Labor Law of the People' s Republic of China
Order of the President  No.28
July 5, 1994
The Labor Law of the People's Republic of China, adopted at the Eighth Meeting of the Standing Committee of the Eighth National People's Congress of the People's Republic of China on July 5, 1994, is hereby promulgated and shall come into effect as of January 1, 1995.
President of the People's Republic of China: Jiang Zemin
Labor Law of the People's Republic of China
(Adopted at the Eighth Meeting of the Standing Committee of the Eighth National People's Congress on July 5, 1994, promulgated by Order No.28 of the President of the People's Republic of China and effective as of January 1, 1995)
Chapter I General Provisions
Chapter II Promotion of Employment
Chapter III Labor Contracts and Collective Contracts
Chapter IV Working Hours, Rest and Vacations
Chapter V Wages
Chapter VI Occupational Safety and Health
Chapter VII Special Protection for Female and Juvenile Workers
Chapter VIII Vocational Training
Chapter IX Social Insurance and Welfare
Chapter X Labor Disputes
Chapter XI Supervision and Inspection
Chapter XII Legal Responsibility
Chapter XIII Supplementary Provisions
Chapter I General Provisions
Article 1 This Law is formulated in accordance with the Constitution in order to protect the legitimate rights and interests of laborers, readjust labor relationships, establish and safeguard a labor system suited to the socialist market economy, and promote economic development and social progress.
Article 2 This Law applies to all enterprises and individual economic organizations (hereinafter referred to as employing units) within the boundary of the People's Republic of China and laborers who form. a labor relationship therewith State organs, institutional organizations and societies as well as laborers who form. a labor contract relationship therewith shall follow this Law.
Article 3 Laborers shall have the right to be employed on an equal basis, choose occupations, obtain remuneration for their labor, take rest, have holidays and leaves, obtain protection of occupational safety and health, receive training vocational skills, enjoy social insurance and welfare, and submit applications for settlement of labor disputes, and other rights relating to labor as stipulated by law.
Laborers shall fulfill their labor tasks, improve their vocational skills, follow rules on occupational safety and health, and observe labor discipline and professional ethics.
Article 4 The employing units shall establish and perfect rules and regulations in accordance with the law so as to ensure that laborers enjoy the right to work and fulfill labor obligations.
Article 5 The State shall take various measures to promote employment, develop vocational education, lay down labor standards, regulate social incomes, perfect social insurance system, coordinate labor relationship, and gradually raise the living standard of laborers.
Article 6 The State shall advocate the participation of laborers in social voluntary labor and the development of their labor competitions and activities of forwarding rational proposals, encourage and protect the scientific research and technical renovation engaged by laborers, as well as their inventions and creations; and commend and award labor models and advanced workers.
Article 7 Laborers shall have the right to participate in and organize trade unions in accordance with the law.
Trade unions shall represent and safeguard the legitimate rights and interests of laborers, and independently conduct their activities in accordance with the law.
Article 8 Laborers shall, through the assembly of staff and workers or their congress, or other forms in accordance with the provisions of laws, rules and regulations, take part in democratic management or consult with the employing units on an equal footing about protection of the legitimate rights and interests of laborers.
Article 9 The labor administrative department of the State Council shall be in charge of the management of labor of the whole country.
The labor administrative departments of the local people's governments at or above the county level shall be in charge of the management of labor in the administrative areas under their respective jurisdiction.
Chapter II Promotion of Employment
Article 10 The State shall create conditions for employment and increase opportunities for employment by means of the promotion of economic and social development.
The State shall encourage enterprises, institutional organizations, and societies to initiate industries or expand businesses for the increase of employment within the scope of the stipulations of laws, and administrative rules and regulations.
The State shall support laborers to get jobs by organizing themselves on a voluntary basis or by engaging in individual businesses.
Article 11 Local people's governments at various levels shall take measures to develop various kinds of job—introduction agencies and provide employment services.
Article 12 Laborers shall not be discriminated against in employment, regardless of their ethnic community, race, or religious belief.
