Contract Question

Sorry if this has already been posted, but all my searches return results from 2009 and can’t find any current information.

Here is my problem:

I signed a contract with a cram school in March 2015
The Chinese on the contract states that if I do not fulfill the contract, they will withold $30,000 from my pay. There is nothing about this in the English version. When I signed the contract I didn’t have any Taiwanese friends and didn’t understand any Chinese, so I assumed the Chinese and English versions at least contained all the pertinent information.

My previous employer in the US has offered me an extremely high salary to return to work, which I could not refuse. I will start work in early november 2015, so will leave Taiwan in the middle of October.

My question is should I give notice, or just go in on my last payday, collect my pay (always in cash) and leave, or should I give notice. I don’t want them to try and withhold $30,000 of my pay that I worked my ass off for. I won’t have time to fight them if they refuse to pay me.

Can they legally even withhold my pay? Especially with no mention of it in English? (There is a ‘Chinese language prevails’ clause).

I really like the school and they have been nothing but nice to me and have accommodated my every request.

If I leave, will that cause me any problems if I ever decided to come back to Taiwan in the future? I love Taiwan, and don’t want to ruin my chances forever.

Thanks so much to anyone who can help. Any experiences or cited sources would be great!

Cheers!

[quote=“jejunate”]The Chinese on the contract states that if I do not fulfill the contract, they will withold $30,000 from my pay. There is nothing about this in the English version. When I signed the contract I didn’t have any Taiwanese friends and didn’t understand any Chinese, so I assumed the Chinese and English versions at least contained all the pertinent information.
[/quote]
That sounds like a textbook violation of Article 26 of the Labor Standards Act:

An employer shall not make advance deduction of wages as penalty for breach of contract or as indemnity.

Article 78 sets the penalty (for the employer committing this violation) at $90,000 to $450,000. Article 79 also sets a $20,000 to $300,000 penalty for not paying in full (Article 22), in case they disguise it as something other than a breach penalty.

[quote]My question is should I give notice, or just go in on my last payday, collect my pay (always in cash) and leave, or should I give notice. I don’t want them to try and withhold $30,000 of my pay that I worked my ass off for. I won’t have time to fight them if they refuse to pay me.

Can they legally even withhold my pay? Especially with no mention of it in English? (There is a ‘Chinese language prevails’ clause).

I really like the school and they have been nothing but nice to me and have accommodated my every request. [/quote]
They tricked you into signing a fake translation with a “Chinese version prevails” clause, and at least one clause in the Chinese version is completely illegal. You can like them if you want, but they have no contractual obligation to return the favor. :frowning:

[quote]If I leave, will that cause me any problems if I ever decided to come back to Taiwan in the future? I love Taiwan, and don’t want to ruin my chances forever.
[/quote]
You should take care of your 2015 tax return. You’re actually supposed to file a few days (7?) before you leave, if you don’t plan to return the same year.

Read through the LSA and related regulations and make a list of every violation the company has or may have committed: against you, against other employees, and against the government.

Examples:

–tax: correct amount withheld?
–tax: official receipts?
–holidays: observed? (check Article 23 of the Enforcement Rules of the LSA)
–holidays: paid? (Article 39 of the LSA) (even if you’re “part-time”)
–leave: sick leave? etc. (check the Regulations of Leave-Taking of Workers)
–deductions: canceled classes? (check Article 487 of the Civil Code)

Once you have your list, consider how much of it you can prove. Then consider whether you want to quit by the rules of Article 14 or just make a fuss about all their violations and hope that they fire you. Either way, you’re entitled to severance pay (Article 17), unless they find a valid reason to fire you before you quit. (Did you pass your latest performance review?) If they fire you they can also be fined for retaliating against you (Article 74), but it’s lumped together with other fines in Article 79.

Whatever you do, make a formal declaration by email, citing all the violations you’re sure of and (if you quit) which subparagraph(s) of Article 14 you’re invoking. Also tell them that if they sue you, you will countersue and file complaints with all the relevant authorities (tax, labor, anything else you can think of). Even if they could win something from you, they would probably lose much more: payments to you, fines to the government, and legal fees.

You may find it helpful to go to your local labor department or branch of the Legal Aid Foundation for a free consultation. (People at Labor don’t always know exactly what they’re talking about, but they usually do. If they say anything that seems to contradict the law, get a second opinion or at least ask them what their information is based on.)

