Labor Union Law of the People's Republic of China (Revised in 2009)

Order of the President of the People's Republic of China No.18

August 27, 2009

(Adopted at the 5th Session of the 7th National People's Congress on April 3, 1992 and issued under the Order of the President of the People's Republic of China No. 57 on April 3, 1992; amended for the first time in accordance with the Decision to Amend the Labor Union Law of the People's Republic of China passed at the 24th Session of the Standing Committee of the 9th National People's Congress on October 27, 2001; and amended for the second time according to the Decision on Amending Certain Laws passed at the 10th Session of the Standing Committee of the 11th National People's Congress on August 27, 2009)

Table of Contents:
Chapter I General Provisions
Chapter II Labor Union Organizations
Chapter III Rights and Obligations of Labor Unions
Chapter IV Grassroots Labor Union Organizations
Chapter V Labor Union Operating Funds and Assets
Chapter VI Legal Liabilities
Chapter VII Supplementary Provisions

Chapter I General Provisions

Article 1 This Law is formulated in accordance with the Constitution or PRC to protect the position of labor unions in the political, economic and social fields of the State, define the rights and obligations of labor unions and enable them to play an appropriate role in the development of China's socialist modernization cause.

Article 2 Labor unions are mass organizations formed by the working classes out of their own free will.
The All-China Federation of Trade Unions and its labor union organizations shall represent the interests of employees and protect the legitimate rights and interests of employees in accordance with the laws.


Article 3 All manual and mental workers in enterprises, public institutions and authorities within China who take wages as their main living support have the right to participate in and form labor union organizations in accordance with the laws, regardless of their ethnicity, race, sex, occupation, religious belief or education background. No organization or individual is allowed to obstruct or restrict this right.

Article 4 Labor unions must abide by and safeguard the Constitution, regarding the Constitution as the fundamental criteria for their activities, take economic development as their central work, keep to the socialist path, uphold the people's democratic dictatorship, the leadership of the Chinese Communist Party, Marxism-Leninism, Mao Zedong Thought and Deng Xiaoping Theory, persever in the reform and opening-up policy, and conduct work independently in accordance with their Articles of Association.
The National Congress of Labor Unions shall be responsible for formulating and amending the Articles of Association of the All-China Federation of Trade Unions. Such Articles of Association shall not contradict the Constitution or any law.
The State shall protect the legitimate rights and interests of labor unions.

Article 5 Labor unions shall organize and educate employees to exercise their democratic rights in accordance with the Constitution and laws, embody their role as masters of the country by participating through various channels and forms the management of national affairs, economic and cultural undertakings, and social affairs, help the people's governments in carrying out their work, and uphold the people's socialist democratic dictatorship led by the working classes and on the basis of the worker-peasant alliance.

Article 6 The basic duty of labor unions is to protect the legitimate rights and interests of employees. While upholding the overall interests of the whole nation, labor unions shall, at the same time, represent and safeguard the legitimate rights and interests of employees.
Labor unions shall coordinate labor relations and safeguard the labor rights and interests of enterprise employees by mutual agreement reached on the basis of equality and via the collective contract system.
Labor unions shall, in accordance with the provisions of the laws, organize employees through employees' representative congresses or other means to participate in the democratic decision making, democratic management and democratic supervisory processes of their working unit.
Labor unions must closely tied up with employees, listen to and reflect their views and demands, concern their livelihood, assist them in overcoming difficulties and work for them wholeheartedly.

Article 7 Labor unions shall mobilize and organize employees to actively participate in economic development and to endeavor to complete their production and work assignments.
Labor unions shall educate employees to enhance their ideological and ethical standards, scientific and cultural understanding, and their technical and professional skill levels, and shall build teams of employees with ideals, ethics, culture and discipline.

Article 8 The All-China Federation of Trade Unions shall, in accordance with the principles of independence, equality, mutual respect and mutual non-interference in internal affairs, strengthen its friendly cooperative relations with labor union organizations in other countries.

Chapter II Labor Union Organizations

Article 9 Labor union organizations at all levels shall be established in accordance with the principle of democratic centralism.
Labor union committees at all levels shall be democratically elected by members' assemblies or members' representative congresses. No close relative of a principal administrator of any enterprise shall be taken as a candidate for membership of the enterprise's grassroots labor union committee.
Labor union committees at all levels shall be answerable to and submit work reports to members' assemblies or members' representative congresses at their respective levels, and shall be subject to the supervision thereof.
Labor union members' assemblies and members' representative congresses have the right to replace or dismiss their elected representatives or committee members.
Labor union organizations at a higher level shall lead labor union organizations at a lower level.

