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Performance Bond

 
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tazmania



Joined: 22 Jan 2006
Posts: 19

PostPosted: Fri Mar 24, 2006 9:25 am    Post subject: Performance Bond Reply with quote

Hi all,

Has anyone else been offered a contract containing a clause like the one below? I know this is not standard practice for FTs, but this is quite common for the Chinese teachers. Has anyone got a clause like this in their current contract??

Quote:
8.13 Party B hereby agrees to let Party A keep 1000RMB separately from Party B's first three months ' salary (total 3000RMB) as Performance Bond. Upon termination of the contract, if Party B doesn't have any foresaid ill performance Party A will return the full amount of this deposit to Party B.





Tazmania
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Roger



Joined: 19 Jan 2003
Posts: 9138

PostPosted: Fri Mar 24, 2006 4:52 pm    Post subject: Reply with quote

I don't even understand their garbled reasoning for this - no, I have NEVER come across such a clause in any contract!
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saint57



Joined: 10 Mar 2003
Posts: 1221
Location: Beyond the Dune Sea

PostPosted: Fri Mar 24, 2006 11:29 pm    Post subject: Reply with quote

Red Flag! This is frequent in Korea, but I've never heard of it in China. It's a sign of a place that likes to treat its employees like crap. They need the bond to make you think twice ablout leaving them.
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KES



Joined: 17 Nov 2004
Posts: 722

PostPosted: Sat Mar 25, 2006 7:13 am    Post subject: Reply with quote

Definitely pass.
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Malsol



Joined: 06 Mar 2006
Posts: 1976
Location: Lanzhou

PostPosted: Sat Mar 25, 2006 8:54 am    Post subject: Yup Reply with quote

Very Happy

Last edited by Malsol on Mon Feb 05, 2007 10:13 am; edited 1 time in total
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Malsol



Joined: 06 Mar 2006
Posts: 1976
Location: Lanzhou

PostPosted: Sat Mar 25, 2006 8:55 am    Post subject: Yes Reply with quote

Shocked

Last edited by Malsol on Mon Feb 05, 2007 10:13 am; edited 1 time in total
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7969



Joined: 26 Mar 2003
Posts: 5782
Location: Coastal Guangdong

PostPosted: Sat Mar 25, 2006 9:41 am    Post subject: Reply with quote

in korea they routinely keep what amounts to about 20% of a months salary (retained over a period of the first three months). noone likes this idea except the schools. however korean schools put out more money initially to get the teacher in the first place, including a plane ticket from wherever to korea. a bit more justified in the korean case, but certainly not in china where the teacher is often already here at their own expense.
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tazmania



Joined: 22 Jan 2006
Posts: 19

PostPosted: Sun Mar 26, 2006 6:19 am    Post subject: Reply with quote

Thanks for the advice I agree that this is a sure sign that the employer will treat you like crap in the future, and so wants to make you think twice about leaving.

This clause was taken from two different contracts that were offered to me when i was in still in Changchun, the culprits being TS/Tianshuo and Star Education.



tazmania
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clark.w.griswald



Joined: 06 Dec 2004
Posts: 2056

PostPosted: Sun Mar 26, 2006 11:53 am    Post subject: Reply with quote

In Taiwan, salary deductions such as this are specifically stated as being illegal. The same may be true in China but I am not aware of such legislation.

One thing is for sure and that is that if you do accept a position with such a clause then you are best to calculate your earnings based upon the assumption that you will never see that bonus they speak of. I am not trying to suggest that you would never get it as many schools and companies have such clauses and do actually pay this money, I just think that it is better to get a nice surprise on top of your wages rather than be let down after relying upon this money to come through.

I tend to agree with the others though. If you can find a better position then don't hesitate to walk away from the current offerings.
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vikdk



Joined: 25 Jun 2003
Posts: 1676

PostPosted: Sun Mar 26, 2006 2:37 pm    Post subject: Reply with quote

Get in and at 'em C - what an epic bolshie post - good on ya mate - you been drinking tonight Laughing
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