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Regulations of Shenzhen Special Economic Zone on Laborers

Regulations of Shenzhen Special Economic Zone on Laborers

(Originally adopted at the 16th Meeting of the Standing Committee of the first Municipal People' s Congress of Shenzhen on May 28th, 1993. Firstly revised according to the "Decision on Modifying the ' Regulations of  Shenzhen Special Economic Zone on Laborers' "   at the 21st Meeting of the Standing Committee of the first Municipal People' s Congress of Shenzhen on March 1st, 1994. Secondly revised according to the "Decision on Modifying the 'Regulations of the Shenzhen Special Economic Zone on laborers' " at the 20th Meeting of the Standing Committee of the second Municipal People' s Congress of Shenzhen on February 13rd, 1998.)

Chapter ¢ñ General Provisions

Article 1 These regulations are formulated in order to protect the lawful rights and interests of laborers and employing units, standardize the employment conducts of employing units, and promote the development of economy of Shenzhen Special Economic zone (hereinafter referred to as "Special Zone" ).

Article 2 "Laborers" mentioned in these regulations are referred to the persons enrolled by an employing unit, who have no registered permanent residence of Shenzhen Municipality.

"Employing units" mentioned in these regulations are referred to enterprises, institutions, official organs, social organizations and individual businesses which employ workers in Shenzhen Municipality.

Article 3 Employing units shall conclude the labor contracts with laborers in employing. The contracts shall be concluded in written forms. The parties shall abide by the provisions of laws and regulations and the principles of voluntariness, equality, and consistency on basis of negotiation.

Article 4 Employers shall not take discriminative treatments to the laborers on remuneration, working time and other labor conditions since they have no registered permanent residence of Shenzhen Municipality.

Article 5 Laborers are entitled to take part in or organize labor union according to the provisions of the "Labor Union Law of the People' s Republic of China" .

Article 6 The personal rights and other lawful rights and interests of laborers shall be protected by laws, and shall not be infringed upon by any organizations or individuals.

Article 7 Employing units and laborers shall strictly abide by laws, rules and regulations on labor protection, labor safety and health. 

Employing units shall strengthen on the special labor protection for workwomen and juvenile workers who have reached the age of 16 but under the age of 18.

Article 8 The recruitment of child workers who have not reached the age of 16 shall be prohibited.

Article 9 Labor administration departments of Municipal People' s Government or District People' s Government of Shenzhen  (hereinafter referred to the labor administration departments) shall be in charge of the implementation and supervision of these regulations.

Chapter ¢ò  Qualifications and Procedures

of Laborer Recruitment

Article 10 Employing units shall, while recruiting laborers, be qualified with all kinds of qualifications on labor protection, safety and health in production provisioned in laws or regulations, and shall have capability of paying remuneration and providing social insurance and welfare on schedule.

Article 11 Employing units shall provide necessary living and health conditions for laborers. The collective dormitories of laborers shall be offered in accordance with relevant provisions on safety management, and the average area of residence shall not less than 2 square meters.

Article 12 A laborer shall be qualified with the following conditions: being 16 years of age or older, being healthy, having a degree of minor middle school and a good expression, otherwise provided, if any, in laws and regulations.

Article 13 Employing units shall not recruit a person who has concluded a labor contract with other employing unit and hereafter left his post without permission.

 Laborers who have rescinded the contract and borne the responsibilities for breach of contract shall nor be subject to the preceding paragraph.

Any laborer who violates the first paragraph shall be fired at once. Any employing unit who commits intentional recruitment of the person left his post without permission, which causes losses to the former employing unit, shall bear the joint liability for compensation with the laborer.

Article 14 Employing units shall, before the recruitment of laborers, submit an application to the labor administration departments, explaining the recruitment excuse, the amount and district of recruitment.

The labor administration departments shall reply in 15 days after receiving the application. If the time limit for making response is not met, the application shall be deemed to have been approved, and the labor administration departments shall conduct relevant procedures of recruitment .

