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Overview of Employment Law in the Asia Pacific Region

Today’s Moderator Caroline Berube – HJM Asia Law & Co LLC (China/Singapore)

Today’s Panelists Winnie Chiu – ONC Lawyers (Hong Kong) Li-Pu Lee – Formosan Brothers (Taipei, Taiwan) Murray Thornhill – HHG Legal Group (West Perth, Australia) Eshwar Sabapathy – S Eshwar Consultants | House of Corporate & IPR Laws (Chennai, India)

Overview of Employment Law in the Asia Pacific Region Panel Discussion Employment Agreement Non-Compete clause Arbitration/Court System and its challenges Discrimination

A. Employment Agreement Key mandatory terms (annual leave, sick leave, maternity leave, probation period, pension fund contribution, social charges, termination, etc.) Subject to an Employment Act and/or only Contract Law Validity of a verbal agreement Termination/Severance package

Validity/Requirements Enforcement B. Non-Compete clause Validity/Requirements Enforcement

C. Arbitration/Court System and its challenges

Family Disability Race Sex D. Discrimination Family Disability Race Sex

Questions? Fore more information about Primerus and today’s panelists, please visit www.primerus.com

Supplemental Information

Taiwan Employment Law LiPu Lee Partner Formosan Brothers Attorneys-at-Law

Overview Introduciton Employment Contract Sources of Law Major Employment Related Laws Employment Contract Compensation for Occupational Accidents Gender Equality in Employment Non-Competition Clause

Introduction- Sources of Law Legislation Case Law Regulation from Ministry of Labor Affairs 1.法律規定 2.判決實務見解 3.勞動部函釋

Introduction- Major Employment Related Laws Labor Standard Act Enforcement Rules of the Labor Standards Act Act for Worker Protection of Mass Redundancy Labor Insurance Act  Act of Gender Equality in Employment Employment Service Act Regulations of Leave-Taking of Workers Occupational Safety and Health Act Labor Pension Act 1.勞動基準法(本剪報內容首著重於此) 2.勞動基準法施行細則 3.大量解僱勞工保護法 4.勞工保險條例 5.兩性工作平等法(次重) 6.就業服務法 7.勞工請假規則 8.職業安全衛生法 9.勞工退休金條例

Labor Standard Act-Application The application of Labor Standard Act Employee V (Art 2, Subparagraph 1 and 2) Manager X Labor Contract Written Verbal 勞基法第2條： 本法用辭定義如左： 一、勞工：謂受雇主僱用從事工作獲致工資者。 二、雇主：謂僱用勞工之事業主、事業經營之負責人或代表事業主處理有 關勞工事務之人。

Labor Standard Act- Overview General Provisions Labor Contract Wages Hours, Recess and Holidays Child Workers and Female Workers Retirement Compensation for Occupational Accidents Apprentices Work Rules Supervision and Inspection Penal Provisions 橘色標題待會進一步介紹

Labor Standard Act- Labor Contract Types Non-fixed term labor contracts: Other continuous work (Art 9) Termination with Advance Notice by Employer (Art 11) + Severance Pay (Art 17) Termination with Advance Notice by Employer (Art 11) -businesses suspended, transferred, suffers an operating losses, or business contractions. -business suspension for more than one month due to force majeure. -Where the change of the nature of business necessitates the reduction of workforce and the terminated employees can not be reassigned to other suitable positions. -Particular worker clearly not able to perform satisfactorily the duties required of the position held. Severance Pay (Old labor pension) Art 17: for each year of service= 1 month of average wage (New labor pension) Art 12 of Labor Pension Act: for each year of service= 0.5 month of average wage Termination without Advance Notice By Employer (Art 12): worker commits a violent act, in serious breach of the labor, absent from work for three consecutive days, or for a total six days in any month without good cause, etc. By Employee (Art 14): employer commits violence/grossly insults the worker; employer breaches a labor contract or violates any labor statute or administrative regulation in a manner likely to adversely affect the rights and interests of the particular worker, etc. Fixed term labor contracts: temporary, short-term, seasonal or specific work (Art 9) 勞動契約分為定期與不定期（勞基法第9條），不定期契約才有勞基法第11條、第12條及第17條之適用

Labor Standard Act- Wages Wages shall be paid in full directly to the worker. (Art 22) Wages shall be paid on a regular basis at least twice a month. (Art 23) An employer shall pay a worker overtime wages.  (Art 24) An employer shall under no condition discriminate between the sexes in the payment of wages. (Art 25) An employer shall not make advance deduction of wages as penalty for breach of contract or as indemnity. (Art 26) In the case of employer winding up or liquidating his/ her business or being adjudicated bankrupt, the worker shall have a top-priority right in receiving repayment for wages which are payable under the labor contract and should be paid up to six months arrear wage. (Art 28) 給付工資的各基本原則

