New labour contract law also brings negative effect

2008-02-04 Beijing

China’s new labour contract law will lead to an unemployment rate of 8% at least, according to a scholar. However, most scholars believe that the new law will help improve the relationship between employers and employees and further protect employees’ basic rights and interests. On the one hand, implementation of the new law, without doubt, will contribute to adjustment of China’s industrial structure. On the other hand, employees may lose their jobs after the new law takes effect.