Article 10 Any enterprise, public institution or authorities that has 25 or more members shall establish a grassroots labor union committee. Any enterprise, public institution or authorities with less than 25 members may establish a grassroots labor union committee either independently or jointly with the members of one or more other units, or may elect a organizer to organize the members to carry out their activities. Where the number of female employees is relatively large, a female employees' labor union committee may be established to work under the leadership of the labor union at the same level. Where the number of female employees is relatively small, a female employee member may be placed on the labor union committee.
In towns and urban communities with relatively large number of enterprise employees, a federation of grassroots labor unions may be established.
Localities at county level or above shall establish a local all-level federation of labor unions.
Individual industries or industries of a similar nature may establish national or local industry-specific labor unions as required.
A unified All-China Federation of Trade Unions shall be established in China.

Article 11 The establishment of any grassroots labor union, local all-level federation of labor unions or national or local industry-specific labor union must be reported to the immediately superior labor union organization for approval.
Higher level labor unions may dispatch their members to assist and provide guidance to enterprise employees in organizing and establishing labor unions; no work unit or individual is allowed to obstruct such efforts.


Article 12 No organization or individual is allowed to abolish or merge any labor union organization.
A grassroots labor union shall be abolished if its enterprise is wound up or its public institution or authorities is terminated; any such event shall be reported to the immediately superior labor union.
Where a labor union is abolished in accordance with the preceding paragraph, its members may retain their membership subject to the specific provisions formulated by the All-China Federation of Trade Unions.

Article 13 In the enterprise or public institution with over 200 employees, the labor union may set a full-time chairperson. The number of labor union full-time staff shall be determined by mutual agreement between the labor union and the enterprise or public institution concerned.

Article 14 The All-China Federation of Trade Unions, local all-level federations of labor unions and industry-specific labor unions shall have the status of social organization legal person.
Grassroots labor union organizations that meet the legal person criteria stipulated in the General Principles of Civil Law of the People's Republic of China shall acquire the status of social organization legal person in accordance with the laws.

Article 15 The term of office of a grassroots labor union committee shall be three or five years. The term of office of committees of all levels of local labor union federations and industry-specific labor unions shall be five years.

Article 16 Grassroots labor union committees shall periodically convene meetings of their members' assemblies or members' representative congresses to discuss major issues arising from their labor union activities. An temporary meeting of the members' assembly or the members' representative congress may be convened where it is proposed by the grassroots labor union committee or one-third or more of labor union members.

Article 17 Labor union chairman and vice-chairman shall be prohibited from arbitrarily job transfer during their terms of office. Where a job transfer is necessary, approval shall be obtained from both the labor union committee at the same level and the immediately superior labor union.
Any proposal to dismiss the chairperson or vice-chairperson of a labor union must be discussed in the members' assembly or members' representative congress; no chairperson or vice-chairperson shall be dismissed unless the dismissal proposal is passed by no less than half of the members or members' representatives of the members' assembly or members' representative congress,.

Article 18 On the date a full-time chairperson, vice-chairperson or committee member of a grassroots labor union takes office, the term of his employment contract shall be automatically extended for a period equivalent to his term of office. On the date a non-full-time chairperson, vice-chairperson or committee member of a grassroots labor union takes office, his employment contract shall be automatically extended to the end of his term of office if the remaining period of his employment contract is shorter than his term of office, unless he commits a serious error or reaches mandatory retirement age during his term of office.

Chapter III Rights and Obligations of Labor Unions

Article 19 Where an enterprise or public institution violates the employees' representative congress system or any other democratic management system, the labor union have the right to demand the correction to protect the employees' rights to democratic management.
Where the terms of any law or regulation require that a matter be submitted to an employees' assembly or employees' representative congress for review, adoption or determination, the enterprise or public institution concerned shall comply with relevant laws.

Article 20 Labor unions shall assist and provide guidance to employees in signing employment contracts with enterprises or public institutions operating as enterprises.
Labor unions shall, on behalf of employees, negotiate on an equal basis and sign collective contracts with enterprises and with public institutions that are operated in accordance with enterprise management practices. The draft version of a collective contract shall be submitted to the employees' representative congress or to all employees for discussion and adoption.
When a labor union signs a collective contract, its immediately superior labor union shall give its support and assistance.
Where an enterprise breaches a collective contract and infringes the employment rights and interests of its employees, the labor union may, in accordance with the law, demand that the enterprise assume liabilities for its infringement. Where a dispute arising from the performance of the terms of a collective contract fails to be resolved through consultation, the labor union may submit the dispute to a labor dispute arbitration organization for arbitration, or file legal proceedings with a people's court if the arbitration organization fails to accept the case or the labor union is dissatisfied with the arbitral award.