Of course you may want to file a complaint at the Labor Inspection Office anyway, after some reflection about how hard you’ve worked and how sincere their apparent niceness has been. :ponder: Depending on how badly they’ve been breaking the law, you might be surprised at how much they owe you… :unamused:

It’s entirely reasonable to hurt your devious employer’s feelings by waiting until payday to quit. Whether it’s fair to your students is another question, but if the company is the party that broke the law, disgruntled customers should take it up with the company. :2cents:

Laws & Regulations: law.moj.gov.tw
Some more useful stuff is at the Ministry of Labor’s website (mol.gov.tw), but almost all of it is in Chinese.

If you just leave without giving notice (a runner) then your employer can attempt to file paperwork that will prevent you from getting a work permit for X number of years. I have heard this is difficult to do but I don’t have any specific experience with it. I later learned that I replaced a teacher that had done a runner but the school was unable to essentially get him blacklisted for X number of years.

Ultimately you should go down to your labor department and find out if they can legally withhold the pay if you leave early. imo these kind of clauses are complete bullshit especially when they conveniently omit them from the English portion of the contract and don’t talk about them when signing.

That sounds plausible if there wasn’t even an “I quit” email, but Article 14 of the LSA lets you give same-day notice if any of the conditions listed (e.g. employer violating employee’s rights) exists.

If you get blacklisted it would probably be on the grounds that you were “unjustifiably absent from work for three consecutive days”, a recurring theme in these laws. After the contract is terminated, there’s no work and therefore no absence.

That sounds plausible if there wasn’t even an “I quit” email, but Article 14 of the LSA lets you give same-day notice if any of the conditions listed (e.g. employer violating employee’s rights) exists.

If you get blacklisted it would probably be on the grounds that you were “unjustifiably absent from work for three consecutive days”, a recurring theme in these laws. After the contract is terminated, there’s no work and therefore no absence.[/quote]

Sorry, I didn’t read anything about giving notice before leaving. I had read the earlier dialogue as ‘just leaving’.

Still there is an official contract termination form that is signed by both parties when terminating a contract. An email might suffice but the OP wouldn’t be in Taiwan to fight a claim that he went AWOL. If he leaves then he should fill out the official contract termination form that is signed by both parties and filed with the labor office. That way he knows that he is safe.

But the best (and only) advice is to go to the labor office and find out what his options are.

That sounds plausible if there wasn’t even an “I quit” email, but Article 14 of the LSA lets you give same-day notice if any of the conditions listed (e.g. employer violating employee’s rights) exists.

If you get blacklisted it would probably be on the grounds that you were “unjustifiably absent from work for three consecutive days”, a recurring theme in these laws. After the contract is terminated, there’s no work and therefore no absence.[/quote]

Sorry, I didn’t read anything about giving notice before leaving. I had read the earlier dialogue as ‘just leaving’.

Still there is an official contract termination form that is signed by both parties when terminating a contract. An email might suffice but the OP wouldn’t be in Taiwan to fight a claim that he went AWOL. If he leaves then he should fill out the official contract termination form that is signed by both parties and filed with the labor office. That way he knows that he is safe.

But the best (and only) advice is to go to the labor office and find out what his options are.[/quote]
I think this is the form you meant.

blank form: bola.gov.taipei/public/Data/310713551071.doc
filled form: bli.gov.tw/File.aspx?uid=SG4gAT5KFVw=

It’s a 離職證明書, proof of leaving employment, similar to a 服務證明書 “proof of service record”. Reporting termination to the government is called 資遣通報 and has its own faq section at the Taipei Labor Dept’s website.

bola.gov.taipei/lp.asp?CtNode=63 … xq_xCat=14

It’s required in some cases, but not when the employee quits with a valid reason (Article 14). What they don’t mention on that page is that the employee can request a “proof of service record” (there are examples on various websites), and the employer doesn’t have the right to refuse. (There’s a fine for refusing.)

A former employer who tries to get revenge by telling the government you disappeared without quitting is risking criminal charges (Criminal Code, Articles 214 & 215). The maximum fine is just $1500 NT, but the maximum prison term is 3 years. Keep your resignation email handy just in case :wink: