Labor Law of the People’s Republic of China — Full English Translation (1994, Amended 2018)

Chapter I: General Provisions

Article 1 This Law is formulated in accordance with the Constitution to protect the lawful rights and interests of laborers, regulate labor relations, establish and safeguard a labor system suited to the socialist market economy, and promote economic development and social progress.

Article 2 This Law shall apply to all enterprises, individually-owned economic organizations (hereinafter referred to as employing units) and laborers who have formed labor relations therewith within the territory of the People’s Republic of China. State authorities, institutions, and social organizations, as well as laborers who have formed labor relations therewith, shall be governed by this Law.

Article 3 Laborers shall have the right to equal employment and choice of occupation, the right to remuneration for labor, the right to rest and leave, the right to occupational safety and health protection, the right to receive vocational skills training, the right to enjoy social insurance and welfare, the right to submit labor disputes for resolution, and other labor rights prescribed by law. Laborers shall fulfill their labor tasks, improve their vocational skills, comply with rules of occupational safety and health, and observe labor discipline and professional ethics.

Article 4 Employing units shall establish and improve rules and regulations in accordance with law to ensure that laborers enjoy their labor rights and fulfill their labor obligations.

Article 5 The state shall adopt various measures to promote employment, develop vocational education, formulate labor standards, regulate social income, improve social insurance, coordinate labor relations, and gradually raise the living standards of laborers.

Article 6 The state shall encourage laborers to participate in social voluntary labor, carry out labor emulation campaigns and rationalization proposal activities, encourage and protect laborers in conducting scientific research, technical innovation, and invention, and commend and reward model workers and advanced producers.

Article 7 Laborers shall have the right to participate in and organize trade unions in accordance with law. Trade unions shall represent and protect the lawful rights and interests of laborers and independently carry out their activities in accordance with law.

Article 8 Laborers shall, in accordance with the provisions of law, participate in democratic management through workers’ congresses, workers’ representatives congresses, or other means, or consult on an equal footing with employing units concerning the protection of laborers’ lawful rights and interests.

Article 9 The labor administrative department of the State Council shall be responsible for labor work nationwide. The labor administrative departments of local people’s governments at or above the county level shall be responsible for labor work within their respective administrative areas.

Chapter II: Promotion of Employment

Article 10 The state shall create employment conditions and expand employment opportunities by promoting economic and social development. The state shall encourage enterprises, institutions, and social organizations to establish industries or expand business operations to increase employment within the scope permitted by laws and administrative regulations. The state shall support laborers in voluntarily organizing themselves for employment and in engaging in individual business operations to realize employment.

Article 11 Local people’s governments at all levels shall take measures to develop various types of employment agencies and provide employment services.

Article 12 Laborers shall not be discriminated against in employment, regardless of their ethnic background, race, sex, or religious belief.

Article 13 Women shall enjoy equal rights with men in employment. Gender shall not be used as a criterion for rejecting the employment of women, except for types of work or positions that the state has prescribed as unsuitable for women. The standards of employment for women shall not be raised.

Article 14 Where there are special provisions in laws and regulations on the employment of persons with disabilities, minority ethnic groups, and demobilized military personnel, such provisions shall prevail.

Article 15 No employing unit may recruit juveniles under the age of 16. Institutions of literature and art, physical culture, and special arts and crafts that recruit juveniles under the age of 16 must comply with the relevant state provisions and guarantee their right to receive compulsory education.

Chapter III: Labor Contracts and Collective Contracts

Article 16 A labor contract shall be concluded when establishing labor relations. Where a labor relationship has been established but no written labor contract has been concluded, a labor contract shall be concluded within one month from the date on which the laborer commences work.

Article 17 The conclusion and modification of labor contracts shall comply with the principles of equality, voluntariness, and mutual agreement, and shall not violate the provisions of laws and administrative regulations. Labor contracts shall be legally binding once concluded in accordance with law, and the parties shall fulfill the obligations stipulated therein.

