According to the Labor Contract Law:
Article 47? The economic compensation shall be paid according to the standard of one month's salary for each full year of the employee's working years in the unit. For more than six months but less than one year, it shall be counted as one year; If it is less than six months, economic compensation of half a month's salary shall be paid to the workers.
If the monthly salary of workers is three times higher than the average monthly salary of local workers announced by the people's government of the municipality directly under the central government or the city divided into districts where the employer is located, the standard for paying economic compensation to workers is three times the average monthly salary of workers, and the longest period for paying economic compensation to workers shall not exceed 12 years.
The monthly salary mentioned in this article refers to the average salary of workers in the twelve months before the dissolution or termination of the labor contract.
According to Article 27 of the Regulations on the Implementation of the Labor Contract Law, the extended information is as follows: The monthly salary of economic compensation stipulated in Article 47 of the Labor Contract Law is calculated according to the wages due to the workers, including hourly wages or piece-rate wages and monetary income such as bonuses, allowances and subsidies.
If the average wage of the laborer in the month 12 before dissolution or termination of the labor contract is lower than the local minimum wage standard, it shall be calculated according to the local minimum wage standard. If the laborer works less than 12 months, the average salary shall be calculated according to the actual working months. Therefore, it should be paid.
The following labor income of employees is not included in the scope of economic compensation base:
(1) Labor insurance expenses, such as work clothes, antidotes, cold drinks, etc.;
(2) All kinds of labor remuneration and other labor income that are not included in the total wages according to regulations, such as invention award, national spark award, natural science award, scientific and technological progress award, rationalization proposal and technical improvement award, Chinese skill award, etc. And the cost of writing, speaking and translating.
Baidu Encyclopedia-Labor Contract Law