Two Sessions: Labor Contract Law Will Not Lead To Rigid Employment Mechanism.

At 10 a.m. on March 9th, the eleven session of the National People's Congress will hold a press conference in the press Hall of the first floor of the Great Hall of the people.

Tian Chengping, Vice Minister of labor and social security, Sun Baoshu, Minister of civil affairs Li Xueju, and vice minister of civil affairs Li Liguo answered questions about employment and social security.

[China News Service]: I have a question to ask minister Tian Cheng Ping.

Since the implementation of the labor contract law, there have been many different voices in the society. Some people think that the labor contract law is a bit advanced and should be amended.

How do you comment on this?

Thank you.

[Tian Cheng Ping]: Vice Minister Sun Baoshu has been in charge of labor relations and labor contracts in his department for a long time.

In recent years, for the smooth implementation of the labor contract law, he has held a symposium in various provinces and municipalities across the country, including entrepreneurs, local governments, and local workers.

I invite the Vice Minister of Bao Shu to introduce this situation to you.

[sun Bao Shu]: at present, the implementation of the labor contract law is less than three months. I think it is not a modification issue, but a problem to be seriously implemented.

[sun Bao Shu]: the labor contract law is formulated on the basis of a comprehensive summary of our practical experience in the implementation of labor contracts for more than 20 years, and it has a solid foundation for practice.

[sun Bao Shu]: during the drafting and deliberation, we listened widely to the above views of the society and drew lessons from some foreign experiences and practices.

In the course of deliberation, after repeated argumentation and modification, he was awarded a high vote at the Standing Committee of the NPC.

[sun Bao Shu]: the legislative purpose of the labor contract law is to further clarify the rights and obligations of both workers and enterprises, protect the legitimate rights and interests of workers, balance the interests of both sides of labor relations, and build a harmonious and stable labor relationship.

[sun Bao Shu]: since the promulgation of the labor contract law, we should say that the masses of workers and workers are very supportive.

Most enterprises are active, active and conscientious in implementing them. Many enterprises organize publicity, study and standardize the employment system, which further promotes the cohesion of enterprises and the centripetal force of workers to enterprises.

However, we also note that there are some different opinions and different views on the implementation of the labor contract law.

[sun Bao Shu]: I sum up mainly in three aspects: [sun Bao Shu]: first, it is believed that signing the labor contract law without fixed term labor contract will lead to the rigid employment mechanism; [sun Bao Shu]: second, it is believed that the implementation of this law will greatly increase the labor cost of enterprises and make the enterprises unable to maintain normal operation; [sun Bao Shu]: Third, the implementation of this law will affect the investment environment and employment.

[sun Bao Shu]: I think these understanding are all caused by the incomplete understanding of the labor contract law, or the one-sided and incorrect understanding.

[sun Bao Shu]: when it comes to signing an unfixed term labor contract, in fact, in many countries, signing an unfixed term labor contract is the main form of the labor contract.

In order to get in and out of labor, we have put forward several situations in the labor contract law.

In fact, compared with the labor law, the conditions for rescission of labor contracts have been relaxed.

Therefore, signing an unfixed term labor contract is not an "iron rice bowl".

The implementation of the labor contract law will not lead to rigid employment mechanism.

We also believe that if we carry out the labor contract law well, we can also promote the cohesion of employees and the centripetal force of employees to enterprises.

[sun Bao Shu]: in other words, if a large number of labourers are unstable in their careers, it is also unfavorable for the development and innovation of enterprises.

[sun Bao Shu]: the second problem is that the implementation and implementation of the labor contract law will greatly raise the cost of employment of enterprises.

In fact, from the system design of the labor contract law, the increase in labor costs in terms of employment is very limited.

It is mainly two parts: first, the employer should pay the compensation when the employer terminates the labor contract; second, the enterprise shall pay 80% of the wage to the laborers during the probation period.

These are both potential and very limited.

The reason why the enterprises think that the labor contract law increases the cost of labor is actually because these enterprises have not fulfilled the legal obligation to pay the social insurance premiums for the employees in the past. Now the labor contract law has clearly defined this regulation, so some enterprises feel a lot of pressure.

In our opinion, it is not correct and illegal to pursue such high profits if we fail to fulfill such obligations as social insurance premiums and the legitimate rights and interests of workers.

From the perspective of fair competition, if a part of enterprises do not pay social insurance premiums for employees, and so as to reduce costs and participate in market competition, it is unfair for those law-abiding enterprises and regulated enterprises.

[sun Bao Shu]: about the impact of law enforcement on employment and investment environment.

We believe that conscientiously implementing the labor contract law, building a harmonious and stable labor relationship and expanding employment and improving the investment environment are not contradictory. Moreover, a sound legal system and harmonious labor relations will further improve the investment environment and expand employment.

[sun Bao Shu]: the implementation of the labor contract law involves not only the pformation of government functions, but also the adjustment of ideology, behavior and interest pattern of employers and labourers.

It should be said that the current implementation is still a very arduous task.

[sun Bao Shu]: in order to promote the full implementation of the labor contract law, the Ministry of labor and social security should first step up efforts to publicize the labor contract law, so that the majority of workers and enterprises can understand and implement this Law in a comprehensive and accurate way.

Second, we should assist relevant departments in formulating the implementation of the labor contract law and relevant supporting laws and regulations, and strengthen guidance for the employment of enterprises.

Third, we should increase the intensity of labor supervision and the mediation of labor disputes, and earnestly safeguard the legitimate rights and interests of workers.

Thank you.