The Labour Law of the People's Republic of China which has been adopted at the Eighth Meeting of the Standing Committee of the Eighth National People's Congress on July 5, 1994 is promulgated now, and shall enter into force as of January 1, 1995. 

Chapter 1 General Provisions

Article 1 This Law is hereby formulated in accordance with the Constitution in order to protect the legitimate rights and interests of labourers, readjust labour relationship, establish and safeguard the labour system suiting the socialist market economy, and promote economic development and social progress.

Article 2 This Law applies to enterprises, individually-owned economic organizations (hereinafter referred to as the employer) and labourers who form a labour relationship with them within the boundary of the Peoples Republic of China.

State departments, institutional organizations and social groups and labourers who form a labour relationship with them shall follow this Law.

Article 3 Labourers have the right to be employed on an equal basis, choose occupations, obtain remunerations for labour, take rests, have holidays and leaves, receive labour safety and sanitation protection, get training in professional skills, enjoy social insurance and welfare treatment, and submit applications for settlement of labour disputes, and other labour rights stipulated by law.

Labourers shall fulfil their tasks of labour, improve their professional skills, follow rules on labour safety and sanitation, observe labour discipline and professional ethics.

Article 4 The employer shall establish and perfect rules and regulations in accordance with law and guarantee that labourers enjoy labour right and fulfill labour obligations.

Article 5 The State shall take various measures to promote employment, develop vocational education, formulate labour standards, regulate social incomes, perfect social insurance, coordinate labour relationships, and gradually raise the living level of laborers.

Article 6 The State shall advocate labourers participation in social voluntary labour, labour competition, and activities of forwarding rational proposals; encourage and protect labourers in scientific research, technical renovation, and invention; and commend and award labour models and advanced workers.

Article 7 Labourers shall have the right to participate in and organize trade unions in accordance with law.

Trade unions shall represent and safeguard the legitimate rights and interests of labourers, and stage activities independently in accordance with law.

Article 8 Labouers shall take part in democratic management through workers congress, workers representative assembly, or any other forms in accordance with law, or consult with the employer on an equal footing about protection of the legitimate rights and interests of labourers.

Article 9 The labour management department under the State Council shall take charge of the management of labour of the whole country.

Local peoples governments above the county level shall take charge of the management of labour in areas under their jurisdiction.

Chapter 2 Promotion of Employment

Article10 The State shall create employment conditions and expand employment opportunities through promotion of economic and social development.

The State shall encourage enterprises, institutional organizations, and social groups to start industries or expand businesses within the scope allowed by stipulations of laws and administrative decrees for the purpose of increasing employment.

The State shall support labourers to organize and employ themselves on a voluntary basis and to get employed in individual businesses.

Article 11 Local peoples governments at various levels shall take measures to develop various kinds of job agencies and provide employment services.

Article 12 Labourers shall not be discriminated against in employment due to their nationality, race, sex, or religious belief.

Article 13 Women shall enjoy equal rights as men in employment. Sex shall not be used as a pretext for excluding women from employment during recruitment of workers unless the types of work or posts for which workers are being recruited are not suitable for women according to State regulations. Nor shall the standards of recruitment be raised when it comes to women.

Article 14 Any special stipulations in laws and regulations about the employment of the disabled, minority people, and demobilized soldiers shall be observed.

Article 15 The employer shall be banned from recruiting juveniles under the age of 16.

Art, sports and special-skill units that plan to recruit juveniles under the age of 16 shall go through examination and approval procedures according to relevant State regulations and guarantee the right of the employed to receive compulsory education.

Chapter 3 Labour Contracts and Collective Contracts

Article 16 Labour contracts are agreements reached between labourers and the employer to establish labour relationships and specify the rights, interests and obligations of each party.

Labour contracts shall be concluded if labour relationships are to be established.

Article 17 Conclusion and alteration of labour contracts shall follow the principle of equality, voluntariness, and agreement through consultation. They shall not run counter to stipulations in laws or administrative decrees.

Labour contracts shall become legally binding once they are concluded in accordance with law. The parties involved shall fulfil obligations stipulated in labour contracts.

Article 18 The following labour contracts shall be invalid;

(1) Labour contracts concluded against laws or administrative decrees;

(2) Labour contracts concluded through cheating, threat, or any other means.

Invalid labour contracts shall not be legally binding from the very beginning of their conclusion. If a labour contract is confirmed as being partially invalid, the other parts shall be valid if the parts that are invalid do not affect the validity of these other parts.

The invalidity of a labour contract shall be confirmed by a labour dispute arbitration committee or a peoples court.

(For more biz stories, please visit Industry Updates)