CHAPTER 5 SPECIAL PROVISIONS

SECTION 1 COLLECTIVE CONTRACT 

Article 51

After bargaining on an equal basis, enterprise employees, as one party, and their Employer may conclude a collective contract on such matters as labor compensation, working hours, rest, leave, work safety and hygiene, insurance, benefits, etc. The draft of the collective contract shall be presented to the employee representative congress or all the employees for discussion and approval. 

A collective contract shall be concluded by the Trade union, on behalf of the enterprise’s employees, and the Employer. If the Employer does not yet have a Trade union, it shall 

1 Translator’s note: The phrase “of the area” does not appear in the Chinese text. It has been added by us in view of the context.

Conclude the collective contract with a representative put forward by the Employees under the guidance of the Trade union at the next higher level. 

Article 52

Enterprise employees, as one party, and their Employer may enter into specialized collective contracts addressing labor safety and hygiene, protection of the rights and interests of female employees, the wage adjustment mechanism, etc. 

Article 53

Industry-wide or area-wide collective contracts may be concluded between the Trade union on the one hand and representatives on the side of the enterprises on the other hand in industries such as construction, mining, catering services, etc. within areas below the county level. 

Article 54

After a collective contract has been concluded, it shall be submitted to the labor administration authority. The collective contract shall become effective upon the lapse of 15 days from the date of receipt thereof by the labor administration authority, unless the said authority raises any objections to the contract. 

A collective contract that has been concluded in accordance with the law is binding on the Employer and the Employees. An industry-wide or area-wide collective contract is binding on Employers and Employees in the industry or in the area in the locality concerned. 

Article 55

The rates for labor compensation, standards for working conditions, etc. stipulated in a collective contract may not be lower than the minimum rates and standards prescribed by the local People’s Government. The rates for labor compensation, standards for working conditions, etc. stipulated in the employment contract between an Employer and a Employee may not be lower than those stipulated in the collective contract. 

Article 56

If an Employer’s breach of the collective contract infringes upon the labor rights and interests of the employees, the Trade union may, in accordance with the law, demand that the Employer assume liability. If a dispute arising from the performance of the collective contract is not resolved following consultations, the Trade union may apply for arbitration and institute an action according to law. 

 

SECTION 2  Placement 

Article 57

Staffing firms shall be established in accordance with the relevant provisions 

of the Company Law and have registered capital of not less than RMB￥500,000. 

Article 58

Staffing firms are Employers as mentioned in this Law and shall perform an Employer’s obligations toward its Employees. The employment contract between a staffing firm and a Employee to be placed shall, in addition to the matters specified in Article 17 hereof, specify matters such as the unit with which the Employee will be placed, the term of his placement, his position, etc. 

The employment contracts between staffing firms and the Employees to be placed shall be fixed term employment contracts with a term of not less than two years. Staffing firms shall pay labor compensation on a monthly basis. During periods when there is no work for Employees to be placed, the staffing firm shall pay such Employees compensation on a monthly basis at the minimum wage rate prescribed by the People’s Government of the place where the staffing firm is located.

Article 59

When placing Employees, staffing firms shall enter into staffing agreements with the units that accept the Employees under the placement arrangements (“Accepting Units”). The staffing agreements shall stipulate the job positions in which Employees are placed, the number of persons placed, the term of placement, the amounts and methods of payments of labor compensation and social insurance premiums, and the liability for breach of the agreement. 

An Accepting Unit shall decide with the staffing firm on the term of placement based on the actual requirements of the job position, and it may not conclude several short-term placement agreements to cover a continuous term of labor use. 

Article 60

Staffing firms shall inform the Employees placed of the content of the placement agreements. 

Staffing firms may not pocket part of the labor compensation that the Accepting Units pay to the Employees in accordance with the placement agreement. 

Staffing firms and the Accepting Units may not charge fees from the Employees placed. 

Article 61

If a staffing firm places a Employee with an Accepting Unit in another region, the Employee’s labor compensation and working conditions shall be in line with the rates and standards of the place where the Accepting Unit is located. 

Article 62

Accepting Units shall perform the following obligations: 

(1) Implement state labor standards and provide the corresponding working conditions and labor protection; 

(2) communicate the job requirements and labor compensation of the Employees placed; 

(3) Pay overtime pay and performance bonuses and provide benefits appropriate for the job positions; 

(4) Provide the placed Employees who are on the job with the training necessary for their job positions; and 

(5) In case of continuous placement, implement a normal wage adjustment system. 

Accepting Units may not in turn place the Employees with other Employers. 

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      ● 中华人民共和国劳动合同法（英文版） ( 2015-08-11 )

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