Article 21 Any labor union that regards an enterprise's or public institution's punishment of an employee as inappropriate have the right to put forward its views on the matter.
Where an enterprise proposes unilaterally to terminate an employee's employment contract, it shall first notify the labor union of its reasons. Where the labor union believes that the enterprise's proposal would violate any law or regulation or relevant contract, and requires that the case be reviewed and considered again, the enterprise shall consider the labor union's opinions and notify the labor union of the results of its review in writing.
Where an employee believes that his rights and interests have been infringed by the enterprise and applies for the arbitration of a labor dispute or files proceedings in a people's court, the labor union shall give its support and assistance.


Article 22 Where, in any of the following circumstances, an enterprise or public institution infringes the labor rights and interests of any of its employees in violation of any labor law or regulation, the labor union shall negotiate with the enterprise or public institution on behalf of the employee(s) and demand that it implement remedial measures, and the enterprise or public institution shall reconsider the case and respond to the labor union. Where the enterprise or public institution fails to rectify the matter, the labor union may request that the local people's government handle the case in accordance with the law:
1. Where the enterprise or public institution withholds or reduces an employee's wages;
2. Where the enterprise or public institution fails to provide a safe and hygienic working environment;
3. Where the enterprise or public institution extends its working hours arbitrarily;
4. Where the enterprise or public institution infringes the special rights and interests of female employees or minor employees; or
5. Where the enterprise or public institution commits any other serious infringement of the labor rights and interests of employees.

Article 23 A labor union shall, in accordance with state regulations, supervise the working conditions and the simultaneous design, construction and operation of health and safety facilities provided with the main project of an enterprise that is newly established or expanded or is undergoing technological renovation. The enterprise or the department in charge shall seriously consider the views put forward by the labor union, and shall notify the labor union in writing of the results of its deliberation.

Article 24 Where a labor union discovers that an enterprise has instructed or compelled workers to work in dangerous conditions in violation of applicable rules and regulations, or where the occurrence of any major accident or the presence of any hidden danger or occupational hazard is discovered during the production process, the labor union has the right to propose solutions, and the enterprise shall promptly investigate the case and respond. Where the labor union discovers that the personal safety of employees is in jeopardy, it has the right to suggest that the enterprise organize the evacuation of employees from the danger zone, and the enterprise must promptly decide on the measures to be taken to deal with the matter.

Article 25 A labor union has the right to investigate any alleged infringement of the legitimate rights and interests of employees by an enterprise or public institution; the relevant work unit shall assist with any such investigation.

Article 26 Any investigation into a work-related accident resulting in the death, or injury of an employee, or any other problem seriously endangering the health of employees, must be participated in by the labor union. The labor union shall present its opinions on how the case should be handled to relevant authorities, and has the right to demand that the liability of any supervisor directly in charge and any other person in charge be investigated. The labor union's opinions shall be considered and responded to in a timely manner.

Article 27 Where an enterprise or public institution is subject to a strike or work-to-rule, the labor union shall negotiate with the enterprise, institution or other relevant authorities on behalf of the employees, reflect the views and demands of the employees, and propose a resolution. The enterprise or institution shall satisfy the reasonable demands of the employees. The labor union shall assist the enterprise or institution in its work so as to allow production and work order to resume as quickly as possible.

Article 28 Labor unions shall participate in the mediation work of any labor dispute by an enterprise.
Local labor dispute arbitration organizations shall include labor union reprentatives at the same level.

Article 29 Labor union federations at or above the county level may provide legal services to subordinate labor unions and employees.

Article 30 Labor unions shall assist enterprises, public institutions and authorities to implement collective welfare projects and handle wage, employee health and safety and social security matters for employees.

Article 31 Labor unions shall educate employees to do their work and care for the property of the State and enterprises from a standpoint of the nation's master, organize employees to carry out mass campaigns involving rationalization proposals and technological renovation and to undertake after-work cultural and technical studies and occupational training, and shall organize employees to hold cultural, recreational and sporting activities.

Article 32 In accordance with government instructions, a labor union shall, jointly with other relevant departments, perform the tasks of selecting, commending, developing and managing model workers and advanced producers (workers).

