You may have come to know that if an employer fails to enter into a written employment contract within the first month from establishment of labor relationship, the employer will have to pay two times the salaries received by the employee during the period of default of such written contract (other than the first month) till the default period reaches one year. According to Opinions on Several Issues regarding Application of the Labor Contract Law issued by Shanghai High People’s Court on March 31, 2009 upon deciding whether an employer needs to pay two times the already received salaries, courts should “take into consideration whether the employer has consulted with the employee in a bona fide manner and whether the employee has refused to enter into the employment contract and other circumstances; in case that the employer has faithfully and honestly consulted with the employee and the employment contract was not concluded because of Force Majeure, un-anticipated circumstances or refusal to sign by the employee, the employee shall not be entitled to double salaries during the default period. Refusal to sign the contract shall be deemed that the employee unilaterally terminates the labor relationship.