The service period is the period during which the laborer promises to serve the employer because he accepts the special treatment given by the employer. The service period is usually five years, which is executed in synchronization with the contract period. The following three types of personnel must sign a service period agreement: first, employers spend a lot of money to recruit more personnel than conventional means and funds; Second, personnel who invest a lot of money in special training, such as flight personnel; Third, employers provide employees with special treatment, such as housing, communication equipment, transportation, etc. Where an employer provides special training fees for laborers and provides them with professional and technical training, it may conclude an agreement with the laborers to stipulate the service period. If the laborer violates the service period agreement, he shall pay liquidated damages to the employer in accordance with the agreement. The amount of liquidated damages shall not exceed the training expenses provided by the employer.

legal ground

Article 22 of the Labor Contract Law of People's Republic of China (PRC) (revised on 20 12) If an employer provides special training fees for employees during their service period, it may conclude an agreement with the employees to stipulate the service period. If the laborer violates the service period agreement, he shall pay liquidated damages to the employer in accordance with the agreement. The amount of liquidated damages shall not exceed the training expenses provided by the employer. The liquidated damages that the employer requires the laborer to pay shall not exceed the training expenses that should be shared for the unfinished part of the service period. If the employer and the employee agree on the service period, it will not affect the employee's improvement of labor remuneration in accordance with the normal wage adjustment mechanism during the service period.