Core Viewpoint - The Supreme People's Court has issued a judicial interpretation to clarify the legal standards for labor dispute cases, particularly regarding social insurance, effective from September 1, aiming to protect workers' rights and ensure compliance by employers [1][2]. Group 1: Legal Obligations and Interpretations - Participation in social insurance is a legal obligation for both employers and employees, and any agreement to not pay social insurance is deemed invalid [1][2]. - If an employee terminates their contract due to the employer's failure to pay social insurance, the court will support the employee's claim for economic compensation [1][2]. - The compensation rule states that for each year of employment, one month’s salary is to be paid as compensation, and for less than six months, half a month’s salary is applicable [1]. Group 2: Implications for Employers - Employers who pay social insurance fees as allowances instead of through proper channels can be required to return those payments after being ordered to make back payments [2]. - The interpretation encourages employers to comply with social insurance laws, thereby protecting workers' rights and reducing employment risks [2][6]. - Employers failing to pay social insurance not only face the risk of forced back payments but also must pay economic compensation if an employee terminates their contract [6]. Group 3: Risks for Employees - Employees who voluntarily forgo social insurance for immediate financial benefits risk losing long-term protections such as medical, unemployment, and pension benefits [5][6]. - The lack of social insurance can lead to significant financial burdens for employees in cases of illness, unemployment, or retirement [5][6]. - Employees are advised to monitor their social insurance contributions and can request audits or compensation if discrepancies are found [7].