Article 13 Females shall enjoy equal rights as males in employment. It shall not be allowed, in the recruitment of staff and workers, to use as a pretext for excluding females form. employment or to raise recruitment standards for the females, except for the types of work or posts that are not suitable for females as stipulated by the State.
Article 14 Where there are special stipulations in laws, rules and regulations on the employment of the disabled, the personnel of national minorities, and demobilized army men, such special stipulations shall apply.
Article 15 No employing units shall be allowed to recruit juveniles under the age of 16.
Units of literature and art, physical culture and sport, and special arts and crafts that need to recruit juveniles under the age of 16 must go through the formalities of examination and approval according to the relevant provisions of the State and guaratee their right to compulsory education.
Chapter III Labour Contracts and Collective Contracts
Article 16 A labour contract is the agreement reached between a labourer and an employing unit for the establishment of the labour relationship and the definition of the rights, interests and obligations of each party.
A labour contract shall be concluded where a labour relationship is to be established.
Article 17 Conclusion and modification of a labour contract shall follow the principles of equality, voluntariness and unanimity through consultation, and shall not run counter to the stipulations of laws, administrative rules and regulations.
A labour contract once concluded in accordance with the law shall possess legal binding force. The parties involved must fulfill the obligations as stipulated in the labour contract.
Article 18 The following labour contracts shall be invalid:
labour contracts concluded in violation of laws, administrative rules and regulations; and
labour contracts concluded by resorting to such measures as cheating and intimidation.
An invalid labour contract shall have no legal binding force from the very beginning of its conclusion. Where a part of a labour contract is confirmed as invalid and where the validity of the remaining part is not affected, the remaining part shall remain valid.
The invalidity of a labour contract shall confirmed by a labour dispute arbitration committee or a people's court.
Article 19 A labour contract shall be concluded in written form. and contain the following
1.term of a labour contract;
2.contents of work;
3.labour protection and working conditions;
6.conditions for the termination of a labour contract; and
7.responsibility for the violation of a labour contract.
Apart from the required clauses specified in the preceding paragraph, other contents in a labour contract may be agreed upon through consultation by the parties involved.
Article 20 The term of a labour contract shall be divided into fixed term, flexible term or taking the completion of a specific amount of work as a term.
In case a labourer has kept working in a same employing unit for ten years or more and the parties involved agree to extend the term of the labour contract, a labour contract with a flexible term shall be concluded between them if the labourer so requested.
Article 21 A probation period may be agreed upon in a labour contract. The longest probation period shall not exceed six months.
Article 22 The parties involved in a labour contract may reach an agreement in their labour contract on matters concerning keeping he commercial secrets of the employing unit.
Article 23 A labour contract shall terminate upon the expiration of its term or the emergence of the conditions for the termination of the labour contract as agreed upon by the parties involved.
Article 24 A labour contract may be revoked upon agreement reached between the parties involved through consultation.
Article 25 The employing unit may revoke the labour contract with a labourer in any of the following circumstances:
1.to be proved not up to the requirements for recruitment during the probation period;
2.to seriously violate labour disciplines or the rules and regulations of the employing units;
3.to cause great losses to the employing unit due to serious dereliction of duty or engagement in malpractice for selfish ends; and
4.to be investigated for criminal responsibilities in accordance with the law.
Article 26 In any of the following circumstances, the employing unit may revoke a labour contract but a written notification shall be given to the labourer 30 days in advance:
1.where a labourer is unable to take up his original work or any new work arranged by the employing unit after the completion of his medical treatment for illness or injury not suffered at work;
2.where a labourer is unqualified for his work and remains unqualified even after receiving a training or an adjustment to an other work post; and
3.no agreement on modification of the labour contract can be reached through consultation by the parties involved when the objective conditions taken as the basis for the conclusion of the contract have greatly changed so that the original labour contract can no longer be carried out.
