The draft law on labor contract was submitted Saturday to a legislative session of China's top legislature, for a first hearing.
The draft law aims to crack down on illegally docking or delaying employee's pay and build up harmonious employment relationship.
Tian Chengping, minister of Labor and Social Security, told the 19th session of the Standing Committee of the 10th National People's Congress held in Beijing from December 24 to 29 that China's labor contract system, which was set up in 1994, once played an important role in the allocation of labor resources in the market economy.
However, with the rapid industrialization and urbanization over the recent years, an increasing number of laid-off workers and rural redundant labors emerged, causing that the country's supply of labor resources for long exceeded its demand.
Therefore, some employers started to infringe on employees' rights and interests, including terminating labor contracts with their employees at will, misuse of labor force, and pocketing part of employee's pay in various means.
Under such circumstances, a labor contract law is quite necessary to curb work right infringements, said Tian.
The draft law on labor contract gives detailed stipulations on the endorsement, performance, change and termination of labor contracts, and nails down the legal responsibilities for violations of the stipulations.
(Xinhua News Agency December 25, 2005)