Any employing unit, who recruits laborers unapprovedly in violation of the first paragraph, shall be ordered to make correction in limited time by the labor departments and be imposed a fine of the amount of 100 yuan per person a month according to the number the the persons recruited unapprovedly. If the term of recruitment is less than a month, it shall be accounted as one month. ªª

Article 15 An employing unit shall, after approved for recruitment by the labor administrative departments, conclude labor contracts with the laborers before they take their posts. The contracts shall be concluded in advance, if a train or a tryout is necessary.ªª

Article 16 Employing units shall, within 20 days after the conclusion of the labor contracts, conduct the employment procedures in the labor administrative departments and the procedures of transient residence in the public security departments.

Any employing unit who do not conduct the employment procedures in violation of the former paragraph shall be ordered to rearrange in limited time and be imposed a fine of 100 yuan per month according to the number of persons. If the term of recruitment is less than a month, it shall be accounted as one month. Any employing unit who fails to conduct the procedures for transient residence shall be dealt with by the public security departments according to relevant provisions.

Article 17 An employing unit shall not charge for enrollment or take cash deposit in recruitment, and shall not, in the process of the performance of the labor contracts, transfer the responsibility that he should bear of paying social insurance premium to the laborers and force the laborers to invest to the employing unit.

Any employing unit, who has charged for enrollment or take cash deposit in recruitment in violation of the first paragraph, shall return the money he charged and be imposed a fine of an amount three times than he charged. Any employing unit, who have transferred the responsibility that he should bear of paying social insurance premium to the laborers and forced the laborers to invest to the employing unit, shall be ordered to return the money that he charged and be imposed a fine of an amount two times than the total amount of the transfer and investment.

Article 18 The labor administrative departments and their staff shall, during the process of assigning the index of recruitment or conducting the employment procedures, perform their duties strictly pursuant to law, and never abuse their authorities for personal gains.

In case of violating the former paragraph, the persons direct liable and the liable persons in charge shall be subject to administrative responsibilities. If there are losses caused to employing units or employees, the labor administrative departments shall be liable for compensation. And if it constitutes a crime, relevant liable persons shall be prosecuted for criminal responsibilities by the judicial bodies according to law.

Chapter ¢ó  Labor Contracts

Article 19 The labor contracts shall contain following items:

(1)work (production) tasks of laborers,

(2)time limit of labor contracts,

(3)labor condition,

(4)labor discipline,

(5)remuneration, and mode and date of payment,

(6)social insurance, labor welfare and necessary living condition,

(7)liability for breach of contracts, and

(8)other terms agreed by parties.

Article 20 Labor contracts must be performed thoroughly by both parties as soon as they are concluded according to laws, and neither party may modify or rescind contracts unilaterally.

When one party do not perform according to the provision of contracts, the other party is entitled to request it to perform or liable for damage.

Article 21 The parties may modify or rescind contracts on basis of consistency after negotiation.

Article 22 The labor contracts shall be terminated at the expiration of the term of the contracts.

Employers shall conclude labor contracts before the expiration of the term of contracts and conduct the employing procedure according to the former clause, if they continue to employ the laborers. Employers shall be treated according to the provision of  16(2), if they do not conduct the employing procedure accordingly.

Article23  Laborers may note employers to rescind labor contract at any time under any of the following circumstances:

(1)in  the term of tryout

(2)laborers are compelled to work by the means of violence, menace and other methods restricting people' s freedom,

(3)employers do not pay remuneration or supply labor condition according to the contract,and

(4)other circumstance of laws or regulations.

Laborers shall note employers in writing 30 days in advance if they have good reasons to rescind the contracts.

Laborers shall liable for damage if they rescind the contract unilaterally in violation of the provision of 23(2) and which cause loss to employers.

Article 24 Employers may rescind the contracts at any time under any of the following circumstances, but shall send the decision on rescinding contracts in written form to laborers themselves:

(1)laborers are not testified in compliance with the recruitment condition in term of tryout,

2)laborers violate the labor discipline and rule of employers, which affecting the  work or production,

(3)laborers who neglect their posts and commits fraudulent acts for personal gains, and which cause great loss to employers,

(4)laborers are investigated criminal liability according to laws, and 

(5)other circumstance of laws or regulations.

