Under China Labor Law, labor unions play a vital role in protecting employee rights and promoting fair labor relations. They represent workers in negotiations, ensure lawful treatment, and help resolve workplace disputes. This section outlines their rights, roles, and dispute resolution functions, supporting compliant and harmonious employment practices in China.
1. Rights & Roles
In China, labor unions are officially recognized organizations that represent employees’ interests in the workplace.
According to the Trade Union Law of the People’s Republic of China, employees have the right to form and join labor unions, which operate under the guidance of the All-China Federation of Trade Unions (ACFTU).
Key roles of labor unions include:
- Safeguarding employees’ legal rights and benefits regarding wages, working hours, and safety.
- Representing workers in collective consultations, contract negotiations, and company-level decision-making.
- Participating in the formulation of internal policies related to labor management, welfare, and workplace standards.
- Supervising the employer’s compliance with labor laws and assisting in preventing violations.
Labor unions serve as a communication bridge between employees and employers, promoting fair labor practices, transparent management, and harmonious workplace relations.
2. Dispute Resolution
Labor unions play an important role in mediating workplace disputes and ensuring legal compliance during conflict resolution.
Union involvement in dispute resolution includes:
- Acting as a mediator between employees and employers when disagreements arise over pay, dismissal, or working conditions.
- Assisting employees in filing complaints or applications for arbitration when necessary.
- Participating in labor arbitration or negotiations, providing evidence and legal support to protect workers’ rights.
- Encouraging employers to address grievances internally before disputes escalate to legal proceedings.
Unions are expected to promote mutual understanding, protect lawful rights, and maintain workplace stability in line with China’s employment regulations.
💡 Employer Tips
- Encourage open communication with union representatives to prevent potential conflicts.
- Provide access to necessary information when unions conduct consultations or reviews.
- Always handle disciplinary actions and dismissals in compliance with labor union participation requirements.
- Foster a cooperative approach — unions are partners in achieving long-term workplace harmony.
China Labor Law defines key rules for fair and legal employment. By complying with China Labor Law, businesses protect rights, avoid risks, and ensure workplace stability.
At China Payroll, we help foreign companies manage payroll, navigate regulations, and stay compliant, so you can focus on growing your business. Contact us today to see how we can help your business succeed in China.
