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Unreasonable contract request
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clownshow



Joined: 19 Dec 2010
Posts: 181

PostPosted: Sat Feb 19, 2011 3:15 am    Post subject: Reply with quote

Common clause in many industries but as always, negotiations are the key factor. I currently have one of these agreements as the university doesn't want their employees to be lured away to competitors taking clients with them. Recently had a competing university hire a former employee for more salary which prompted the agreements. Even though no release letter was given the competing company was able to secure a change in Work permit (FEC) so now my university is looking to enforce this policy through the courts.
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Scott543



Joined: 29 Jan 2011
Posts: 11

PostPosted: Sat Feb 19, 2011 10:52 am    Post subject: Reply with quote

ooragnakkangaroo wrote:
You ARE joking, right? The only unreasonable aspect of this is that they tried to get you to sign a condition that was not in the contract. You should tell them it belongs in the actual contract of employment.

Besides, what is wrong with this after-the-fact issue?

Rottenflesh is horribly wrong in calling it "completely unreasonable." "Classified sensitive information" ?? Really? Get a grip in your categorization here. It is a competitive field, many chains/centers have proprietary training materials, "classified" tuition rates, and so on - they have EVERY right to protect their efforts by limiting dissemination of their "stuffs."

This is a fairly common term of employment in a competitive business field in many countries, including China. Get over it...

Zorak - they are not asking you to not work for 2 years. The term, as you wrote it states you cannot work at another "training center" for a period of 2 years on the same province ....... don't exaggerate the statement or infer more.


He did actually state quite clearly that he couldn't work in the same province @ another training centre for 2 years. Dunno why your all worked up.

Intellectual property is one thing, its acceptable to stop him taking off with their methods and books.. but asking him to say he wont work in the same province for 2 years is crazy.
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igorG



Joined: 10 Aug 2010
Posts: 1473
Location: asia

PostPosted: Sun Feb 20, 2011 8:00 am    Post subject: Reply with quote

I agree. It's unreasonable. Hard to believe that FTs in this country would not understand each other this much. Many of us come and create materials rather than use the ones of our local employers and needless to say that most of us use our unique techniques we've learned outside the country. So, why this "misunderstanding" and the local restrictions?
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dog backwards



Joined: 27 Jan 2011
Posts: 178

PostPosted: Sun Feb 20, 2011 9:57 am    Post subject: Reply with quote

I've been required to sign non-competition clauses for employers, but not in the field of education. I agree that it's pretty much a fact of life in the working world.

There are good reasons for it, the most obvious of which have been stated. I think Mat Chen proposed the most likely reason for the employer's requirement. Students often follow the teacher, especially if he is an effective one. (The comparison to a bar tender is a good one. Perhaps a more obvious western comparison would be a great auto mechanic or a hairdresser. I don't know any hair dressers, but I have known several excellent mechanics whom I followed after they left one shop for another. One guy finally opened his own shop, so I didn't need to keep track of him).

The question of enforceability does factor into the issue. The courts may not be able to enforce it, but the employer who required the agreement can enforce it when you need to use him as a reference. That's where vikeologist's wonderfully descriptive term comes into play. [raptus regaliter-- I love it!]

Signing the agreement pretty nixes your chance at a good reference if you do take a job in the same province. Perhaps you should secure a letter in-hand before you leave (if that's even possible) or start looking for another job before you invest too much time in the employer in question.
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Teatime of Soul



Joined: 12 Apr 2007
Posts: 905

PostPosted: Sun Feb 20, 2011 2:25 pm    Post subject: Reply with quote

It may be fair to ask someone to not open a school in the same city, but to ask someone to not engage in their profession is beyond reasonable.

No one can steal English. Every kiddy teaching method known to man can be found on youtube - the proprietary methods rationale just doesn't wash. Schools send spies to check out each others teachers and methods all the time.