Article 18 The following labor contracts shall be invalid: (1) labor contracts concluded in violation of laws or administrative regulations; (2) labor contracts concluded by fraud, coercion, or taking advantage of the other party’s precarious position. Invalid labor contracts shall have no legal binding force from the moment of their conclusion.

Article 19 A labor contract shall be concluded in writing and shall contain the following provisions: (1) the term of the labor contract; (2) the content of work; (3) labor protection and working conditions; (4) labor remuneration; (5) labor discipline; (6) conditions for termination of the labor contract; (7) liability for breach of the labor contract.

Article 20 The term of a labor contract shall be classified as a fixed term, an indefinite term, or a term based on the completion of a specific task. Where a laborer has worked for the same employing unit for ten consecutive years or more and both parties agree to extend the labor contract, and the laborer proposes to conclude a labor contract with an indefinite term, such a labor contract shall be concluded.

Article 21 A probation period may be agreed upon in a labor contract. The probation period shall not exceed six months.

Article 22 The parties to a labor contract may agree upon matters relating to the protection of the employing unit’s trade secrets in the labor contract.

Article 23 A labor contract shall be terminated upon the expiration of its term or the occurrence of the conditions for termination agreed upon by the parties.

Article 24 A labor contract may be terminated by agreement between the parties through consultation.

Article 25 An employing unit may terminate a labor contract in any of the following circumstances: (1) the laborer is proven not to meet the recruitment requirements during the probation period; (2) the laborer seriously violates labor discipline or the rules and regulations of the employing unit; (3) the laborer causes significant losses to the employing unit due to gross negligence or malpractice; (4) the laborer has been pursued for criminal liability in accordance with law.

Article 26 An employing unit may terminate a labor contract by giving 30 days’ prior written notice to the laborer in any of the following circumstances: (1) the laborer is unable to undertake the original work or any work otherwise arranged after completing medical treatment for illness or non-work-related injury; (2) the laborer is incompetent for the work and remains incompetent after training or adjustment of the work position; (3) the objective circumstances on which the conclusion of the labor contract was based have changed significantly, making the original labor contract impossible to perform, and the parties fail to reach an agreement on modifying the labor contract through consultation.

Article 27 Where an employing unit is on the verge of bankruptcy and undergoing statutory rectification or experiences serious difficulties in production and operations, it may reduce its workforce upon explaining the situation to the trade union or all staff and workers 30 days in advance, soliciting their opinions, and reporting to the labor administrative department.

Article 28 Where an employing unit terminates a labor contract in accordance with the provisions of Articles 24, 26, and 27 of this Law, it shall provide economic compensation in accordance with the relevant state provisions.

Article 29 An employing unit shall not terminate a labor contract in accordance with the provisions of Articles 26 and 27 of this Law in any of the following circumstances: (1) the laborer suffers from an occupational disease or work-related injury and has been confirmed to have lost or partially lost the capacity to work; (2) the laborer is ill or injured and is within the prescribed period of medical treatment; (3) a female staff member is during pregnancy, maternity leave, or breastfeeding period; (4) other circumstances stipulated by laws or administrative regulations.

Article 30 Where an employing unit terminates a labor contract and the trade union considers it inappropriate, the trade union shall have the right to raise its opinions. If the employing unit violates laws, regulations, or the labor contract, the trade union shall have the right to request a re-examination.

Article 31 A laborer may terminate a labor contract by giving 30 days’ prior written notice to the employing unit.

Article 32 A laborer may terminate a labor contract at any time by notifying the employing unit in any of the following circumstances: (1) during the probation period; (2) the employing unit compels the laborer to work by means of violence, intimidation, or illegal restriction of personal freedom; (3) the employing unit fails to pay labor remuneration or provide working conditions as agreed in the labor contract.

Article 33 Staff and workers of an enterprise may conclude a collective contract with the enterprise on matters relating to labor remuneration, working hours, rest and leave, occupational safety and health, insurance, welfare, and other matters. The draft of the collective contract shall be submitted to the workers’ congress or all staff and workers for discussion and approval.

Article 34 A collective contract shall be submitted to the labor administrative department upon conclusion. The collective contract shall take effect automatically if the labor administrative department does not raise any objection within 15 days of receipt of the contract.

