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LAWOFTHEPEOPLE'SREPUBLICOFCHINAONEMPLOYMENTCONTRACTS Adoptedatthe28thSessionoftheStandingCommitteeofthe10thNationalPeople'sCongressonJune29,2007EffectivefromJanuary1,2008ByBaker&MCKenzie CHAPTER1GENERALPROVISIONSArticle1 ThisLawhasbeenformulatedinordertoimprovetheemploymentcontractsystem,tospecifytherightsandobligationsofthepartiestoemploymentcontracts,toprotectthelawfulrightsandinterestsofEmployeesandtobuildanddevelopharmoniousandstableemploymentrelationships.Article2ThisLawgovernstheestablishmentofemploymentrelationshipsbetween,andtheconclusion,performance,amendment,terminationandendingofemploymentcontractsby,organizationssuchasenterprises,individualeconomicorganizationsandprivatenon-enterpriseunitsinthePeople’sRepublicofChina(“Employers”)ontheonehandandEmployeesinthePeople’sRepublicofChinaontheotherhand.Theconclusion,performance,amendment,terminationandendingofemploymentcontractsbystateauthorities,institutionsorsocialorganizationsontheonehandandEmployeeswithwhomtheyestablishemploymentrelationshipsontheotherhand,shallbehandledpursuanttothisLaw.Article3Theconclusionofemploymentcontractsshallcomplywiththeprinciplesoflawfulness,fairness,equality,freewill,negotiatedconsensusandgoodfaith.Alawfullyconcludedemploymentcontractisbinding,andboththeEmployerandtheEmployeeshallperformtheirrespectiveobligationsstipulatedtherein.Article4Employersshallestablishandimproveinternalrulesandregulations,soastoensurethatEmployeesenjoytheirlaborrightsandperformtheirlaborobligations.WhenanEmployerformulates,revisesordecidesonrulesandregulations,ormaterialmatters,thathaveadirectbearingontheimmediateinterestsofitsEmployees,suchasthoseconcerningcompensation,workhours,rest,leave,worksafetyandhygiene,insurance,benefits,employeetraining,workdisciplineorworkquotamanagement,thesameshallbediscussedbytheemployeerepresentativecongressoralltheemployees.Theemployeerepresentativecongressoralltheemployees,asthecasemaybe,shallputforwardaproposalandcomments,whereuponthemattershallbedeterminedthroughconsu

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