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No. Labor ContractParty A: Beijing Heping Xijie Golden Elephant Pharmacy Co., Ltd (sealed)Party B: ZHANG Yanan (signature)Signing date: May. 26, 2004 Issued by Beijing Municipal Labor & Social Security Bureau Party A: Beijing Heping Xijie Golden Elephant Pharmacy Co., LtdLegal representative: WANG Yuzhi (signature)Registered address: Party B: ZHANG Yanan Gender: FemaleID card Number: Date of Birth: December, 1943Employed by Party A since May. 28, 2004 According to the Labor Law of the Peoples Republic of China and other laws and statutes, the following employment agreements are made to be abided by the both parties based on both parties mutual negotiation and free will. I. Employment PeriodArticle 1 The duration of the employment contract is a fixed period contract The contract shall take effect since May. 28, 2004.The contract shall terminate on May. 30, 2008.II. Job ContentArticle 2 Party A appoints Party B as the shopkeeper Party B agrees with the work requirements of Party A, accepts Party As arrangement and completes the job allocated by Party A well.Article 3 Party B should complete his job in accordance with what Party A requires. III. Labor Protection and Working ConditionsArticle 4 Party A shall arrange Party B standard working systemAccording to the related regulations of the state and government, Party B works 40 hours a week and 8 hours a day averagely. If the overall working hours working system is carried out, the working time span of party B is less than 40 hours a week and 8 hours a day on average.If the irregular working hours working system is carried out, Party B can arrange his own work schedules by himself on the condition that he should have completed the task appointed by Party A. Article 5 If Party A extends the work time, Party A should compensate Party B no less than 150% salary for the overtime. If Party A arranges Party B to work during holidays, Party A should compensate Party B no less than 200% salary. If Party A arranges Party B to work during the legal holidays, Party A should compensate Party B no less than 300% salary.Article 6 Party A should provide Party B with the necessary working conditions, produce procedure, operation rules, working standard and medical examination.Article 7 Party A should be responsible for Party Bs learning and training of professional ethics and techniques.IV. RemunerationArticle 8 Party A should pay the salary to Party B before 28th of every month. The salary is paid in RMB 800.00 . Party A must pay the salary on time. Other agreement concerning salary: Party A pays party B for Meal Subsidy: RMB 100.00, post-subsidy RMB 200.00 and bonus. Article 9 If Party A cannot provide enough work amounts and lead to Party Bs waiting for work, Party A shall pay for Party B monthly maintenance Yuan.V. Insurance and Welfare TreatmentArticle 10 Party A and Party B should pay the insurance premium according to the concerning regulations and the laws of the State and Beijing City. Article 11 The sickness salary, sickness allowance and other sickness treatment of Party B are provided by Party A according to the regulations formulated by the unit.Article 12 Party A provides Party B with the welfare treatment when Party B has professional sickness or hurts from the work according to the concerning regulations of the State and Beijing.Article 13 Party A provides Party B with the following welfare treatments: Endowment Insurance, Unemployment Insurance, Hospitalization Insurance, Accident Insurance.VI. Working DisciplineArticle 14 Party A can establish the professional rule system and the regulations of the company according to the Laws to meet the needs of production and running.Party A can punish Party B or even cancel the contract when Party B breaks the working discipline.Article 15 Party B should abide by the professional ethics and the regulations stipulated by the company. Party B should protect the property of Party A and participate in trainings organized by Party A for self-promotion. VII. Alteration and Cancellation of the ContractArticle 16 Both parties should alter the contract in case that one of the following situations happens: (1) The contract should be altered based on the mutual negotiation of both parties.(2) The contract should be altered when the objective conditions that the contract relied on have changes.(3) The contract should be altered when the laws and regulations that the contract relies on are altered.Article 17 The contract can be altered if one party requires and notice the other side by a formal alteration application. And the other side should reply within 15 days. Otherwise, the contract cannot be altered.Article 18 The contract can be canceled based on the mutual negotiation of both parties.Article 19 Party A has the right to stop the contract in case that one of the following situations happens:1) Party B is identified incompetent for her job during the probation period.2) Party B breaks Party As regulations or labor principles seriously.3) Party Bs serious malfeasance causes much damage to Party A.4) Party B is involved in a criminal lawsuit.Article 20 Party A can also cancel the contract in one case of the following situations. But Party A should notice party B formally 30 days in advance.1) Party B cannot fulfill his responsibilities continuously after his sickness.2) Party B is incompetent for his job, even after the training or the adjustment.3) Both parties can not agree to alter the contract when there are great objective changes.Article 21The contract can be canceled after explaining to all staff 30 days in advance, listening to the opinions of the staff and reporting to the Labor & Social Security Bureau when cut-short needed actually in one case of the following situations:1) If the company is on verge of bankruptcy, the contract can be canceled after the negotiation.2) If the company removes in order to prevent industrial pollution resources.3) The crisis states of produce management happen.Article 22 Party A cannot cancel the contract in accordance with the Provision 20 and the Provision 21 of the contract for one of the Party Bs following reasons.1) Party B has occupational disease and hurts from the work up to the classes of disability.2) Party B is sick or hurts not from the work, but within the treatment period. 