Article 35 A collective contract concluded in accordance with law shall be binding on all staff and workers of the enterprise and the enterprise. The standards of working conditions and labor remuneration stipulated in individual labor contracts shall not be lower than those stipulated in the collective contract.

Chapter IV: Working Hours, Rest and Leave

Article 36 The state shall implement a working hour system under which laborers shall work for no more than eight hours per day and no more than 44 hours per week on average.

Article 37 For laborers working on a piece-rate basis, the employing unit shall reasonably determine the labor quotas and piece-rate remuneration standards in accordance with the working hour system provided in Article 36 of this Law.

Article 38 An employing unit shall ensure that laborers have at least one rest day per week.

Article 39 Where an enterprise is unable to implement the provisions of Articles 36 and 38 of this Law due to the characteristics of its production, it may adopt other measures for working hours and rest with the approval of the labor administrative department.

Article 40 An employing unit shall arrange leave for laborers on the following holidays in accordance with law: (1) New Year’s Day; (2) Spring Festival; (3) International Labor Day; (4) National Day; (5) other holidays prescribed by laws and regulations.

Article 41 Where an employing unit needs to extend working hours due to production and operational requirements, it may extend working hours after consultation with the trade union and laborers, provided that the extended working hours shall generally not exceed one hour per day; where extended working hours are required for special reasons, such extension shall not exceed three hours per day under the condition that the health of laborers is protected, and shall not exceed 36 hours per month in total.

Article 42 The extension of working hours shall not be subject to the restrictions of Article 41 of this Law in any of the following circumstances: (1) where natural disasters, accidents, or other reasons threaten the life, health, or property safety of laborers and emergency measures are required; (2) where production equipment, transportation lines, or public facilities malfunction, affecting production and public interests, and urgent repairs are required; (3) other circumstances stipulated by laws or administrative regulations.

Article 43 An employing unit shall not extend the working hours of laborers in violation of the provisions of this Law.

Article 44 An employing unit shall pay laborers wage remuneration at rates higher than those for normal working hours in accordance with the following standards: (1) where laborers are arranged to extend working hours, wage remuneration of no less than 150 percent of the normal wage shall be paid; (2) where laborers are arranged to work on rest days and no compensatory rest can be arranged, wage remuneration of no less than 200 percent of the normal wage shall be paid; (3) where laborers are arranged to work on statutory holidays, wage remuneration of no less than 300 percent of the normal wage shall be paid.

Article 45 The state shall implement a paid annual leave system. Laborers who have worked continuously for one year or more shall be entitled to paid annual leave. The specific measures shall be formulated by the State Council.

Chapter V: Wages

Article 46 The distribution of wages shall follow the principle of distribution according to work, and equal pay shall be provided for equal work. The level of wages shall be raised gradually on the basis of economic development. The state shall exercise macro-level regulation and control over the total amount of wages.

Article 47 An employing unit shall independently determine the form of wage distribution and the wage level for its own entity in accordance with law, based on the characteristics of its production and operations and economic efficiency.

Article 48 The state shall implement a minimum wage guarantee system. The specific standards of minimum wages shall be determined by the people’s governments of provinces, autonomous regions, and municipalities directly under the Central Government and submitted to the State Council for the record. Wages paid to laborers by employing units shall not be lower than the local minimum wage standards.

Article 49 The determination and adjustment of minimum wage standards shall take into account the following factors in a comprehensive manner: (1) the minimum living expenses of laborers and the average number of dependents they support; (2) the average wage level of society; (3) labor productivity; (4) the employment situation; (5) differences in economic development levels among regions.

Article 50 Wages shall be paid to laborers in full and on time in the form of currency. Wages shall not be deducted or delayed without cause.

Article 51 An employing unit shall pay wages to laborers in accordance with law for statutory holidays, marriage and funeral leave, and during the period of participating in social activities in accordance with law.

Chapter VI: Occupational Safety and Health

Article 52 An employing unit shall establish and improve the occupational safety and health system, strictly implement the rules and standards of the state on occupational safety and health, educate laborers on occupational safety and health, prevent accidents occurring in the course of work, and reduce occupational hazards.