In the US, these are called non-compete clauses and courts are generally unreceptive to cases where a mere employee is being disallowed to earn a living in his chosen profession for weak or nonexistent reasons.. BTW, IANAL.
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mat chen



Joined: 01 Nov 2009
Posts: 494
Location: xiangtan hunan

PostPosted: Mon Feb 21, 2011 1:37 am    Post subject: Reply with quote

In Canada there used to be a shortage of Chinese cooks. They couldn't get visas because of immigration laws. So my rich Chinese friends would always take me to a different restaurant because the cook had moved. In China they are worried about the good looking person who can play the guitar, will shift to another school. Tea Time you are spot on, there are no secret formulas for learning a language. Funny how the fads pass. Very few English corners now and Lee Yang's Crazy English seems to have lost followers.
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Lobster



Joined: 20 Jun 2006
Posts: 2040
Location: Somewhere under the Sea

PostPosted: Tue Feb 22, 2011 7:48 am    Post subject: Reply with quote

You may discuss English Common Law or typical industry practices, but this is what Chinese labour law stipulates (bold mine):


Article 23. An Employer and a worker may include in their employment contract provisions on matters relating to maintaining the confidentiality of the trade secrets of the Employer. If a worker has the obligation to maintain the confidentiality of his Employer�s trade secrets, the Employer may agree with the worker on competition restriction provisions in the employment contract or confidentiality agreement, and stipulate that the Employer shall pay financial compensation to the worker on a monthly basis during the term of the competition restriction after the termination or ending of the employment contract. If the worker breaches the competition restriction provisions, he shall pay liquidated damages to the Employer as stipulated.

Article 24. The personnel subject to competition restrictions shall be limited to the Employer�s senior management, senior technicians and other personnel who have knowledge of trade secrets of the Employer. The scope, territory and term of the competition restrictions shall be agreed upon by the Employer and the worker, and such agreement shall not violate laws and regulations. The term, counted from the termination or ending of the employment contract, for which a person as mentioned in the preceding paragraph is subject to restrictions in terms of his working for a competing Employer that produces the same type of products or is engaged in the same type of business as his current Employer, or in terms of his establishing his own business to produce products or engage in business competing with his current Employer�s products or business, shall not exceed two years.

Without recognition of the above, this employer was certainly being unreasonable.

RED
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PattyFlipper



Joined: 14 Nov 2007
Posts: 572

PostPosted: Tue Feb 22, 2011 11:28 am    Post subject: Reply with quote

nickpellatt wrote:
'Within the city', would be fair IMO, within the province probably isnt. Such clauses are quite common in the UK, and I have worked under them a few times in the past.


They may be quite common, but as a previous poster pointed out, they are rarely enforceable. The English courts really dislike clauses in restraint of trade and actively look for reasons to strike them down. A city-wide ban would certainly not be considered 'fair and reasonable under all the circumstances' (the test the courts are required to use), nor would the time-frame of two years. They might get away with something like 'a radius of two miles of the employer's place of business for a period of one year' but even then it would depend on other factors. Employers who insert this kind of clause rely on ignorance of the law (or are themselves ignorant of it) and the fact that most employees won't bother to challenge it.
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igorG



Joined: 10 Aug 2010
Posts: 1473
Location: asia

PostPosted: Wed Feb 23, 2011 6:16 am    Post subject: Reply with quote

Enforcement of laws around is one thing, and new laws out almost on yearly basis is yet another one. Then, there are clauses in agreements and/or laws that contradict each other as well. Needless to say that local employers usually look after themselves only and if you try negotiating harder than the employer is used to, you may and will most likely lose the opportunity. This is a trend and offers are more "uniformed" than ever before. In western countries, employers usually have their approach or tools for the job one may be contracted for, although that's not the same for this country, is it? I bring my own tools and approach to my classroom, so why should i be restricted to only one employer here? Yes, those are my "dishes" locals taste and pay for and i get paid as well, but my free time is my free time and if others wish to taste my "dish" or two..why not. LOCAL EMPLOYERS JUST WANT TO OWN YOU AND THAT'S THE NATURE OF THE ISSUE
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clownshow



Joined: 19 Dec 2010
Posts: 181

PostPosted: Wed Feb 23, 2011 9:25 am    Post subject: Reply with quote

Quote:
LOCAL EMPLOYERS JUST WANT TO OWN YOU AND THAT'S THE NATURE OF THE ISSUE


I would think that the issue is whether you accept the terms of employment or not.

