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20 Oct 2006

European Union Chamber of Commerce in China

[PDF] Comments of the European Union Chamber of Commerce in China on the Draft Labour Contract law

Although the European Chamber recognizes the importance of the new draft labour provisions, it is concerned that as long as the existing labour law is not duly implemented, labour-related challenges currently experienced in China will not be resolved with additional legislation. Indeed, raising the bar before focusing on the root cause of the problem - the lack of implementation of existing labour laws - may actually worsen the current situation as the gap between law and reality will increase and may further discourage enforcement... In the annex, specific comments focus on those articles of the new draft provisions that we believe require further attention.