm set of morals, there are situations where you just need to get out. I don't say this lightly, and running should be a last resort, but sometimes it's the sensible thing to do.
I've known 2 people do 'midnight runs' and would gladly recommend them to any employer, excellent workers that got screwed over (contract not adhered to by the boss - missing pay, late pay, extra classes, etc.). By this point it was clear the employer had repeatedly broken the contract, time to get out.
I've known one person pay a fine and move on from the contract. The teacher found a better job and wanted to move, discussed things with the school and agreed a fee to leave (which the new school covered) and it went fine.
Anyone who comes on a tourist or business visa should be prepared to run. They have no recourse. At least, in theory, people who come on a z visa have some legal protection. IN THEORY. |
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OhBudPowellWhereArtThou

Joined: 02 Jun 2015 Posts: 1168 Location: Since 2003
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Posted: Fri Mar 17, 2017 12:16 am Post subject: |
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I've seen penalty clauses for both party A and Party B. I've never known any School or FT who was required to pay any penalty. I think that in most cases, if the FT's behavior is so reprehensible, the school is glad to be rid of him.
Likewise for the behavior of the school. If the school's treatment of the FT is so bad, the FT is happy to leave.
It's a winlose/winlose situation for both parties.
This my experience with and observation of public universities. |
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conoresl1984
Joined: 15 Feb 2017 Posts: 21
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Posted: Fri Mar 17, 2017 9:45 am Post subject: |
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what is an "rp"?
Thanks |
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The bear
Joined: 16 Aug 2015 Posts: 483
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Posted: Fri Mar 17, 2017 10:01 am Post subject: |
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conoresl1984 wrote: |
what is an "rp"?
Thanks |
Residency Permit.
It's what entitles you to stay legally within China. The Z visa should be converted to a residency permit within 30 days of arrival. |
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OhBudPowellWhereArtThou

Joined: 02 Jun 2015 Posts: 1168 Location: Since 2003
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Posted: Fri Mar 17, 2017 3:43 pm Post subject: Re: Fines for breaking contract |
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The bear wrote: |
At least, in theory, people who come on a z visa have some legal protection. IN THEORY. |
I've always wondered about that. Through the years, I've heard about FTs who got a lawyer and then the school owner got slapped with a fine, but I've never met anyone who actually took legal action.
At one college, had I been in a position to enforce the full terms of the contract, the school would have been in the hole for about $1,000.00. Of course, I got the bum's rush out of the country in three days before I could do anything. I never felt as though I had any legal protection.
In my experience, the contract is nearly meaningless when the FAO (in public universities) oversteps her authority for personal gain or to show who is boss. There's really nothing that the teacher can do.
On the other hand, the FAO who is concerned for the reputation of her school (and her career) will go out of her way to make her teachers happy.
I've seen both sides of the coin, but certainly, the FT who lives and works in China with a legally secured residence permit by entering the country on a Z visa will do better when push comes to shove compared to the FT who enters in any way except by the book. |
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The bear
Joined: 16 Aug 2015 Posts: 483
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Posted: Sat Mar 18, 2017 12:34 am Post subject: Re: Fines for breaking contract |
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[quote="OhBudPowellWhereArtThou"]
The bear wrote: |
At least, in theory, people who come on a z visa have some legal protection. IN THEORY. |
Definitely, if you're here legally then your position is much stronger. If you're here illegally then you're screwed, simple as.
And even if you are here legally, the whole process of finding a lawyer, starting proceedings.... it's too much work for most. Especially in a country where you probably don't speak the language and have no idea how the legal system works. Then there's the school's guanxi.... Better to just cut your losses and think of it as a lesson. Unfortunate but that's the way things are here. |
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