Article 9 of the Labor Contract Law stipulates that: when an employer recruits laborers, it shall not require them to provide guarantees or collect property from them in other names, and shall not detain their resident identity cards or other certificates.
Workers have the right to refuse the employer to collect deposits, security deposits or mortgage payments from themselves in various forms and names. According to Article 24 of the Opinions on Implementing the Labor Law of People's Republic of China (PRC) (1995) issued by the former Ministry of Labor, when concluding a labor contract with the employee, the employer shall not collect the deposit, security deposit (material) or mortgage (material) from the employee in any form. In violation of the provisions, the public security department and the labor administrative department shall order the employer to immediately return it to the laborer himself. Article 83 of this law also stipulates the legal liability for collecting property from workers or seizing workers' certificates, that is, if the employer violates the provisions of this law and seizes workers' identity cards and other certificates, the labor administrative department shall order them to return them to the workers themselves within a time limit; Punish in accordance with relevant laws and regulations. Where an employing unit, in violation of the provisions of this Law, demands guarantees from laborers or collects property from laborers, the labor administrative department shall order it to be returned to the laborers within a time limit, and impose a fine according to the standard of more than 500 yuan but less than 2,000 yuan per laborer; If damage is caused to the laborer, the employing unit shall be liable for compensation.
According to the provisions of Article 17 of the State Council's Regulations on Rewards and Punishment of Enterprise Employees and Article 16 of the Interim Provisions on Wage Payment of the former Ministry of Labor, if the employer suffers economic losses due to the laborer himself, the employer may compensate the economic losses according to the requirements of the labor contract. The amount of compensation for economic losses shall be determined by the employing unit according to the specific circumstances and deducted from the wages of workers, but the amount deducted each month shall generally not exceed 20% of their monthly standard wages. If the deducted surplus wage is lower than the local monthly minimum wage, it shall be paid according to the minimum wage. If the mistake can be corrected quickly and the performance is good, the compensation amount can be reduced as appropriate.
There are indeed a few lawless elements among workers who use the convenience of working conditions to harm the interests of employers. At the same time, because of its high liquidity, it is not easy to manage and claim, which makes it illegal for individual employers to avoid losses only by collecting the risks of mortgage, collateral or seizure of identity cards. If employers want to avoid the risk of workers leaving their jobs without assuming compensation liability, they should strengthen internal management to solve it, rather than simply adopting the wrong way of collecting mortgages.