Article 53 Occupational safety and health facilities shall comply with the standards prescribed by the state. Occupational safety and health facilities for new construction, renovation, and expansion projects shall be designed, constructed, and put into operation or use simultaneously with the main body of the project.

Article 54 An employing unit shall provide laborers with occupational safety and health conditions that comply with state provisions and necessary articles of labor protection, and shall provide regular health examinations for laborers engaged in operations with occupational hazards.

Article 55 Laborers engaging in special operations shall receive specialized training and obtain qualifications for such special operations.

Article 56 Laborers shall strictly abide by safety operation procedures in the course of work. Laborers shall have the right to refuse to carry out operations if the management personnel of the employing unit give orders contrary to regulations or compel laborers to conduct operations at risk; laborers shall have the right to criticize, report, or file charges against acts endangering life safety or physical health.

Article 57 The state shall establish a statistical reporting and handling system for casualties and occupational diseases. The labor administrative departments and other relevant departments of the people’s governments at or above the county level and employing units shall statistically report and handle labor casualties and occupational diseases occurring in the course of work in accordance with law.

Chapter VII: Special Protection for Female and Juvenile Workers

Article 58 The state shall provide special labor protection for female workers and juvenile workers. Juvenile workers refer to laborers who have reached the age of 16 but not yet reached the age of 18.

Article 59 Female workers shall not be arranged to engage in work in mines, work at heights with Level 4 physical labor intensity prescribed by the state, or other work prohibited for women.

Article 60 Female workers during their menstrual period shall not be arranged to engage in work at heights, work at low temperatures, or work in cold water with Level 3 physical labor intensity prescribed by the state.

Article 61 Female workers during pregnancy shall not be arranged to engage in work with Level 3 physical labor intensity prescribed by the state or work prohibited during pregnancy. Female workers who are pregnant for seven months or more shall not be arranged to extend working hours or work at night.

Article 62 Female workers shall be entitled to no less than 98 days of maternity leave after childbirth.

Article 63 Female workers during the breastfeeding period of their infant under one year of age shall not be arranged to engage in work with Level 3 physical labor intensity prescribed by the state or other work prohibited during the breastfeeding period, and shall not be arranged to extend working hours or work at night.

Article 64 Juvenile workers shall not be arranged to engage in work in mines, work with toxic or hazardous substances, work at heights with Level 4 physical labor intensity prescribed by the state, or other work prohibited for juvenile workers.

Article 65 An employing unit shall provide regular health examinations for juvenile workers.

Chapter VIII: Vocational Training

Article 66 The state shall develop vocational training through various channels and adopt various measures to develop vocational skills among laborers, improve their quality, and enhance their employability and work capability.

Article 67 People’s governments at all levels shall incorporate the development of vocational training into their plans for social and economic development, and encourage and support enterprises, institutions, social organizations, and individuals to conduct various forms of vocational training.

Article 68 An employing unit shall establish a vocational training system, draw from and use vocational training funds in accordance with state provisions, and provide vocational training for laborers in a planned manner based on the actual situation of the entity. Laborers engaged in technical work shall receive training before taking up their positions.

Article 69 The state shall determine occupational classifications, formulate vocational skill standards for specific occupations, and implement a vocational qualification certification system. Examination and appraisal institutions approved by the relevant government authorities shall be responsible for the examination and appraisal of the vocational skills of laborers.

Chapter IX: Social Insurance and Welfare

Article 70 The state shall develop social insurance, establish a social insurance system, and set up social insurance funds so that laborers may receive assistance and compensation in the event of old age, illness, work-related injury, unemployment, or childbirth.

Article 71 The level of social insurance shall be commensurate with the level of social and economic development and social affordability.

Article 72 The sources of social insurance funds shall be determined according to the categories of insurance, and social pooling shall be gradually implemented. Employing units and laborers shall participate in social insurance and pay social insurance premiums in accordance with law.