Article 33 State authorities shall listen to the opinions of labor unions when drafting or amending laws, regulations and rules that directly relate to the immediate interests of employees.
People's governments at or above the county level shall listen to the opinions of labor unions at the same level when formulating national economic and social development plans and when important issues relating to the interests of employees arise.
People's governments at or above the county level and their relevant departments shall ensure the participation of labor unions at the same level in the research work and listen to the opinions of labor unions when studying and formulating important policies or measures on employment, wages, employee health and safety, social security, and other policies or measures relating to the immediate interests of employees.

Article 34 Local people's governments at or above the county level may, through meetings or other appropriate means, inform labor unions at the same level of their respective major work plans and administrative measures relating to labor union activities, and shall consider and determine how to handle the opinions and demands of employees as reflected by labor unions.
The administrative departments of labor of people's governments at all levels shall, in conjunction with labor unions at the same level and enterprise representatives, establish mechanisms for trilateral consultations on labor relations, and consider and determine how to handle important labor relations issues.

Chapter IV Grassroots Labor Union Organizations

Article 35 In a state-owned enterprise, the employees' representative congress shall be the basic form through which the enterprise may implement democratic management policy and shall be the body through which employees exercise their democratic management rights in accordance with the provisions of the laws.
The labor union committee of a state-owned enterprise shall be the working body of the employees' representative congress, shall be responsible for the day-to-day activities of the employees' representative congress, and shall supervise and procure the implementation of resolutions made by the employees' representative congress.

Article 36 The labor union committee of a collective enterprise shall support and organize employees to participate in democratic management and supervision activities, and shall safeguard the rights of employees to elect and dismiss administrative personnel and decide on major issues concerning the operation and management of the enterprise.

Article 37 The labor union committee of any enterprise or institution other than those described in Articles 35 and 36 hereof shall organize employees to participate in the democratic management of the enterprise or institution by means appropriate to the enterprise or institution concerned in accordance with the provisions of the laws.

Article 38 Enterprises and institutions shall listen to the opinions of labor unions when studying important issues regarding their operations, management and development, and meetings concerning wages, welfare benefits, employee health and safety, social security and any other matter relating to the immediate interests of employees must be participated in by labor union representatives.
Enterprises and public institutions shall support labor unions to pursue their activities in accordance with the law, and labor unions shall support enterprises and institutions in their exercise of operating and management powers.


Article 39 Employee representatives on the board of directors or board of supervisors of any company shall be elected in accordance with the provisions of the Company Law.

Article 40 A meeting or organizes activities for employees shall be convened by the grassroots labor union committee outside production or working hours. Where it is necessary to hold such activities during production or working hours, the consent of the enterprise or public institution concerned shall be obtained in advance.
Where a part-time member of a grassroots labor union attends meetings or participates in labor union activities in production or working hours and the hours so used do not exceed three working days per month, his wage shall be paid as usual and his other benefits shall not be affected.

Article 41 The wages, bonuses and subsidies of full-time staff members of the labor union committee of any enterprise, institution or authorities shall be paid by their respective work units. Such employees shall be entitled to the same social security and other welfare benefits as other employees of the work unit concerned.

Chapter V Labor Union Operating Funds and Assets

Article 42 Labor union operating funds shall come from the following sources:
1. Membership dues levied on union members;
2. Monthly allocations equivalent to 2% of the total wages of all employees paid to a labor union as funds by the enterprise, institution or authorities that established the labor union organization;
3. Income paid by enterprises and public institutions subordinated to the labor union;
4. The subsidiaries of people's government; and
5. Any other income.
The operating funds specified in Item (2) of the preceding paragraph shall be allocated on a pre-tax basis.
Labor union operating funds shall be used mainly for services provided to employees and labor union activities. The specific procedures for the use of such funds shall be formulated by the All-China Federation of Trade Unions.

Article 43 Where an enterprise or public institution delays or withholds the payment of labor union operating funds without any valid reason, the grassroots labor union or its immediate superior labor union may apply with a local people's court for a payment order. Where the enterprise or public institution fails to comply with any such payment order, the labor union may apply to the people's court to have the order enforced in accordance with the law.