Article 25 Employers may rescind the contracts under any of the following circumstances, but shall note laborers themselves in written form 30 days in advance:

(1)laborers can not engage in the former task or other tasks arranged by employers after the expiration of the term of medical treatment,

(2)laborer who is incompetent to his post can not satisfy the needs of his post yet after training or the adjusting of the post,

(3)the contract can not be performed because there are great changes in the objective condition when the contract is concluded, and parties to the contract can not agree on the modifying of the contract after negotiation.

Employers shall pay compensate money of one month average wage of the year if they do not note the laborers in writing thirty days in advance.

Article 26 The labor contract shall rescind automatically under any of the following circumstances:

(1)   employers are declared bankrupt,

(2)   employers are rescinded or revoked according to laws,

(3)   the death of employees, and

(4)   other circumstance of laws or regulations.

Article 27 Employers shall not rescind the labor contracts under any of the following circumstances:

(1)employee is ill or injured on business and in the stipulated term of medical treatment,

(2)employees who are testified to be in need of treatment or recuperation because they are injured for business or professional ill are established to be competent to their post by the medical and labor identification committee of shenzhen municipality and in the term of the contract,

(3)in the term of pregnancy, procreation and lactation of workwoman, and

(4)other circumstance of laws or regulations.

Article 28 If one of the following circumstances occurs, an employing unit shall pay economic indemnity to the laborers:

(1) After advanced by the employing unit, the contract is rescinded through consultation and with the agreement of both parties;

(2) The contract is rescinded according to item(2),(3),(4) of Article 23 of these regulations;

(3) The contract is rescinded according to Article 25 of these regulations.

The standard of paying the economic indemnity shall be calculated based on a laborer' s continuous service life in certain unit: one monthly-wage shall be paid to the laborer, if his service life expires one year; The standard of the former shall be taken, if a laborer' s service life expires half of one year but is not up to one year; Half of monthly average salary shall be paid, if a laborer' s service life is less than half of one year. In the case that the contract is rescinded according to item (2),(3),(4) of paragraph one of Article 25 and item (1) of paragraph one of Article 28, the sum of economic indemnity shall not exceed total amount of twelve monthly-wage.

Monthly-wage mentioned in the preceding paragraph is calculated as the laborer' s monthly average salary of three months wages before rescission of the contract.

Article 29 A contract is invalid under any of the following circumstances:

(1) Violating laws and regulations;

(2) A contract is concluded by means of fraud or coercion.

An invalid contract does not have legal binding force from the outset.

Invalidity of a contract shall be confirmed by the Labor Dispute Arbitration Committee or the People' s Count.

Article 30  If a part of a labor contract becomes invalid without affecting the validity of the other parts, the other parts remain valid.

Article 31 If a labor contract is confirmed invalid, the party at fault shall compensation the other part for the loss caused by the fault. If both parties have faults, they shall bear their respective responsibilities.

 

Chapter ¢ô Working Time and Vacation

Article 32  The normal working time of laborers shall not exceed eight hours a day, and not exceed  forty hours a week. One day of vacation shall be guaranteed. The normal working time of the laborers who undertake poisonous and harmful operation or strenuous manual labor shall accordingly be shortened.

If a employing unit cannot implement the provisions of the preceding paragraph because of its character in product, it shall, after approved by labor departments, implement other working and vacation measures such as working value of indeterminate period of time, or working value of synthetically accounting period of time.

Article 33  An employing unit may, after consultation with the Union and laborers, prolong working time due to the need of production and operation, but the prolonged time shall not exceed three hours.

Any employing unit, which violated the provisions of  preceding paragraph, shall be ordered to make correction and may be, according to the number of laborers whose working time has been prolonged, imposed a fine of ten yuan per hour for each laborer.

