LCL 90, 91; Responsibilities of Workers to Compensate Employers

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The following provisions of the Labor Contract Law of the People’s Republic of China (LCL) stipulate circumstances when workers may have liability to compensate employers for losses. Note, the employer will need to prove that losses have occurred and that the worker is responsible, though in the case of violation of a non-competition agreement liquidated damages can be agreed on by the parties. See Reliant on the Law - Breach Penalties for more information.

LCL Article 90 Compensation for Violation of Non-Compete and Confidentiality 

With respect to any worker that is in violation of this Law because of discharge of the labor contract, or is in violation of relevant stipulations of the labor contract concerning the confidentiality obligation or limitation of competition, he shall bear the liability for compensation if any loss occurs to the employer.

第九十条　

劳动者违反本法规定解除劳动合同，或者违反劳动合同中约定的保密义务或者竞业限制，给用人单位造成损失的，应当承担赔偿责任。

LCL Article 91 Compensation for Starting New Employment Before Terminating Prior Employment

Where any worker that has not discharged or terminated a labor contract with an employer yet is hired by another employer, if any loss occurs to the former employer, the new employer shall bear joint and several liability of compensation.

第九十一条　

用人单位招用与其他用人单位尚未解除或者终止劳动合同的劳动者，给其他用人单位造成损失的，应当承担连带赔偿责任。

Labor Contract Law of the People’s Republic of China

http://english.www.gov.cn/archive/laws_regulations/2014/08/23/content_281474983042501.htm 

中华人民共和国劳动合同法

http://www.mohrss.gov.cn/SYrlzyhshbzb/zcfg/flfg/fl/201605/t20160509_239643.html

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