ABSTRACT

On 27 August 1998, TG orally dismissed BZ, who filled out a schedule for departure on the same day. TG signed the form and processed the case as if the termination were based on mutual agreement after consultation. From the next day, BZ stopped going to work. TG paid BZ full wages on 5 September and 5 October 1998. On 5 November and 5 December 1998, TG paid BZ wages of RMB 325, after a total deduction of RMB 317 for contributions to old-age pension, housing accumulation fund, and medical insurance. From May 1994 to December 1998, TG had paid, on behalf of BZ, RMB 20,922.58 short of the required old-age pension premiums, while BZ himself had also paid RMB 1,176 less than what the premiums should be. On 21 January 1999, BZ received a release-from-job notice from TG. During this time, both parties negotiated several times over the amount of compensation without avail. BZ applied for arbitration, but his stance was not

supported. Therefore, BZ filed a lawsuit with the Shanghai City Pudong New District People’s Court.