The way I read Article 23 it only applies to a agreement in which both parties agree to competition restriction and financial compensation is a point of contract agreement and not of labor law. Article 24 is pretty wide in scope.
Although this maybe rarely enforced and in all likelihood many Chinese would simply change their work "handle" to avoid detection a worker may find other employers intimidated by any agreement of non competition signed by a former employee who is now currently under their employ and it is best not to sign or agree to any restriction.
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igorG



Joined: 10 Aug 2010
Posts: 1473
Location: asia

PostPosted: Thu Feb 24, 2011 8:28 am    Post subject: Reply with quote

Quote:
Quote:
LOCAL EMPLOYERS JUST WANT TO OWN YOU AND THAT'S THE NATURE OF THE ISSUE
Reply:
I would think that the issue is whether you accept the terms of employment or not.
It seems that FTs may have choices coming out of this large job market, but more and more local employers opt for the same uniform and the internet or recruiters. So, it's either you take it or leave it.
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clownshow



Joined: 19 Dec 2010
Posts: 181

PostPosted: Fri Feb 25, 2011 1:51 am    Post subject: Reply with quote

Quote:
So, it's either you take it or leave it


That pretty much employment all over. Perhaps when faced with an industry that has failed to live up to your expectations, a search in another employment sector or geographical location is necessary to continue seeking career mobility. The alternative is to just continue to work "stealth" and look for additional opportunities. The lack of mobility due to the purchase of a home may not be the best game plan for a FT that is more or less a contract worker and not an employee. Kind of like a migrant picker buying a home near an orange grove and then finding out they have to seek a pickers job in a adjacent state. I think that any employer can in fact exercise this kind of clause simply by failing to issue a release letter.
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londis



Joined: 31 Jan 2011
Posts: 5

PostPosted: Fri Feb 25, 2011 4:14 am    Post subject: Reply with quote

Personally, I think if an employer pays for your visa costs, accomodation etc, only to find you working at a rival center on your days off, it'd be fairly poor form. The wording of the contract is certainly a bit strict though.
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igorG



Joined: 10 Aug 2010
Posts: 1473
Location: asia

PostPosted: Fri Feb 25, 2011 6:39 am    Post subject: Reply with quote

This industry has failed many locals, not only FTs and their expectations. We are invited and come to help in the field the locals aren't good at. It's pretty much disgraceful we are restricted to one selfish local that may not understand the field of English language education at all.

As for the rival centers in the country, they act like some gangsters pimping their own. It's a shame the local market's drifted so much.
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clownshow



Joined: 19 Dec 2010
Posts: 181

PostPosted: Fri Feb 25, 2011 6:55 am    Post subject: Reply with quote

Quote:
It's pretty much disgraceful we are restricted


An employee is restricted by the stroke of their own pen.

Quote:
to one selfish local that may not understand the field of English language education at all.


Assuming your speaking of a business owner or manager, it would be their position to recognize their market and control the variables in that market.

This is a pretty interesting thread as it illustrates the lack of real business experience many have when coming to China as these kind of agreements are normal operating procedures and should not be accepted, but once you sign on the dotted line, it is your agreement as well as managements and complaining bout something your complicit in is not as beneficial as simply a non-acceptance of terms you feel are unfair. Although it is common in China to go back on agreements, FTs should honor agreements or refrain from participating.
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