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        Draft law on labor contract submitted for second reading

        (Xinhua)
        Updated: 2006-12-25 10:08

        China's top legislature is considering the public's suggestions to better protect the rights of laborers and establish a stable and harmonious relationship between the employers and employees.

        The draft law on labor contract was on Sunday submitted to a legislative session of the National People's Congress (NPC) for the second reading.

        NPC received 191,849 public suggestions during the month after the draft law was published for public consultation on March 20.

        Based on public opinions, the amended draft law has worked out specific stipulations on the endorsement, implementation and termination of labor contracts, with an aim to establish a stable labor relationship.

        In regard to the problem that the rights of laborers on probation are often infringed upon, the new draft law stipulates that the salary of the probationer should not be less than 80 percent of the lowest salary on the same post.

        It also requires that the probation period should not exceed one month if the validity period of the labor contract is less than one year, and not surpass six months if the labor contract period is over three years.

        Employees' rights are stressed in the draft law which stipulates that when the employers make important decisions on issues such as salary, working hours, vacation, labor safety and health, insurance, training, labor quotas and disciplines, they should put their plans on the conference attended by all workers or their representatives for discussion.

        The draft law also focuses on cracking down on illegally docking or delaying employee's pay.

        China's current labor contract system was set in a labor law enacted 12 years ago. The draft, if it is approved, will be the country's first law governing contracts.


        (For more biz stories, please visit Industry Updates)



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