Legal basis: Article 17 of the Labor Law of People's Republic of China (PRC) stipulates that the conclusion and modification of labor contracts shall follow the principles of equality, voluntariness and consensus through consultation, and shall not violate the provisions of laws and administrative regulations.
According to Article 24 of the Labor Law of People's Republic of China (PRC), the parties to a labor contract can terminate the labor contract through consultation.
According to the provisions of Article 27 of the Labor Law of People's Republic of China (PRC), if the employing unit is on the verge of bankruptcy for legal rectification or has serious difficulties in production and operation, it should explain the situation to the trade union or all employees 30 days in advance, listen to the opinions of the trade union or employees, and report to the labor administrative department before it can reduce the number of employees.