How to compensate employees when a company is dissolved. How to compensate employees when a company is dissolved. A company may slowly grow during its operations, but it may also face the crisis of bankruptcy and dissolution. Dismissed employees generally need to be given certain compensation. Let’s take a look at how employees who are dismissed by a company will be compensated.

compensation.

How to compensate employees when a company is dissolved1? 1. How to compensate employees when a company is dissolved. Article 47 of the Labor Contract Law: Economic compensation is paid to workers based on the number of years they have worked in the unit and one month's salary for every full year.

Pay.

If the period is more than six months and less than one year, it shall be calculated as one year.

If the period is less than six months, economic compensation of half a month's salary will be paid to the worker.

If the employee's monthly salary is three times higher than the average monthly salary of employees in the region in the previous year announced by the people's government of the municipality or districted city where the employer is located, the standard of economic compensation paid to the employee shall be three times the average monthly salary of employees.

The maximum number of years for which financial compensation will be paid shall not exceed twelve years.

The monthly salary mentioned in this article refers to the average salary of the employee in the twelve months before the labor contract is terminated or terminated.

?2. Reasons for enterprise dissolution? 1. The business period stipulated in the company's articles of association expires.

The company has not made a decision to extend the business period.

Our country's Company Law neither stipulates the maximum business period of a company nor mandates that the company's articles of association stipulate the business period. Therefore, the business period is an arbitrary matter stipulated in our company's articles of association.

If the company's articles of association stipulate a business period, before the expiration of this period, the shareholders' meeting can form a resolution to extend the business period. If such a resolution is not formed, the company will enter the dissolution process.

?2. Other reasons for dissolution specified in the company's articles of association arise.

The reasons for dissolution are generally matters that are relatively necessary to be recorded in the company's articles of association. When formulating the company's articles of association, shareholders can stipulate in advance various reasons for the company's dissolution.

If the specified reasons for dissolution arise during the company's operations, the shareholders' meeting can resolve to dissolve the company.

?3. The shareholders’ meeting or general meeting of shareholders resolves to dissolve.

For a limited liability company, if approved by shareholders holding more than 2/3 of the voting rights; for a joint-stock company, if approved by 2/3 of the voting rights held by shareholders attending the shareholders' meeting, the shareholders' meeting or general meeting of shareholders may make a resolution to dissolve the company.

Since a wholly state-owned company does not have a shareholders' meeting, its decision to dissolve should be made by the state-authorized investment agency or department.

?4. The business license has been revoked, ordered to close, or revoked in accordance with the law.

Once a company is subject to administrative penalties such as revoking its business license, being ordered to close down, or being revoked, it will inevitably lead to the dissolution of the company.

?3. How to file a company dissolution lawsuit 1. When a shareholder files a company dissolution lawsuit, the company should be the defendant.

If the plaintiff files a lawsuit with other shareholders as defendants, the People's Court shall inform the plaintiff to change the other shareholders to a third party; if the plaintiff insists on not changing the name, the People's Court shall dismiss the plaintiff's lawsuit against the other shareholders.

2. When the plaintiff files a company dissolution lawsuit, he should notify other shareholders, or the people's court should notify them to participate in the lawsuit.

If other shareholders or relevant interested parties apply to participate in the lawsuit as a co-plaintiff or a third party, the people's court shall grant it.

3. The People's Court should pay attention to mediation when hearing company dissolution litigation cases.

If the parties negotiate and agree that the company or shareholders will acquire the shares, or the company will continue to exist by reducing capital, etc., the People's Court shall make a timely ruling.

If the company acquires the plaintiff's shares through mediation by the People's Court, the company shall transfer or cancel the shares within 6 months from the effective date of the mediation letter.

4. The People's Court's judgment on company dissolution litigation is legally binding on all shareholders of the company.

5. After the People's Court has ruled to reject the lawsuit for company dissolution, if the shareholder or other shareholders who filed the lawsuit file another lawsuit for company dissolution based on the same facts and reasons, the People's Court will not accept the case.

How to compensate employees when a company is dissolved2? 1. Compensation wage standards for employees when a company is dissolved 1. The legal termination of the labor contract by the company involves economic compensation, and the unilateral illegal termination of the labor contract by the company involves economic compensation (double economic compensation).

Compensation refers to the compensatory compensation made in accordance with legal provisions or voluntary agreement when the unit has not violated the law or made any mistakes, while compensation refers to the punitive compensation made in accordance with the legal provisions when the unit has broken the law or made mistakes.

2. Whether to give advance notice or whether to pay one month's salary in lieu of notice does not affect the payment of economic compensation by Haoxiangrang. They are two different things and are calculated separately.

3. Economic compensation shall be calculated based on the average monthly wages payable in the 12 months before the termination of the labor contract (if the actual length of service is less than 12 months, the calculation shall be based on the actual number of months).

The payment in lieu of notice is calculated based on the salary due last month.