How should the labor relationship be determined when the company allows employees to take turns signing contracts with labor dispatch agencies, and then dispatches them back to the company for work? The court determines that the employer and the dispatch agency bear joint and several liability. The employer allows employees to take turns signing labor contracts with the designated labor dispatch agency, and then dispatches them back to the employer for work? According to a recent case released by the Guangdong Provincial High People's Court, employers should still bear corresponding legal responsibilities for the above-mentioned actions. If the contract is invalid due to the fault of the employer and causes damage to the employee, the employer and the designated labor dispatch agency shall bear joint and several liability. Lin went to the Guangdong office of Yemou Company for an interview in July 2008, but at the request of Yemou Company, Lin signed a labor contract with Chuangmou Company based on the contract text provided by the company and was arranged to work as a clerk in Yemou Company's Guangdong office through labor dispatch. Since January 2015, Lin has signed a labor contract with Ruimou Company and was dispatched to Yemou Company as a salesperson. In the labor contract renewed on July 1, 2022, both parties agreed that the contract period would be from July 1, 2022 to December 31, 2027. Lin agreed that if the labor cooperation project ended or Lin's work performance was inefficient, Rui Company had the right to transfer positions, and Lin had to comply with the arrangements. During the labor relationship, if Lin accumulated more than 5 days (including 5 days) of absenteeism or continued to be absent for more than 3 days, Rui Company could immediately terminate the labor contract with him without paying any compensation. On December 16, 2022, Yemou Company issued a document to reform and reappoint various offices. On December 19th, a staff member of Yemou Company posted a notice in the WeChat work group, informing non appointed personnel including Lin that they can choose to transfer positions or apply for resignation. Lin refused to accept the disposal plan for reform personnel, and Yemou Company returned it to Ruimou Company. During the training process before the re dispatch of Lin by Rui Company, due to Lin's refusal to comply with the training arrangement and continuous absenteeism, on January 31, 2023, Rui Company sent Lin a "Notice of Termination of Employment Relationship". Lin refused the above email on February 1, 2023, and then applied for labor arbitration and filed a lawsuit, requesting Ye Company and Rui Company to pay him a one-time economic compensation of 163763.40 yuan. The court found that Lin had worked at Yemou Company for 14.5 years and had an average monthly salary of 5414.93 yuan in the 12 months before leaving. The People's Court of Jinping District, Shantou City, Guangdong Province, ruled in the first instance that Yemou Company shall pay economic compensation of 81223.95 yuan to Lin; Ruimou Company shall bear joint repayment responsibility for the economic compensation that Yemou Company should pay to Lin within the limit of 43319.44 yuan. After the verdict, Yemou Company and Ruimou Company appealed. The Shantou Intermediate People's Court rejected the appeal and upheld the original verdict in the second instance. Yemou Company and Ruimou Company apply for retrial. The Guangdong Provincial High People's Court has ruled to reject the application for retrial. For this case, the presiding judge stated that Lin had been working in the Guangdong East Office of Yemou Company for over a decade since joining, accepting management and work arrangements from Yemou Company. The above behavior of allowing Lin to take turns signing labor contracts with the designated labor dispatch agency and then being dispatched back to work at Yemou Company by Yemou Company is a deliberate evasion of legal responsibility by the employer, violating Article 66 (1) of the Labor Contract Law, which states that "labor contract employment is the basic form of employment for enterprises in China. Labor dispatch employment is a supplementary form and can only be implemented in temporary, auxiliary, or alternative job positions." Lin and Yemou Company have formed a factual labor relationship. In addition, after recruiting a salesperson, Yemou Company should have signed a labor contract with the employee in accordance with the law, but deliberately avoided legal provisions by arranging for the employee to sign a labor contract with a labor dispatch company. According to relevant provisions of the Labor Contract Law, the labor contracts signed by Lin with Chuangmou Company and Ruimou Company should be deemed invalid. In this case, the responsibility for the invalidity of the labor contract lies with Yemou Company, and Yemou Company voluntarily terminated the factual labor relationship between the two parties. Therefore, Yemou Company should compensate Lin for the losses caused by the invalidity of the contract and pay Lin economic compensation. As a labor dispatch unit, Rui Company, together with Ye Company, violated the provisions of the Labor Contract Law on labor dispatch and should bear joint and several liability according to law. Rui Company signed a labor contract with Lin on January 1, 2015, and therefore bears joint and several liability for the economic compensation for a total of 8 years from January 2015 to December 2022. (New Society)