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Is the employee handbook legally binding?

Whether the employee handbook has legal effect mainly depends on whether the company has followed legal procedures and complied with the requirements of laws and regulations.

The effectiveness of the company's formulation or modification of the employee handbook depends on whether the above procedures are fulfilled. If the above procedures are fulfilled, the employee handbook is valid. From a legal perspective, in these procedures, it is not clearly stipulated whether employees should sign. Generally, after going through the above procedures, there is no requirement that employees must sign. From a practical perspective, it is best for enterprises or companies to have workers sign the employee handbook for confirmation. In terms of employment, when enterprises formulate rules and regulations such as employee handbooks in a systematic and standardized manner, they should pay more attention to making them legally meaningful.

"Labor Contract Law of the People's Republic of China"

Article 4

When the employer formulates rules and regulations that directly involve the vital interests of workers or When major matters arise, they shall be discussed by the workers' congress or all workers, plans and opinions shall be proposed, and shall be determined through equal consultation with the trade union or worker representatives. Employers shall publicize or inform employees of decisions on rules, regulations and major matters that directly affect the vital interests of employees. At the same time, if the rules and regulations formulated through democratic procedures do not violate national laws, administrative regulations and policy provisions, and have been disclosed to workers, they can be used as the basis for the People's Court to hear labor dispute cases.