Baoxin View

Is the agreement that employee resignation is deemed to automatically give up project performance pay?

Release time:2020-05-13
e     Case replay

yLi joined Company A in 2018 as the sales director. In order to encourage his enthusiasm, the company signed the "2018 Performance Reward Agreement" (hereinafter referred to as the reward agreement) with him. The agreement clearly stipulates the calculation method of project performance wages. In addition, the agreement stipulates that the project performance salary is paid in two phases, the first is 30%, and the second is 70%. If the employee resigns, it will be deemed to automatically give up the project performance salary. In 2018, Li worked hard and exceeded the company's performance goals and completed all the work required by the company. According to the performance agreement, Li should receive a project performance salary of 830,000 yuan in 2018. After that, the company refused to pay Li's project performance salary on the grounds of operating difficulties, and Li resigned in October 2019. After resigning, Li had negotiated with the person in charge of the company several times and asked to pay his project performance salary. However, the company refused to pay on the grounds that Li had gone through the resignation procedures. The negotiation failed for many times, and Li went to Zhongshan City for labor and personnel dispute arbitration. The committee applied for labor arbitration.


Controversy


The issue of whether the employer’s agreement on “employees leaving their jobs is deemed to automatically give up receiving project performance wages” is legal and valid.



There are two views on whether the "provision that no commission is paid after resignation" is legal and effective:


Point of view 1: The agreement between the employer and the worker, which stipulates the conditions for the payment of project performance wages, is a manifestation of the enterprise's autonomy in employment and the employees also know the content of the agreement. The agreement is legal and effective.


Viewpoint 2: This agreement conflicts with laws and regulations and should be an invalid clause, and the company should pay project commission wages in accordance with the law.



Author's opinion


The author is more inclined to the second view.


From the analysis of the nature of the project performance salary. According to Article 4 of the "Regulations on the Composition of Total Wages" of the National Bureau of Statistics, the performance wages that should be paid by Li's project are part of the total wages, and the employer should pay the corresponding wages if the worker provides labor.


Analyze from the perspective of whether Li obtains project performance salary conditions. Li has exceeded the 2018 performance target set by the company, and in March 2019, according to the company’s project schedule and partial division of labor, the 2018 project was handed over to the company’s project management center to continue to follow up the work in other stages. After completing all the work to be completed as stipulated in the award agreement, the conditions for obtaining project performance wages have been achieved, and there is no causal relationship between their resignation behavior and the 2018 project and project performance wages, and they should enjoy the right to receive labor compensation.


Analyze from the perspective of legitimacy. According to the second paragraph of Article 26 of the "Labor Contract Law of the People's Republic of China", company A excludes Li's right to obtain wages by setting up a format clause and exempts him from his legal responsibility to pay workers' compensation. This clause should be invalid. .