Article 44 In accordance with the principle of independent funding, labor unions shall be responsible for formulating their own budgets, final accounts, and fund inspection and supervisory systems.
Labor unions at all levels shall establish fund inspection committees.
Fund income and expenditure details for labor unions at all levels shall be inspected by fund inspection committees at the same level, and shall be reported to and subject to the supervision of members' assemblies or members' representative congresses on a regular basis. Labor union members' assemblies and members' representative congresses have the right to put forward suggestions on the use of labor union funds.
The use of labor union operating funds shall be subject to the supervision of the state in accordance with the law.

Article 45 People's governments at all levels, enterprises, institutions and authorities shall provide the facilities, premises and other material requirements necessary for labor unions to carry out administrative matters and arrange union activities.

Article 46 No organization or individual may occupy, misappropriate or arbitrarily allocate a labor union's assets, funds or immovable property allocated by the state for the labor union's use.

Article 47 Where an enterprise or public institution to which a labor union is subordinate serves its workers, their subordinate relationship shall not be altered arbitrarily.

Article 48 Any person who retires from a position with a labor union at the county level or above shall receive the same benefits as persons who work for the state authorities.

Chapter VI Legal Liability

Article 49 The labor union has the right to request that a people's government or relevant authorities to deal with, or file proceedings in a people's court against, any party that has infringed its legitimate rights and interests in violation of the provisions of this Law.

Article 50 Any party that, in violation of Article 3 or 11 of this Law, obstructs an employee from lawfully participating in or organizing a labor union, or obstructs a labor union at a higher level from assisting or guiding employees to establish a labor union, shall be ordered to take remedial action by the administrative department of labor. Where the party responsible fails to take remedial action, the administrative department of labor shall submit the case to the appropriate people's government at or above the county level to be dealt with. Where the obstruction is in the form of violence, threats, etc., resulting in serious consequences, and constitutes a criminal offence, criminal liability shall be pursued in accordance with the law.

Article 51 Any party that, in violation of the provisions of this Law, inappropriately transfers a labor union staff member who performs his duties in accordance with the law away from his present position without any valid reason, shall be ordered by the administrative department of labor to take remedial action and restore the staff member to his original position. Where such action results in any loss, the party responsible shall pay compensation for the loss suffered.
Where any party insults, defames or inflicts bodily harm on a labor union staff member who performs his duties in accordance with the law, and such action constitutes a criminal offence, criminal liability shall be pursued. Where the conduct in question does not constitute a criminal offence, the party responsible shall be punished by the public security authorities in accordance with the Law on Administrative Penalties for Public Security.


Article 52 Where any provision of this Law is violated and under any of the following circumstances, the administrative department of labor shall issue an order that the relevant individual's employment be restored and the remuneration he was due to receive during the period of time for which his employment contract was terminated shall be compensated, or the compensation equivalent to twice his annual income shall be ordered to be paid:
1. Where an employee's employment contract is terminated because he participates in labor union activities; or
2. Where a labor union staff member's employment contract is terminated due to his performance of the duties stipulated herein.

Article 53 Where any provision of this Law is violated and under any of the following circumstances, the appropriate people's government at or above the county level shall order that remedial action be taken and shall the matter be handled in accordance with the law:
1. Where a labor union is obstructed from organizing employees to exercise their democratic rights either through a general assembly of employees or via any other means;
2. Where any labor union organization is unlawfully abolished or merged;
3. Where a labor union is obstructed from participating in the investigation and handling of any work-related accident resulting in the death or injury of an employee or of any other infringement of the legitimate rights and interests of employees; or
4. Where any party fails to engage in consultation on an equal basis without any valid reason.

Article 54 Where any party, in violation of Article 46 hereof, misuses labor union operating funds or other property and fails to return the same, the labor union may institute proceedings in a people's court to demand the return of the property in question and claim compensation for any loss suffered.

Article 55 Any labor union staff member who, in violation of the provisions of this Law, damages the rights and interests of employees or the labor union, shall either be ordered to take remedial action by a labor union at the same level or by its immediate superior labor union, or be penalized. Where the circumstances are serious, his union membership shall be revoked in accordance with the Articles of Association of the All-China Federation of Trade Unions. Where any loss is caused, he shall be liable to pay compensation, and where the case constitutes a criminal offence, criminal liability shall be pursued in accordance with the law.

Chapter VII Supplementary Provisions

Article 56 The All-China Federation of Trade Unions shall, in conjunction with the relevant government authorities, formulate specific procedures for the implementation of this Law by labor unions of government authorities.

Article 57 This Law shall come into effect on the date of promulgation. The Labor Union Law of the People's Republic of China, issued by the Central People's Government on Junuary 29, 1950, shall be repealed simultaneously.