(Effective as of January 1, 1995)
Contents
Chapter I General Principles
Chapter II Signing of Collective Contract
Chapter III Collective Contract Examination
Chapter IV Settlement of Collective Contract Disputes
Chapter V Supplementary Provisions
Chapter I General Principles
Article 1
In order to guide and regulate collective consultation and signing-up of collective contracts, co-ordinate the settlement of collective contract disputes, and strengthen the management of collective contracts, these Regulations are hereby formulated according to relevant stipulations of the Labor Law and the Trade Union Law of the People's Republic of China.
Article 2
These regulations are applicable to all types of enterprises which are located in the territory of the People's Republic of China.
Article 3
Collective contracts which are signed between the enterprise on one side and its employees on the other side, in accordance with legal procedure and through collective consultation, are legally binding to the enterprise and all its employees.
Article 4
Collective contracts are subject to examination of the labor administrative department of people's government at or above the county-level.
Chapter II Signing of Collective Contract
Article 5
Collective contracts refer to the written agreement, reached between representatives of enterprise and its employees in accordance with relevant law and regulations and on basis of equality and consensus, and covering such items as labor remuneration, working hours, rest time and holidays, labor safety and hygiene, and also insurance and welfare.
Article 6
A collective contract should include the following provisions:
(1) labor remuneration;
(2) working hours;
(3) rest time and holidays;
(4) insurance and welfare;
(5) labor safety and hygiene;
(6) term of contract;
(7) consultation procedure for altering, dissolving or terminating the collective contract;
(8) rights and liabilities of both sides for implementing the collective contract;
(9) agreement on how to settle possible disputes during the implementation of the collective contract;
(10) responsibilities for any breach of the collective contract; and
(11) other contents of agreement that both sides consider as necessary to be covered by the collective contract.
Article 7
Collective consultation refers to actions taken by the enterprise's trade union or employees' representatives and the enterprise representatives in discussing and consulting one another, for the purpose of signing the collective contract.
Article 8
The number of each side's representatives participating in the collective consultation shall be equal, ranging from three to ten persons, and headed by a chief representative. In case the chairperson of the trade union is not able to serve as the chief representative, the union chairperson shall designate an agent, by power of attorney, to participate in the consultation on his behalf.
During the collective consultation, each side shall appoint a note-taker.
Article 9
The enterprise's representative in the collective consultation shall be the enterprise's legal representative or someone designated by him.
The trade unions shall represent the side of enterprise's employees in the collective consultation; In the enterprise which does not have a trade union, the employees should elect their own representative, who must be approved by more than one-half of the total number of employees.
Article 10
The representatives in the collective consultation should fulfill their designated duties. If any representative fails to attend the scheduled consultation owing to irresistible causes, another representative should be appointed or elected to replace the person, according to the stipulations of Article 9 of these Regulations.
Article 11
Enterprise shall not terminate their labor contracts with representatives of its employees for a period of five years from the date when they have been designated as the employees' representatives, unless the said representatives have committed serious wrongdoings.
The above-said wrongdoings include serious violation of labor discipline or the regulations of the work unit; serious dereliction of duty or frauds that cause heavy losses to the interests of the work unit and criminal offenses.
Article 12
The process of collective consultation should abide by law and relevant regulations and be based on the principle of equality and co-operation. Neither side shall introduce means of coercion in such process.
Article 13
The content, time and place for collective consultation should be discussed and agreed upon by both sides.
Any one side in the collective consultation is obliged to provide the other side with relevant information and data, under the precondition that relevant law and regulations on secrecy are not violated, and the enterprise's business secrets are not involved.
Article 14
When the collective consultation yields no consensus, or unforeseen problems emerge, the consultation can be halted, temporarily. However, the term for the moratorium should not exceed 60 days. Concrete term of moratorium and the time, place and content of next consultation shall be discussed and agreed by both sides, before the moratorium starts.
Article 15
Only the chief representatives of the two sides are authorized to sign on the collective contract.
Article 16
The term for collective contract is one to three years, during which period, representatives from both sides can check on the implementation of the contract. If agreed by both sides, revisions can be made of the original contract during its implementation period.
Article 17
A collective contract will come to an immediate end, when the term expires or conditions warranting its termination as agreed by both sides have surfaced.
Article 18
When changes have occurred to the original environment and conditions as were prevailing during the signing of a collective contract, and have made it difficult for the contract to be properly implemented, either side involved in the contract can ask for alteration or termination of the said collective contract.
When any one side to the contract asks for consultation on a proposed alteration or termination of the contract, the other side shall make a reply to the request, and the two sides shall conduct consultation on the issue within seven days after the request has been made.
Article 19
Changes or revisions made, as a result of consultation, to the original collective contract should be reported to the relevant labor administrative department for examination within seven days after such changes or revisions have been made.
Article 20
The collective contract can be terminated after the both sides involved have agreed on its termination. However, a written explanation must be sent, within seven days after the termination was agreed upon by the two sides, to the relevant labor administrative department that had, originally, examined and approved the said collective contract.
Chapter III Collective Contract Examination
Article 21
The collective contract management organizations, at or above county-level, or their superior labor administrative departments are responsible for the examination of collective contracts.
Article 22
With seven days after a collective contract has been signed, the signatory enterprise shall send three copies of the contract to the labor administrative department for examination.