3) Party B is in pregnancy, confinement or lactation period.4) Party B works for the company for more than 10 years, and less than 5 years to legal retirement age.5) Veterans deactivated or transferred to civilian work join wrought within three years.6) Workers turned from construction-expropriated peasant join wrought for the first time within three years.7) Soldiers in compulsory term of service.8) Stuff representatives under group negotiation represent within 5 years in the contract period.Article 23 If Party B wants to stop the contract, he should submit the written application 30 days in advance in case of a clerk, Party Bs compensation for the loss undone is an exception. Article 24 Party B has the right to stop the contract in case that one of the following situations happens:1) Party B is in the probation period.2) Party A forces Party B to undertake activities by violence, threat or restriction of Party Bs human freedom. 3) Party A can not pay Party Bs salary or provide her with the work conditions according to the contract.4) Party A does not pay the social security fund for Party B according to the law.Article 25 After the duration of the contract, Party B can cancel the employment due to the cause of Party A.VIII. Termination and Extension of the ContractArticle 26 The contract can be terminated in case that one of the following situations happens: 1) The duration of the contract ends.2) Situation for the termination of the contract happens.3) Party B is in the legal retirement age.4) Party A is on verge of bankruptcy and some employees must be laid off.5) Other situations caused by Laws and regulations.Article 27 The contract can be terminated or extended at its expiry if the both parties agree to do so 30 days prior to the expiry date. Party A should notice Party B with a written agreement. If Party A terminates the contract in advance, compensation of delayed days salary should be paid for Party B.Article 28 The contract can be extended in case that one of the following situations happens:1) Both parties can extend the labor contract by mutual consent2) Party B can require extending the contract if the employment exists after the duration of the contract. When the situation of Provision 2 happens, the durations of the contract are in discussion, the duration of extension contract lasts 12 months at least after being signed. Party A should sign the unfixed duration contract with Party B if Party B is legible for the condition.IX. Allowance and CompensationArticle 29 Party A should compensate Party B in case that one of the following situations happens: 1) If Party A postpones Party Bs salary for more than one month, Party A must not only pay the salary in time but also compensate Party B for 25% of the salary.2) If Party A pay Party Bs salary under the lowest standard, Party A must not only pay the salary by the standard but also compensate Party B for 25% of the lower part.Article 30 any one of the following cases, Party A shall pay Party B economic compensation according to party Bs working life. If over one year, one month salary shall be paid for every one year; if less than a year, it shall be counted as a year, no more than 12 months.1) Party A can cancel the contract based on the mutual negotiation of both parties.2) Party B is not competent for his job.3) The contract can be canceled based on the mutual negotiation of both parties for the employment cause of Party A after the duration.Article 31 Party A should compensate Party B 1 year average salary if the duration is less than 1 year. 1) Party B cannot fulfill the arrangement for sickness or hurt not from the work.2) The change of objective situations leads no agreement.3) Party A is cutting short employees.Article 32 Party A should compensate Party B higher than the lowest standard.Article 33 Party A should compensate Party B not only the compensation but also extra 50% compensate after Party A cancels the contract.Article 34 Party A should compensate Party B not only more than 6 months salary but also 50% medical compensate for heavy patients and 100% medical compensation to patients of incurable disease in accordance of Provision 20(1).Article 35 Party A should compensate Party B if Party A cancels the contract illegally or cause damage to Party B.Article 36 If Party B who was supported by Party A in training or recruiting breaks the contract, Party B must compensate Party A according to the actual expense and charges in recruiting Party B. Article 37 Party B should compensate Party A if the contract is canceled and the cancellation causes damage to Party A in one case of Provision 19 (2),(3).Article 38 Party B should compensate Party A if P

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