Will You Bring a Labor Arbitration Against the Company’s Punishment?
During the annual performance review, Company A found Chen had brought a huge loss to the company due to his serious fault. The company warned Chen in written and penalized two months’ salaries to compensate the company’s loss, in accordance with the “Employee Handbook”. Chen brought a labor arbitration, and claimed that the punishment was improper and the company shall return the two months’ salaries. In practice, many employers have stipulated a cumulative punishment system. For example, a total of 3 written warnings could be deemed as a serious violation of rules and regulations, and the company has the right…