Article 73 Laborers shall be entitled to social insurance benefits under the following circumstances: (1) retirement; (2) illness or injury; (3) disability caused by work-related injury or occupational disease; (4) unemployment; (5) childbirth. The survivors of a deceased laborer shall be entitled to receive a survivor’s allowance in accordance with law. Social insurance benefits shall be paid in full and on schedule.

Article 74 Agencies handling social insurance shall collect, disburse, manage, and operate social insurance funds in accordance with the provisions of law, and shall assume the responsibility for maintaining and increasing the value of social insurance funds. No organization or individual shall misappropriate social insurance funds.

Article 75 The state shall encourage employing units to establish supplementary insurance for laborers based on their actual circumstances. The state shall promote individual savings insurance.

Article 76 The state shall develop social welfare and construct public welfare facilities to provide conditions for laborers to rest, recuperate, and rehabilitate. Employing units shall create conditions to improve collective welfare and enhance the welfare benefits of laborers.

Chapter X: Labor Disputes

Article 77 Where a labor dispute arises between an employing unit and a laborer, the parties may apply for mediation, arbitration, or institute legal proceedings in accordance with law, or may resolve the dispute through consultation. The principle of mediation shall apply to the procedures of arbitration and litigation.

Article 78 Labor disputes shall be resolved in accordance with the principles of lawfulness, fairness, and timeliness, and the lawful rights and interests of the parties to the dispute shall be protected in accordance with law.

Article 79 After a labor dispute arises, the parties may apply for mediation to the labor dispute mediation committee of their entity; where mediation fails and one of the parties requests arbitration, it may apply to the labor dispute arbitration committee for arbitration. Either party may also directly apply to the labor dispute arbitration committee for arbitration.

Article 80 A labor dispute mediation committee may be established within an employing unit and shall be composed of representatives of the staff and workers, representatives of the employing unit, and representatives of the trade union. The chairperson of the labor dispute mediation committee shall be a representative of the trade union.

Article 81 A labor dispute arbitration committee shall be composed of representatives of the labor administrative department, representatives of the trade union at the same level, and representatives of the employing unit. The chairperson of the labor dispute arbitration committee shall be a representative of the labor administrative department.

Article 82 A party requesting arbitration shall submit a written application to the labor dispute arbitration committee within 60 days from the date on which the labor dispute arises. The arbitral award shall generally be rendered within 60 days of receipt of the arbitration application.

Article 83 Where a party to a labor dispute is dissatisfied with the arbitral award, it may institute legal proceedings in a people’s court within 15 days of receipt of the arbitral award. Where one party neither institutes legal proceedings nor performs the arbitral award within the statutory period, the other party may apply to a people’s court for enforcement.

Article 84 Where a labor dispute arises as a result of the conclusion of a collective contract and the parties fail to resolve it through consultation, the labor administrative department of the local people’s government may organize the relevant parties to coordinate and resolve the dispute.

Chapter XI: Supervision and Inspection

Article 85 The labor administrative departments of the people’s governments at or above the county level shall supervise and inspect the compliance of employing units with labor laws and regulations in accordance with law, and shall have the authority to stop any acts in violation of labor laws and regulations and order corrective action.

Article 86 Supervision and inspection personnel of the labor administrative departments shall, when performing their official duties, have the authority to enter employing units to learn about the implementation of labor laws and regulations, review necessary materials, and inspect the workplaces. They shall produce their credentials when performing their official duties and impartially enforce the law.

Article 87 Relevant departments of the people’s governments at or above the county level shall, within the scope of their respective functions and duties, supervise the compliance of employing units with labor laws and regulations.

Article 88 Trade unions at all levels shall protect the lawful rights and interests of laborers in accordance with law, and shall supervise the compliance of employing units with labor laws and regulations. Any organization or individual shall have the right to report and file charges against acts in violation of labor laws and regulations.

Chapter XII: Legal Liability

Article 89 Where the labor rules and regulations formulated by an employing unit violate the provisions of laws and regulations, the labor administrative department shall give it a warning and order corrective action; where damage is caused to laborers, the employing unit shall be liable for compensation.

