Public perception Nowadays, employers and employees are often in an unequal position. Because the employer cancels the contract compulsorily and unilaterally, the workers are likely to fall into poverty and passivity. In the Labor Contract Law of People's Republic of China (PRC) (hereinafter referred to as the Labor Contract Law), which was implemented on 1 month/month/2008, the provisions on economic compensation are based on the consideration of social justice and morality. In order to protect the innocent disadvantaged parties, we should use the law to protect ourselves as much as possible. However, in practice, there are still some problems in the provisions on economic compensation after the termination of labor contracts, which need to be improved.