Harmonious labor ties

The Legal Affairs Office of the State Council published draft regulations for the implementation of the Labor Contract Law on Thursday to solicit public opinion.

The most noteworthy aspect of the draft is its specifications of the open-ended term of the labor contract for employees who have completed two fixed terms of contact or served more than 10 years under their employer.

The specifications clarify that a labor contract with an open-ended term can still be terminated under at least 14 circumstances, such as the employee seriously violating company rules or not being competent enough for the job even after being trained. Employers can also dismiss their employees when they encounter serious economic problems or experience unforeseen circumstances that effectively invalidate the contracts they have with employees.