Human Resource Management Labor and Employment Law in China

Discuss about the Human Resource Management Labor and Employment Law in China.

Introduction

Employees are the prime backbone of any kind of industry. By their strong support and help an industry could be able to explore their services in global platform (Friedman, 2012). Employee relationship is an influential factor for the business process. Different researchers have different opinions on the state. According to the researchers; state is the aspect, which allows the management to fulfill all desire of employees. In this case, Employee relationship is the process which is mainly based on the bonding between employers and employees. China is the developing nation where every business organization wants to penetrate for gaining good profit (Cooke, 2016). In those cases, management of those organizations hire domestic people for managing all kinds of operation. The paper is mainly demonstrating the role of state in employee relationship of China. Different types of factors and aspects are there which has influenced the labor market of China and on that basis of that today’s employee relationship condition is created. Researchers found that reformation of economy in China has changed the employee relationship status.  Many business organizations believe that this thing has been done due to collective contract system. Transition of marker economy has changed the conventional economic structure of China (Lee et.al, 2016).  Impact of this change also could be found in the case of labor relationship in different industry. In the case of planned economy government could be able to achieve state whereas global business penetration government couldn’t able to maintain state. Living standards of staffs and demands have been upgraded.  For this reason different cases of labor disputes have been raised in this nation.  Through the overall paper, overall strength and weakness of states in labor relations on the context of China could be found out.

Background of the paper

Different arguments are there regarding the importance and viability of state in labor market relationship. Many researchers and market analytics have suggested that state sometime enhance the demand of the citizens or individuals. On the other hand, it also can create a suitable balance in the organizational procedure.  State allows to impost power in the relationship through legislative interventions.  State can be integrated through two types of procedure like direct and indirect. In the case of direct interventions are done for reducing disputes among the employers and employees.  Indirectly state can be enforced for the engagement of employees in the organizational procedure. A smooth organizational boundary might be created among the employees (Zhou, 2007).  According to the researchers; interest of state in employee relation is quiet complex factor. Prime objective of state is to maintain a smooth balance in the organizational procedure. Through this process, order and sustainability of the business could be measured. Employee safety and benefits can be maintained through this process. Bargaining power among the parties could be controlled.  Acquisition of skills and economic growth could be made through this process.  In a general overview it could be said that state is playing the role of a peacemaker, employer and legislator etc. China is the nation, where many business organizations have penetrated for making business. In this case, demand and values of lives have been increased, for this reason government has faced trouble to maintain labor relationship. Through this paper strength and weakness of state in Chinese market could be understood.

Laws & regulation in china

The law of China is a very early made legal tradition in the globe. Chinese law has been a difficult mix up of traditional Chinese approaches and appropriation of western convention (Brown, 2010). There are some similarities between Chinese and western civil law, which China adopted in the year 1911. Still now, the law of People’s Republic of China is currently under progress, as many fundamentals outside, as well as inside the kingdom emphasizes the need to strength the rule of law in china, globalization as well as international trade in different areas of domestic law of China. Law in China is generally a civil law system.  According to Chen, H. and Bergsten, E. (2007), the legal constitution is codified into the six codes: the code of Civil Procedures, the civil code, the constitution, the criminal code, the code of Criminal Procedures as well as in Administrative Laws. After the Communist conquest in 1949, the recently established People’s Republic of China quickly abolished the ROC’s authorized code and builds a system of socialist law copied from the Soviet Union. China has several constitutions over the past century. The earliest attempts towards implementing a constitution in China occurred during the final decade of the Qing Dynasty. The PRC had a provisional constitution from its beginning until the endorsement of its first constitution in 1954. The second constitution of the PRC, modeled on the philosophy of the Cultural Revolution, came into force 1975 (Jin and Luo, 2002). The subsistence of the rule of law in china has extensively debated.  While discussing the Chinese law, it is worth nothing that a variety of expressions have used, including “ strengthening the law”, “ tightening up the legal system”, “ abiding by the law in administration”, “rule by law”, as well as the “rule of law”.  The rule of law is regarded by some as presupposing political or economic formation of liberal democracy, human rights as well as other perfect socio legal order.

Zhou, Z. (2007) has depicted that, the recently superior role of courts in Chinese society; there are several consensus defects in china’s legal system in regards to progressing towards the rule of law. According to some researchers, these defects are delaying the progress toward rule of law. These include: at first, the National People’s Congress is ineffective its constitutional responsibility to legislate and supervise the government. Second, the Chinese Constitution is not treated as the utmost law. Third, the political forces also influence Chinese law. (Wang et.al, 2016). At the same time, straight intervention in particular cases by the CCP has lessened in current years. Fourth, there is a high stage of corruption among public officials, personal favours, bribery, as well as taking of public duty are all too ordinary at all levels of government. Finally, there are deficiencies of experienced attorneys and judges in China.

