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Corporate Social Responsibility & Sustainability in China

Corporate Social Responsibility in China

Shenzhen Approves Regulations On Harmonious Labor Relations

September 26, 2008
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Labor

The Shenzhen Special Economic Zone Harmonious Labor Relations Promotion Regulations have been approved by the 22nd conference of the Fourth Standing Committee of the Shenzhen People's Congress.

These are some of the first local regulations in Shenzhen for the promotion of harmonious labor relations.

The regulations aim to further balance the interests of both employers and employees and to build harmonious and stable labor relations.

Compared to the Labor Contract Law and the Implementation Regulations, these have eight distinguishing features. First, they explicitly prescribe the rights and obligations of employers and employees. Next, the calculation base for overtime payment should be at least CNY1,000, the minimum wage standard that the municipal government has mandated. Third, employees will have at least have one day's break in a week. Fourth, economic punishments by employers are permitted but limited. Fifth, employers who have broken labor laws and regulations will be included in the credit blacklist. Sixth, in the case of insolvency assets in receivership should be first used for the medical care costs of injured employees. Seventh, a cooling-off period of 30 days is set — comparable to regulations in the United States and Hong Kong. Finally, lawyers are not allowed to deputize labor dispute cases via risk agencies.

Tags: contract law, credit blacklist, employee, employer, harmonious labor relations, hong kong, Implementation Regulations, minimum wage, overtime, regulation, SEZ, Shenzhen, Shenzhen People's Congress, special economic zone, U.S., worker

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