Article 90 Where an employing unit extends working hours of laborers in violation of the provisions of this Law, the labor administrative department shall give it a warning, order corrective action, and may impose a fine.

Article 91 Where an employing unit commits any of the following acts infringing upon the lawful rights and interests of laborers, the labor administrative department shall order it to pay labor remuneration or make up for economic losses, and may order it to pay compensation: (1) deducting wages or delaying payment of wages to laborers without cause; (2) refusing to pay wages for extended working hours to laborers; (3) paying wages lower than the local minimum wage standards to laborers; (4) failing to provide economic compensation to laborers after termination of the labor contract.

Article 92 Where the occupational safety and health facilities and working conditions of an employing unit do not conform to state provisions, or the employing unit fails to provide necessary articles of labor protection and labor protection facilities to laborers, the labor administrative department or other relevant departments shall order corrective action and may impose a fine; where the circumstances are serious, it may request the people’s government to decide on ordering the suspension of production for rectification.

Article 93 Where an employing unit compels laborers to conduct operations at risk in violation of regulations, causing major casualties and other serious consequences, the responsible personnel shall be pursued for criminal liability in accordance with law.

Article 94 Where an employing unit illegally recruits juveniles under the age of 16, the labor administrative department shall order corrective action and impose a fine; where the circumstances are serious, the market regulatory department shall revoke its business license.

Article 95 Where an employing unit violates the provisions of this Law on the protection of female workers and juvenile workers, infringing upon their lawful rights and interests, the labor administrative department shall order corrective action and impose a fine; where damage is caused, the employing unit shall be liable for compensation.

Article 96 Where an employing unit commits any of the following acts, the public security authority shall impose a detention penalty of not more than 15 days, a fine, or a warning on the responsible personnel; where a crime is constituted, criminal liability shall be pursued: (1) compelling laborers to work by means of violence, intimidation, or illegal restriction of personal freedom; (2) humiliating, corporally punishing, beating, illegally searching, or detaining laborers.

Article 97 Where an employing unit causes the invalidity of a labor contract due to its own fault and causes damage to laborers, it shall be liable for compensation.

Article 98 Where an employing unit terminates a labor contract in violation of the conditions prescribed by this Law or deliberately delays the conclusion of a labor contract, the labor administrative department shall order corrective action; where damage is caused to laborers, the employing unit shall be liable for compensation.

Article 99 Where an employing unit recruits laborers whose labor contracts have not yet been terminated, causing economic losses to the former employing unit, the employing unit shall bear joint and several liability for compensation in accordance with law.

Article 100 Where an employing unit fails to pay social insurance premiums without cause, the labor administrative department shall order it to pay within a prescribed time limit; where the payment is not made within the time limit, a late payment penalty may be imposed.

Article 101 Where an employing unit unreasonably obstructs the labor administrative department or other relevant departments from exercising their supervisory and inspection powers, or retaliates against whistleblowers, the labor administrative department or other relevant departments shall impose a fine; where a crime is constituted, criminal liability shall be pursued.

Article 102 Where a laborer terminates a labor contract in violation of the conditions prescribed by this Law, or violates the provisions of the labor contract on confidentiality, causing economic losses to the employing unit, the laborer shall be liable for compensation in accordance with law.

Article 103 Where a staff member of the labor administrative department or other relevant department abuses power, neglects duty, or engages in malpractice for personal gain, and a crime is constituted, criminal liability shall be pursued; where a crime is not constituted, administrative sanctions shall be imposed.

Article 104 Where a staff member of the state or the agency handling social insurance misappropriates social insurance funds and a crime is constituted, criminal liability shall be pursued in accordance with law.

Article 105 Where other laws or administrative regulations have provided for punishment of violations of the provisions of this Law, such provisions shall prevail.

Chapter XIII: Supplementary Provisions

Article 106 The people’s governments of provinces, autonomous regions, and municipalities directly under the Central Government shall, in accordance with this Law and the actual circumstances of their respective regions, prescribe the steps and measures for the implementation of the labor contract system and submit them to the State Council for the record.

Article 107 This Law shall come into force on January 1, 1995.