General observation of State

As discussed in the earlier section state has been playing the role of peacemaker and legislator in the case of business process. From this figure overall roles and responsibilities of state could be observed (Xiao & Cooke, 2012). From the figure it could be said that five main functionalities are there of state. In the labor market state can be termed as the peacemaker between the employer and employees, it also imposed legislation in the overall process. New ideologies and concepts also could be found out through this process.  Lots of matters are come under the power and authority of state. Through state market regulations can be familiar with; industrial conflicts also could be controlled through this overall process. As it is attached with the legislative principles, social justice can be done through this process. State showcases the concept liberalism in the organizational premises.

Arbitration

After having analysis it has been observed that multiple rules and regulations are there which can manage the labor relationship in China. Each and every law has been made to justify the labor relations in the organizational procedure (McDermott, 2010). One of the important laws is the labor contract law which governs the employer and employee relationship (King-Chi Chan et.al, 2012).  After the implementation of this law, business management of China sign a contract paper with the newly joined employees regarding the terms and conditions. Through this process, relationship between these two entities could be maintained in an efficient and effective manner. Sometime it has been found that many problems are occurred due to the contract terms and polices of the business organizations. After having analysis, it has been observed that management has mentioned all kinds of aspects in the contract paper. Newly joined employees are provided the letter. If they are satisfied with the terms and conditions, then they sign the papers. After the validation of this paper, any problem couldn’t be occurred at the time of termination, negotiation related to salary issues etc.

Article 5 also stated the norms and guidelines of the employment dispute law. First of all dispute and its issues need to be cleared. Dispute can be occurred in the industry sector for several purposes. It has been observed through analysis that an organization is comprised of several problematic situations. On that occasion, management of that organization must have to focus on appropriate pathways for reducing those problems. Dispute resolution can be termed as that kind of process. According to a famous article related to Chinese labor market, global economic interference created multiple obstacles in the relationship process among the employees. After the intervention of law, Chinese government has appointed dispute committee to mitigate these types of issues. Through this process a suitable environment is maintained in the organizational premises. In the year of 2010, a bill was passed regarding the insurance policy of employees. Employees and their families are covered under insurance scheme. Most of the Chinese organizations apply this policy at the time of contract procedure. Another important rule or law is the anti-unfair act in the workplace. According to this policy none of the individual has the right to create any unfamiliar condition at workplace. These are some examples of Chinese labor rules and regulations (Sun & Bray, 2014). 

Labor Market of China

Through the above mentioned picture overall labor market of China could be observed. Three things have been portrayed in this section. Through the first graph it has been observed that rate of online job has been decreased. Many multinational companies have shed their employees for making a stagnant zone. On the other hand, hiring of people also has been decreased. These things might be good for the business process or bad for the growth. Many organizations think that they could be able to execute a good state and labor relationship through this process.

Trade unions have been playing crucial role in the case of labor relationship or state. Trade unions of China have initiated multiple steps for mitigating all kinds of troubles and enhance the relationship value (Hui & Chan, 2015). Many organizations also provide some facilities to unions so that employees can get motivation of doing work or making good bonding with the management.  For maintaining a state employers also have some specific duties and responsibilities. Chinese organizations have highly focused on this matter. Employers of Chinese organizations take care of the health condition of the staffs and they also provide different other benefits.

Different policies have been taken by the Chinese organizations for the betterment of the labor relationship. First of all, management of the organization has decided to maintain a good workplace environment (Liu & Li, 2014). Through this process, employees will get satisfaction of working. Appropriate payment structure is the essential policy has been taken by the management. According to the legislative guidelines, organizations have to pay the wages within the mentioned time. It has been observed that employment structure of China has been changed radically from 21^st century. According to Nankervis, at past employees were only gathered from city or urban places. Now government has decided to recruit people from rural section so that backward people also can be encouraged in the organizational procedure. These types of approaches have changed the conventional procedure of doing business. By the help of this process, business organization could be able to maintain a good bonding with other supportive staffs.  

Labor relationship is also depended on the relational bonding among people. If anyone show respect to other person, then a suitable bonding can be created. In this case also, Chinese organizations decided to recruit women, disabled people. At past, Chinese Government only recruited efficient people for executing operations, but now according to legislative policy a specific quota must be there for women and disabled people (Liu & Li, 2014). Through, this process disabled people also can get a motivation of living. On the other hand, women empowerment also could be done.  These are the procedures which have been changed in the organizational policy. These polices have highly helped in the labor relationship and state.  Quality of work also plays an important role in the case of relationship process. If employees and staffs are provided a good and healthy workplace, then they always show respect to the management.

Conclusion

Through the overall discussion overall understanding of Chinese Labor market can be done. China is the place where many business organizations have penetrated for making business. Through this process global economy has interfered in the domestic economy. This process has a beneficial side and an absurd impact (Xiao & Cooke, 2012). This collaboration has good impact and also has bad impact. State has changed the conventional way of making business through relationship. Prime advantage of state is the peacemaking process through the legislative interference. Due to this reason any kind of violence couldn’t be occurred. On the other hand, prime weakness of this process is the power distribution or losing control over the power. Management or business administrator can lose control over the man power of the business. This can harm the organizational growth and value.

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