Labor Standard Act- Work Rules An employer hiring more than 30 workers shall set up work rules (Art 70) 1. Working hours, recess, holidays, annual paid leave of absence and the rotation of shifts for continuous operations 2. Standards, method of calculation and pay day of payable wages 3. Length of overtime work 4. Allowances and bonuses 5. Disciplinary measures 6. Rules for attendance, leave-taking, award and discipline, promotions and transfer 7. Rules for recruitment, discharge, severance, termination and retirement 8. Compensation and consolation payment for accident, injury or disease 9. Welfare measures 10. Safety and health regulations to be followed and observed both the employer and the worker 11. Methods for communication of views and enhancement of cooperation between employer and worker 12. Miscellaneous matters 勞基法第70條： 雇主僱用勞工人數在三十人以上者，應依其事業性質，就左列事項訂立工 作規則，報請主管機關核備後並公開揭示之： 一、工作時間、休息、休假、國定紀念日、特別休假及繼續性工作之輪班 方法。 二、工資之標準、計算方法及發放日期。 三、延長工作時間。 四、津貼及獎金。 五、應遵守之紀律。 六、考勤、請假、獎懲及升遷。 七、受僱、解僱、資遣、離職及退休。 八、災害傷病補償及撫卹。 九、福利措施。 十、勞雇雙方應遵守勞工安全衛生規定。 十一、勞雇雙方溝通意見加強合作之方法。 十二、其他。

Labor Standard Act- Compensation for Occupational Accidents (Art 59) injured or suffers from any occupational disease -necessary medical expenses. under medical treatment not able to work -compensation according to his/her pre-existing wage after the termination of medical treatment the designated hospital has definitely diagnosed that the worker is disabled forever -a lump sum as disability compensation in accordance with he/her average wage and the degree of disability died of occupational injury or disease -funeral subsidy equal to 5 months of average wage + a lump sum survivors compensation equal to 40 months of average wage to his/her survivors 勞基法第59條： 勞工因遭遇職業災害而致死亡、殘廢、傷害或疾病時，雇主應依左列規定 予以補償。但如同一事故，依勞工保險條例或其他法令規定，已由雇主支 付費用補償者，雇主得予以抵充之： 一、勞工受傷或罹患職業病時，雇主應補償其必需之醫療費用。職業病之 種類及其醫療範圍，依勞工保險條例有關之規定。 二、勞工在醫療中不能工作時，雇主應按其原領工資數額予以補償。但醫 療期間屆滿二年仍未能痊癒，經指定之醫院診斷，審定為喪失原有工 作能力，且不合第三款之殘廢給付標準者，雇主得一次給付四十個月 之平均工資後，免除此項工資補償責任。 三、勞工經治療終止後，經指定之醫院診斷，審定其身體遺存殘廢者，雇 主應按其平均工資及其殘廢程度，一次給予殘廢補償。殘廢補償標準 ，依勞工保險條例有關之規定。 四、勞工遭遇職業傷害或罹患職業病而死亡時，雇主除給與五個月平均工 資之喪葬費外，並應一次給與其遺屬四十個月平均工資之死亡補償。 其遺屬受領死亡補償之順位如左： （一）配偶及子女。 （二）父母。 （三）祖父母。 （四）孫子女。 （五）兄弟姐妹。 勞基法第60條：雇主依前條規定給付之補償金額，得抵充就同一事故所生損害之賠償金額 。

Labor Standard Act- Compensation for Occupational Accidents 3 layers of protection Compensation (Art 59 & 60) Strict liability of employer Employer may deduct the paid insurance payment from the total compensation to be paid Insurance payment If employer insures the employee according to Labor Insurance Act Indemnity Negligence of employer A civil claim. Different compensation for the loss or decrease of employee’s laboring capacity, or the increase of the need in living 職災的三層式保護：勞基法、勞保條例、民法（侵權行為）

Act of Gender Equality in Employment - Overview General Provisions Prohibition of Gender Discrimination Prevention and Correction of Sexual Harassment Measures for Promoting Equality in Employment Complaint Procedures and Remedies Penal Provisions 橘色標題待會進一步介紹

Act of Gender Equality in Employment - Prevention and Correction of Sexual Harassment (Art 13) Employers shall prevent and correct sexual harassment from occurrence. For employers hiring over 30 employees, measures for preventing, correcting sexual harassment, related complaint procedures and disciplinary measures shall be established. All these measures mentioned above shall be openly displayed in the workplace.

Non-Competition Clause Requirements for an Enforceable Non-Competition Clause: The employer shall have some legitimate interests to be protected. The employee is allowed to access the employer’s trade secrete. The restrictions must be reasonable in terms of the subject, duration, geographical area and scope. There must be compensation measures. 1.雇主需有依競業禁止特約保護之利益存在 2.受僱人所擔任之職務或職位得以接觸雇主營業秘密 3.限制受僱人就業之對象、時間、區域、職業活動之範圍，應明確，且不逾合理範疇 4.代償措施

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