N, N+1, and 2N severance in China

N: the economic-compensation calculation

N represents the service multiplier used for statutory economic compensation. Each full year counts as one month; a remainder of six months or more counts as one year, while a remainder under six months counts as half a month.

N does not by itself prove entitlement. First identify an Article 46 situation in which economic compensation is owed; then apply the wage base and service rules.

N+1: not a universal immediate-dismissal rule

Article 40 permits an employer to use 30 days' written notice or pay one extra month's salary for three specified no-fault termination routes. Those routes concern post-medical-period incapacity, continued incompetence after training or reassignment, and a major change in objective circumstances after consultation fails.

The Implementation Regulations say this extra month is based on the employee's previous month's wage. That can differ from the 12-month average used for N. Immediate contract expiry, a mutual exit, a workforce reduction, or an alleged Article 39 misconduct dismissal does not automatically become N+1 merely because no 30-day notice was given.

2N: damages for unlawful termination

Article 87 sets damages at twice the Article 47 economic-compensation standard when an employer unlawfully revokes or terminates a labor contract. Article 48 also recognizes continued performance as a possible remedy; 2N is not an automatic label whenever an employee disagrees with the decision.

Implementation Regulation Article 25 states that when Article 87 damages are paid, economic compensation is not paid again, and the service period for those damages is calculated from the start of employment.

Use the calculator carefully

Select N+1 or possible 2N only as a scenario estimate. Whether the legal conditions are met depends on the evidence, the employer's asserted route, procedure, protected status, and the remedy pursued.