i want to cancel my contract. can my employer penalize me even if i never go to china?

Question

I have already signed a contract, but I want to cancel my contract in China, and I am still stateside.

Martin · Answer

Joe, your employer can't penalize you. However, he/she is able to report your situation to local PSB. Then your Z type will be cancelled. If you plan to work again in PRC, then you need apply for a new Z type with the help of your new employer.

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I want to cancel my contract. Can my employer penalize me even if I never go to China?