By Michael Korzec
Examines the regulations of labour reform in China, with specific connection with occupational inheritance, versatile labour potency salary and firm behaviour.
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Extra resources for Labour and the Failure of Reform in China
Example text
The difference between contract system workers and 'contract workers' is very big, these two should not be confused. Contract system workers are employed within the state labour wage plan. They enjoy the same rights as the original permanent workers of the enterprise in the field of work, study, participation in democratic management, political rewards and material incentives. Their wages, social security, welfare conditions are essentially the same as those of permanent workers. Moreover, the state established an unemployment insurance for labour contract workers, an old age pension system and other forms of social insurance.
50 On 29 March 1964 a joint declaration by the Central Committee of the Chinese Communist Party (CC CCP) and the State Council stipulated that rules about the occupational inheritance of 'old, weak and disabled workers' could be considered as 'slightly too strict'. From now on the dingti rules could be applied 'no matter whether [they are] temporarily above labour force norms or not'. The children must have a residence pennit and fulfil the conditions of dependence. 51 An intriguing distinction between occupational inheritance as a right and occupational inheritance as a possibility was mentioned in a reply of the Ministry of Labour (29 April 1967) to a question from the Labour Department of Shaanxi province.
Contract Workers (hetong gong) Under the old system the term contract workers, in the context of the Chinese urban economy, generally referred to urban residents employed in state and collective enterprises under a temporary contract while awaiting permanent employment. Although the waiting period could be quite long, and legally the contract did not have to be renewed upon its expiry, renewal was more or less automatic in most cases. The position of 'old-style' contract workers (sometimes also designated by the terms changqi gong - 'long-term'.