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Home arrow News & Interviews arrow News June 2008 arrow IBM gets a Taste of New Labour Law
IBM gets a Taste of New Labour Law PDF Print E-mail

By Wayven Pienaar, on Tuesday, 24 June 2008

Published in : The News, News June 2008


IBM is getting a taste of China's new labour law, after firing a sick employee unjustly, state media reports. The company now has to fork out RMB57,332 in compensation.

 

After it was established that the employee suffered from depression, he tendered his resignation to the company, but IBM suggested that he take an extended sick leave instead. While receiving therapy during his leave, health professionals proposed he return to work while continuing to receive therapy. IBM however was not in favour of this and threatened to terminate his labour contract suggesting that he was disturbing the company’s “normal” work order. After a failed suicide attempt the employee proceeded to sue IBM, accusing them of discriminating against him for suffering from depression.

Shanghai Pudong New Zone Labor Arbitration Commission has reportedly ruled that IBM China must continue to implement the labour contract with the R&D Engineer, while also paying him four month’s salary and bonuses totalling RMB57,332.


Last update : Tuesday, 24 June 2008

   
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Keywords : IBM, Labour Law, Compensation, Arbitration, Legal


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