The Labor Contract Law Brings About New Changes In The Workplace Pattern. 3 Types Of Employees Are Affected.

The People's Republic of China labor contract law, adopted by the twenty-eighth session of the Tenth NPC Standing Committee in June 29, 2007, will take effect from January 1, 2008.

The new labor contract law, which regulates the rights and interests of employers and employees, has been very sensitive for several months after the release of the contract, and some companies have been busy coping with it. Some companies have been Raiders to cut down or sign contracts, and some have slowed down the pace of recruiting employees.

The purpose is to avoid responsibility and reduce labor cost.

However, the broad masses of labourers, whose legitimate rights and interests are protected by the new labor contract law, are relatively indifferent.

Experts pointed out that in the face of different forms of enterprise response measures, workers in a vulnerable position, before the effective implementation of the labor contract law, we should seize the time to learn and pay attention to the initiatives and workplace changes of employing units, and safeguard their own rights and interests with the provisions of the law.

New changes in the workplace pattern

The implementation of the labor contract law will bring a series of changes to the workplace pattern in 2008. From the perspective of labor employment and contract form, two changes will take place.

First, medium and long term contracts become the first choice of both employers and employees.

The labor contract law stipulates that the employer shall establish labor relations with the laborers from the date of their employment, and shall conclude a written labor contract after the establishment of labor relations.

In the labor contract and the non fixed term labor contract, the employers and employees prefer the medium and long-term contracts.

After the implementation of the labor contract law, employers tend to be rational and pay more attention to staff inspection, training and staff stability. This process takes three to five years.

Therefore, some enterprises sign contracts for the first time, and often choose a 3 year contract period.

Through 3 years, employees who are suitable for the development of enterprises are chosen to lay the foundation for second fixed contracts and future non fixed term contracts.

Labourers want stability in their careers and space for development. They do not want to suffer from short-term contracts.

With the protection of the labor contract law, they will no doubt choose a medium and long-term contract.

Two, the renewal contract is more difficult.

The labor contract law stipulates that after signing 2 fixed-term labor contracts with employees, a non fixed term labor contract should be signed if renewal is renewed.

Some employers are inclined to sign non fixed term labor contracts with their employees, so as to maintain the stability of their workforce. However, they do not exclude the fact that some enterprises will not renew the fixed term contract after they have terminated naturally because of the consideration of reducing labor costs and reducing the risk of employment.

For some key jobs that need to sign an unfixed term labor contract, the conditions will be even more stringent and the threshold will be increased.

This change will affect the stability and continuity of staff positions and increase pressure on the workplace.

The degree of influence is large and small

After the promulgation of the labor contract law, the employer has begun to comb the employment contract of the unit, and will adjust and standardize the employment behavior of the unit in accordance with the law, and the existence, termination, conclusion and adjustment of the employment contract form will directly affect the occupational stability of the employees.

Most employees will not be affected. According to the regulations, the labor contracts signed before shall continue to take effect after the implementation of the labor contract law, and the contracts signed after January 1, 2008 will be carried out according to the provisions of the labor contract law.

The reality is that most enterprises and employees' contracts are previously signed.

Therefore, after the implementation of the labor contract law, most enterprises will not have much adjustment to most employees who have signed labor contracts.

Employees who have a long working age will be carefully treated by enterprises. The labor contract law clearly stipulates that workers who have worked continuously for ten years in the employing unit and less than 10 years from the statutory retirement age must sign an unfixed term labor contract.

As long as these workers abide by the rules and regulations of the unit and work hard, there is no reason for the unit to dismiss.

Even post adjustment, units will be cautious.

The key posts of key positions are the key positions such as management, technology and other important positions of enterprises. Enterprises can not do without these talents. When the labor contract expires, it will be renewed and reached the conditions of signing a non fixed term labor contract. As long as the individual agrees, the enterprise will sign an unfixed term labor contract voluntarily.

People with ability and technology will always be reused by enterprises. These people's future is no worries.

Three types of employees are affected by employees who are not competitive.

They have no technology or expertise. They are insignificant and dispensable in business.

For enterprises that focus on cost accounting, such employees will not be kept long.

The two is temporary staff.

Many enterprises have temporary and seasonal work.

If an enterprise is to act according to the labor contract law, it will have to adjust the staff of the labor contract system working in these positions.

Some of these employees may be dismissed, others will turn to part-time labor or to complete certain work tasks as a term of labor contracts.

The three is the employee whose labor contract expires.

After the labor contract law comes into effect, it is very difficult for an enterprise to terminate the labor contract, and the cost of employment will also increase.

Therefore, the employees who will expire the labor contract will be strictly screened. It is more difficult for the general staff to renew the contract except for the post and business and technical backbone.