Empowering the People
October 1, 2007, Inside Counsel

As reported by Inside Counsel, Chinese authorities have spent over two years drafting a new Labor Contract Law.  The goal of the new legislation is to put a stop to many of the labor violations that are common in Chinese factories.  Along with allowing workers to seek damages against their employers, it also grants unions and "worker-represented groups" the right to view any alterations to a company’s current employment policies.

"This part of the law is basically saying you have to talk to employees and listen to them," says Don C. Dowling, Jr., counsel at White & Case in New York. "It's like in the U.S. with the duty to establish [union-sector] work rules and bargain with employees in good faith."