Article 27 During the period of statutory consolidation when the employing unit comes to the brink of bankruptcy or runs deep into difficulties in production and management, and if reduction of its personnel becomes really necessary, the unit may make such reduction after it has explained the situation to the trade union or all of its staff and workers 30 days in advance, solicited opinions from them and reported to the labour administrative department.
Where the employing unit is to recruit personnel six months after the personnel reduction effected according to the stipulations of this Article, the reduced personnel shall have the priority to be re-employed.
Article 28 The employing unit shall make economic compensations in accordance with the relevant provisions of the State if it revokes its labour contracts according to the stipulations in Article 24, Article 26, and Article 27 of this Law.
Article 29 The employing unit shall not revoke its labour contract with a labourer in accordance with the stipulations in Article 26 and Article 27 of this Law in any of the following circumstances:
1.to be confirmed to have totally or partially lost the ability to work due to occupational diseases or injuries suffered at work;
2.to be receiving medical treatment for diseases or injuries within the prescribed period of time;
3.to be a female staff member or worker during pregnant, puerperal, or breast-feeding period; or other circumstances stipulated by laws, administrative rules and regulations.
Article 30 The trade union of an employing unit shall have the right to air its opinions if it regards as inappropriate the revocation of a labour contract by the unit. If the employing unit violates laws, rules and regulations or labour contracts, the trade union shall have the right to request for reconsideration. Where the labourer applies for arbitration or brings in a lawsuit, the trade union shall render him support and assistance in accordance with the law.
Article 31 A labourer who intends to revoke his labour contract shall give a written notice to the employing unit 30 days in advance.
Article 32 A labourer may notify at any time the employing unit of his decision to revoke the labour contract in any of the following circumstances:
1.within the probation period;
2.where the employing unit forces the labourer to work by resorting to violence, intimidation or
3.illegal restriction of personal freedom; or
4.failure on the part of the employing unit to pay labour remuneration or to provide working conditions as agreed upon in the labour contract.
Article 34 A collective contract shall be submitted to the labour administrative department after its conclusion. The collective contract shall go into effect automatically if no objections are raised by the labour administrative department within 15 days from the date of the receipt of a copy of the contract.
Article 35 Collective contracts concluded in accordance with the law shall have binding force to both the enterprise and all of its staff and workers. The standards on working conditions and labour payments agreed upon in labour contracts concluded between individual labourers and the enterprises shall not be lower than those as stipulated in collective contracts.
Chapter IV Working Hours, Rest and Vacations
Article 36 The State shall practise a working hour system under which labourers shall work for no more than eight hours a day and no more than 44 hours a week on the average.
Article 37 In case of labourers working on the basis of piecework, the employing unit shall rationally fix quotas of work and standards on piecework remuneration in accordance with the working hour system stipulated in Article 36 of this Law.
Article 38 The employing unit shall guarantee that its staff and workers have at least one day off in a week.
Article 39 Where an enterprise can not follow the stipulations in Article 36 and Article 38 of this Law due to its special production nature, it may adopt other rules on working hours and rest with the approval of the labour administrative department.
Article 40 The employing unit shall arrange holidays for labourers in accordance with the law during the following festivals:
1.the New Year's Day;
2.the Spring Festival;
3.the International Labour Day;
4.the National Day; and
5.other holidays stipulated by laws, rules and regulations.
Article 41 The employing unit may extend working hours due to the requirements of its production or business after consultation with the trade union and labourers, but the extended working hour for a day shall generally not exceed one hour; if such extension is called for due to special reasons, the extended hours shall not exceed three hours a day under the condition that the health of labourers is guaranteed. However, the total extension in a month shall not exceed thirty six hours.
Article 42 The extension of working hours shall not be subject to restriction of the provisions of Article 41 of this Law under any of the following circumstances:
1.where emergent dealing is needed in the event of natural disaster, accident or other reason that threatens the life, health and the safety of property of labourers;
2.where prompt rush repair is needed in the event of breakdown of production equipment, transportation lines or public facilities that affects production and public interests; and other circumstances as stipulated by laws, administrative rules and regulations.
