|| The amount of Taiwan corporation’s investment in China increases rapidly every year. It has been an irresistible trend for Taiwan to depend China on international trade. The low labor cost and low manufacture cost was one of the main reasons for corporations to invest in China, but in the recent years, as the industrialization and economy structure change gets faster and faster, corporations have been facing a more and more diverse employment mechanisms and labor relationships in China. Claims and complaints on salary matters occur so frequently that it has even damaged the stability of labor relationships in Chinese society. Therefore, the legislation of Employment Contracts Law has become the focus of attention of every industry in China.
《Law of the People’s Republic of China on Employment Contracts》was adopted at the 28th Session of the Standing Committee of the 10th National People's Congress of the People's Republic of China on June 29, 2007 and was promulgated and effective from January 1, 2008. The purpose of《Law of Employment Contracts》inclines to protect the rights and interest of the labor. It is based on the existing《Labor Law》and clearly specifies the rights and obligations of both parties by the following 8 chapters : General Provisions, Conclusion of Employment Contracts, Performance and Amendment of Employment Contracts, Dissolution and Termination of Employment Contracts, Special Provisions（Collective Contracts, Placement, Part-time Labor）, Monitoring Inspections, Legal Liability, Supplementary Provisions, a total of 98 Articles. It brings the construction of labor laws in China into a whole new milestone.
The adoption of 《Law of Employment Contracts》 has dramatically impacted those corporations in China on the aspects of employment, business administration, company operating cost and legal liability…etc, especially for those labor-intensive industries.
Therefore, it is hoped that corporations will re-evaluate the impact of《Law of Employment Contracts》and formulate effective countermeasures in advance to decrease the lost of human resource to the most and avoid the potential claims and complaints on labor issues. So that corporations can differentiate itself in the new era of new labor relationships in China.
The objects of this study are :
1. To investigate the background and basic theory of the legislation of the Law of China on Employment Contracts, including： the legislation history, applicable targets, basic principles…etc.
2. To analyze the main content of the Law of Employment Contracts, including： the conclusion of employment contracts, rights and obligations between employers and employees, the performance and change of Employment Contracts, the dissolution and termination…etc.
3. To investigate the impact of the Law of Employment Contracts and suggest countermeasures, including： the impact of human resource management, the procedure of handling claims and complaints, the countermeasures for human resource management.