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The company only pays the minimum wage to the employee for leave, and the court should pay the difference in wages in full

author:Beijing News

Recently, a reporter from the Beijing News learned about a labor dispute case from the People's Court of Dongcheng District, Beijing. Li, who is over 50 years old and works as a project manager in a construction company, was suddenly notified of "paid leave off" when he was about to work for 15 years, and the company required him to only go to work for one day a week and pay his salary according to the minimum living guarantee.

Mr. Li asked the company for labor, and after being refused, he asked to negotiate the termination of the labor relationship, but to no avail. Mr. Li applied for labor arbitration, demanding that the company pay the difference in wages during his forced vacation according to the original wage standard, and then appealed to the court against the arbitration award.

In the end, the Dongcheng Court found that the company should make up the difference in wages of 25,379.12 yuan according to Li's original salary standard.

Employees are required to take paid leave and pay only the minimum wage

The Beijing News reporter learned that Li joined a construction company in 2008, worked as a project manager since 2014, and signed an indefinite labor contract with the company in 2020, with a monthly salary adjusted to 16,000 yuan.

In November 2022, the company notified Li in writing, saying that because Li's project was completed and the balance payment was not recovered, other projects were in a state of suspension, and the company had no other business. After receiving the notice, Li replied to the company in writing, saying: "I am hardworking, conscientious, and strive to complete my own work. However, since November 2, 2022, the company has deprived me of my labor rights by leaving me on duty without any reason without my fault. To this end, the company is required to immediately resume work at the original post and pay the salary of the original post." The company replied to Li, saying that it did not recognize Li's letter and that the company's arrangement was legal.

After that, Li reported to the company for 1 day a week according to the company's requirements, and the company did not arrange work for Li the rest of the time, and did not require Li to attend. The company paid Li's salary of 2,157 yuan in November 2022, and Li's salary of 1,624 yuan per month in December 2022 and January 2023.

Mr. Li had applied for labor arbitration for the difference in wages in November 2022, and the arbitration award held that even if the company was suspended from work and business, it should still pay wages according to the original wage standard in the month of notification, so it was ruled that the company should make up the difference in wages in November according to Mr. Li's original wage standard, and the company recognized and fulfilled the award.

In February 2023, Mr. Li applied for arbitration again, demanding that the company pay the difference in his salary in December 2022 and January 2023, after which Mr. Li was dissatisfied with the arbitration result and sued the court.

Li believes that the company forced him to leave his job by suspending him on leave, only paying basic living expenses, and not providing a labor position. The company argued that the company had suspended work and production, and that the winter shutdown of construction sites was the norm in the industry, and that the company had the right to arrange for workers to stay on duty and pay wages according to the minimum wage standard on the grounds of suspension of work and production, and that there was no need to negotiate with the workers. During the trial of the case, Mr. Li applied for arbitration in a separate case for the termination of the labor contract.

The court claimed that the employer had failed to prove the reasonableness of the wage reduction and should pay the difference in wages

After trial, the Dongcheng Court held that the employer should bear the burden of proof for a labor dispute arising from the employer's decision to reduce labor remuneration. The company asserted that it had the right to pay the minimum wage to the employee in accordance with Article 27 of the Beijing Municipal Regulations on the Payment of Wages, and should bear the burden of proof that it met the relevant circumstances of the suspension of work and business. According to the evidence on record and the statements of both parties, Li's work content was not limited to a specific project, and the company was not limited to a specific project, and the evidence submitted by the company was insufficient to prove that there was a suspension of work and business during December 2022 and January 2023. On the premise that the two parties failed to reach an agreement on the reduction of labor remuneration and that Li promptly wrote to the company to request labor, the company paid Li wages in accordance with the minimum wage standard, which not only caused a decrease in Li's salary income, but also affected the calculation standard of his average salary in the 12 months prior to his resignation, which actually harmed the legitimate rights and interests of the employee.

In the end, the Dongcheng Court found that the company failed to provide evidence to prove that it had suspended work and production, and that the company should pay Li a salary in accordance with Li's original wage standard without reaching an agreement with Li and Li's request for labor, and ordered the company to pay Li the difference in wages of 25,379.12 yuan. The company was dissatisfied with the judgment and appealed, and the original judgment was upheld in the second instance.

The judge reminded employers to be cautious in adjusting employees' wages on the grounds of suspension of work and production

The judge reminded that wages are the most direct and core labor rights and interests of workers, and every wage affects the happiness of workers and their families. Article 50 of the Labor Law of the People's Republic of China stipulates that wages shall be paid to the worker in the form of money on a monthly basis. Wages shall not be deducted or unjustifiably delayed. Paragraph 1 of Article 30 of the Labor Contract Law of the People's Republic of China stipulates that an employer shall pay labor remuneration to an employee in full and in a timely manner in accordance with the provisions of the labor contract and national regulations. It is the obligation of the employer to comply with labor laws and regulations and pay wages to employees on time and in full. If the employer fails to pay the employee's wages in full, it must meet the statutory requirements.

In this case, on the one hand, Mr. Li had established a long-term and stable labor relationship with the company, and even if the company encountered difficulties in production and operation, it should take the initiative to negotiate with the employee to resolve it. On the other hand, if the company adjusts the wages of employees without reaching an agreement with the employees, and claims that there are special circumstances, it shall fully provide evidence on the relevant circumstances, strictly implement the requirements of laws and regulations, and respect the rights of employees. Otherwise, they will bear the adverse consequences of failing to provide evidence.

Employers' drastic reductions in workers' wages will undoubtedly directly affect the normal life of employees, and the "cold treatment" of labor-management issues will not only damage the legitimate rights and interests of employees, but also be detrimental to the operation and development of enterprises. Employers should combine promoting the development of enterprises and safeguarding the rights and interests of employees, take the initiative to negotiate with employees, pay attention to humanistic care, and strive to build harmonious labor relations. At the same time, when an employee encounters an infringement of legitimate rights and interests such as non-payment of wages, he or she should rationally express his demands, communicate with the employer in a timely manner, retain relevant evidence, and protect his or her rights and interests through legal means such as labor inspection department, arbitration, and litigation.

Beijing News reporter Mu Hongju editor Yang Hai proofreader Wu Xingfa