Article 43 The employing unit shall not extend working hours of labourers in violation of the provisions of this Law.
Article 44 The employing unit shall, according to the following standards, pay labourers remunerations higher than those for normal working hours under any of the following circumstances:
1.to pay no less than 150 percent of the normal wages if the extension of working hours is arranged;
2.to pay no less than 200 percent of the normal wages if the extended hours are arranged on days of rest and no deferred rest can be taken; and
3.to pay no less than 300 percent of the normal wages if the extended hours are arranged on statutory holidays.
Article 45 The State shall practise a system of annual vacation with pay.
Labourers who have kept working for one year and more shall be entitled to annual vacation with pay. The concrete measures shall be formulated by the State Council.
Article 46 The distribution of wages shall follow the principle of distribution according to work and equal pay for equal work.
The level of wages shall be gradually raised on the basis of economic development. The State shall exercise macro-regulations and control over the total payroll.
Article 47 The employing unit shall independently determine its form. of wage distribution and wage level for its own unit according to law and based on the characteristics of its production and business and economic results.
Article 48 The State shall implement a system of guaranteed minimum wages. Specific standards on minimum wages shall be determined by the people's governments of provinces, autonomous regions or municipalities directly under the Central Government and reported to the State Council for the record.
Wages paid to labourers by the employing unit shall not be lower than the local standards on minimum wages.
Article 49 The determination and readjustment of the standards on minimum wages shall be made with reference to the following factors in a comprehensive manner:
1.the lowest living expenses of labourers themselves and the average family members they support;
2. the average wage level of the society as a whole;
3. labour productivity;
4. the situation of employment; and
5. the different levels of economic development between regions.
Article 50 Wages shall be paid monthly to labourers themselves in form. of currency. The wages paid to labourers shall not be deducted or delayed without justification.
Article 51 The employing unit shall pay wages according to law to labourers who observe statutory holidays, take leaves during the periods of marriage or funeral, or participate in social activities in accordance with the law.
Article 52 The employing unit must establish and perfect the system for occupational safety and health, strictly implement the rules and standards of the State on occupational safety and health, educate labourers on occupational safety and health, prevent accidents in the process of work, and reduce occupational hazards.
Article 53 Facilities of occupational safety and health must meet the standards stipulated by the State.
Facilities of occupational safety and health installed in new projects and projects to be rebuilt or expanded must be designed, constructed and put into operation and use at the same time as the main projects.
Article 54 The employing unit must provide labourers with occupational safety and health conditions conforming to the provisions of the State and necessary articles of labour protection, and providing regular health examination for labourers engaged in work with occupational hazards.
Article 55 Labourers to be engaged in specialized operations must receive specialized training and acquire qualifications for such special operations.
Article 56 Labourers must strictly abide by rules of safe operation in the process of their work.
Labourers shall have the right to refuse to operate if the management personnel of the employing unit command the operation in violation of rules and regulations or force laburers to run risks in operation; labourers shall have the right to criticize, report or file charges against the acts endangering the safety of their life and health.
Article 57 The State shall establish a system for the statistics, reports and dispositions of accidents of injuries and deaths, and cases of occupational diseases. The labour administrative departments and other relevant departments of the people's governments at or above the county level and the employing unit shall, according to law, compile statistics, report and dispose of accidents of injuries and deaths that occurred in the process of their work and cases of occupational diseases.
Chapter VII Special Protection For Female and Juvenile Workers
Article 58 The State shall provide female workers and juvenile workers with special protection.
"Juvenile workers" hereby refer to labourers at the age of 16 but not 18 yet.
Article 59 It is prohibited to arrange female workers to engage in work down the pit of mines, or work with Grade IV physical labour intensity as stipulated by the State, or other work that female workers should avoid.
Article 60 Female workers during their menstrual periods shall not be arranged to engaged in work high above the ground, under low temperature, or in cold water or work with Grade III physical labour intensity as stipulated by the State.