Article 23
The scope of management over collective contract examination, involving regional enterprises and centrally-owned enterprises which are located within a certain province (autonomous regions or municipalities), should be decided by the provincial (regional or municipal) labor administrative department.
The collective contracts involving national group corporations, large industrial companies as well as enterprises, straddling two or more provinces (autonomous regions or municipalities), shall be submitted to the State Council labor administrative department or provincial (regional or municipal) labor administrative department designated by the State Council labor administrative department for examination.
Article 24
Examination of collective contract should cover the following content:
(1) whether qualifications of the contract representatives from both sides conform with stipulations of relevant law and regulations;
(2) whether collective consultation has been done according to the principles and procedures set forth by relevant law and regulations; and
(3) whether the specific labor standards outline in the said collective contract conform with the minimum standards set forth by relevant law and regulations.
Article 25
Examination of collective contract should proceed according to the following procedure:
(1) registering and designating a number to the contract;
(2) examining the contract content;
(3) producing the "suggestions from collective contract examination"; and
(4) keeping record and put the document in file.
Article 26
The labor administrative department shall send its "suggestions from collective contract examination" to the both signatory sides to the contract within 15 days after having received the collective contract. The "suggestions from collective contract examination" include the following contents:
(1) The names and addresses of the both signatory sides of the collective contract, as well as the names and identification card numbers of the both sides' representatives;
(2) The time and date of receiving the collective contract;
(3) The examiner's suggestions;
(4) The time and date of notifying both sides; and
(5) The seal of the labor administrative department;
Article 27
When the labor administrative department has suggested no objection to the examined collective contract within 15 days after having received the collective contract, the contract shall then be considered as effective.
Article 28
The both signatory sides to a collective contract, after having received the examiner's suggestions from the labor administrative department, shall revise or remove those parts which have been disapproved by the examiner, and send the revised or rewritten version of the collective contract the labor administrative department for re-examination within 15 days after having received the said examiner's suggestions.
Article 29
The both signatory sides to a collective contract shall publicize their collective contract as examined and approved by the labor administrative department, to all members and employees they represent, promptly and in proper form.
Chapter IV Settlement of Collective Contract Disputes
Article 30
The scope of administration over the settlement of collective contract disputes, involving various types of regional enterprises and centrally-owned enterprises which are located within a certain province (autonomous regions or municipalities), should be decided by the provincial (regional or municipal) labor administrative department.
The settlement of collective contract disputes, involving national group corporations, large industrial companies as well as enterprises, straddling over two or more provinces (autonomous regions or municipalities), shall be decided by the provincial (regional or municipal) labor administrative department designated by the State Council labor administrative department, or decided by the State Council labor administrative department, in coordination with other relevant departments.
Article 31
The labor dispute mediation and settlement organizations of labor administrative departments, at or above country level, are the regular agencies handling the mediation and settlement of collective contract disputes.
Article 32
When collective contract disputes emerge, and the both signatory parties involved can not solve their disputes through consultation, one or both of the signatory parties can submit written applications to the labor dispute mediation and settlement organizations for settlement. In the event that no such application was submitted by either party, the labor administrative department may also intervene to take steps in settling the dispute, when and it considers necessary.
Article 33
The labor administrative department, while taking steps to mediate and settle collective contract disputes, should invite representatives from trade unions of same level, enterprises and other relevant departments to participate.
Article 34
The main responsibilities of organizations, which mediate and settle collective contract disputes, are to:
(1) investigate into the disputes;
(2) research and try to work out conditions for solving the disputes;
(3) mediate and try to settle the disputes;
(4) produce a "letter of agreement on the settlement of disputes" and supervise the implementation of the agreement on settlement of dispute;
(5) keep file of and report the settlement result to its superior labor administrative department for record; and
(6) report the case to government authorities when necessary, and put forward relevant suggestions.
Article 35
The labor administrative department, responsible for mediating and settling collective contract disputes, shall conclude such mediation and settlement procedure within 30 days after having accepted the applications. When an extension is needed because of complexity of the case or other factors, such extension should not exceed 15 days.
Article 36
At conferences held for mediating and settling collective contract disputes, the both sides involved shall each send three to ten representatives, including one chief representative, to participate. And the enterprise shall not terminate its labor contract with the employees' representatives taking part in such conference, while the mediating and settling process is under way.
Article 37
The both sides involved in the collective contract dispute and their representatives participating in the conference shall present correct information and materials to the conference.
Article 38
The labor administrative department, after completing settlement of collective contract disputes, shall produce a "letter of agreement on settlement of disputes". The chief representatives from both sides, and the leader who coordinates in disputes' settlement, shall sign and seal on the letter. Once the "letter of agreement on settlement of disputes" has been issued, it should be implemented by the both sides.
Article 39
Disputes, which emerge up in the course of implementing collective contract, shall be resolved in accordance with the "Provisions Governing Settlement of Enterprise-Labor Disputes of the People's Republic of China."
Chapter V Supplementary Provisions
Article 40
These Regulations are also applicable to government institutions, which have introduced the enterprise-style of management and signed collective contracts with their employees, and in case when disputes emerge during the implementation of such collective contracts.
Article 41
These Regulations come into force as of January 1, 1995.