Article 34 Laborers shall enjoy the following treatments in vacation:

(1) Statutory holidays provided by the State are holidays with salary. It shall be subject to postponement and an additional holiday in case that a holiday happens to be a public holiday.

(2) The vacations for marriage or the bereft are three days in the event of a laborer' s marriage or death of his spouse or lineal kinship. The vacations for late marriage shall be handled according to relevant provisions, during which salary shall be issued as usual;

(3) Maternity leave shall be carried out according to relevant provisions, during which salary shall be issued as usual;

(4) Laborers, whose continuous working time expire one year, shall enjoy annual leave with pay.

Article 35 If a laborer suffers a disease or an injury which is not related with work, the idle time limit for medical treatment shall be confirmed according to his service life in an unit. If his service life not expires one year, the time limit shall add up to fifteen days; if it expires one year, the time limit shall,  from the second year, be added fifteen days  every year, but shall not exceed ninety days.

During the period of medical treatment, the employing unit shall pay to the laborers their salaries of disease or injury leave according to provisions.

Chapter ¢õ  Labor Payment and Social Insurance

Article 36 Wage of a laborer shall be fixed by the employing unit according to the laborer' s post, technique standard and his working performance ect and through consultation with the laborer himself, but shall not be lower than the local standards of minimum wages publicized by the People' s Government of Shenzhen Municipality.

If wages to be paid to the laborers are lower than the municipal standards of minimum wages, the employing units shall make up the exact amount which is less than the standards, and shall make compensation to the laborers as the amount of 1% of the part lower than the standards for each day.

Article 37  The employing units shall, at regular intervals, pay wages at least once per month.

An employing unit, who embezzles or disguised embezzles the wages to be paid to laborers and refuses to pay the overtime payment of the laborers, shall not only pay the full remunerations to the laborers in specified time, but also disburse the economic indemnity of the mount of 25%of the remunerations.

Article 38 Under any of the following circumstances, the employing unit shall pay laborers remunerations according to the following standards:

(1) To pay no less than 150% of the normal wages if an extension of working hours  is arranged;

(2) To pay no less than 200% of the normal wages if work is arranged on off days and no  make-up days can be arranged; or

(3) To pay no less than 300% of the normal wages if work is arranged on statutory holidays.

If an employing unit arranges overtime work to the laborers who work on basis of  piecework after they have finished their work, he shall separately pay to the laborers, according to the principals stipulated above, no less than 150%, 200% or 300% of unit-price of piecework made in their statutory working time.

In the event of the work system with integrative computation of work hours carried out after approved by the labor departments, the part of integrative computation of work hours that exceeds the normal work time shall be considered as prolonged work time, the wages of which shall be paid according to the provisions of the first paragraph.

Provisions stipulated above shall not applied to the laborers working at irregular time.

If the laborers' wages paid by an employing unit are lower than the standards stipulated in paragraph 1,2 and 3, the employing unit shall make up the deficiency, and moreover, pay economic indemnity as much as 25% of the part lower than the standards.

Article 39 The employing unit shall pay allowance for idle time to the laborers in the case of discontinuing working.

Article 40 The working units and the laborers are, according to provisions, obliged to take part in social insurance and pay insurance premium at specified time.

Article 41 If a laborer is injured, crippled or dead due to work, the municipal social insurance departments shall pay medical expenses and indemnity for him according to provisions. In case the laborer has not taken part in employment injury insurance, the employing unit shall pay medical expenses and indemnity for him according to the standards of the employment injury insurance provisions of Shenzhen Municipality, pay insurance premium in arrears of the current year and hand in overdue fine according to provisions.

Article 42 If a laborer dies due to work or without work-related reason, the municipal social insurance departments shall pay the funeral subsidies and survivor' s pensions forhim according to provisions. In case the laborer has not taken part in insurance, the employing unit shall pay the expenses according to state provisions.

Chapter  ¢ö  Occupational Safety and Health

Article 43  Laborers to be engaged in specialized operations shall take their posts depending on the "Operating Certificate for Controllers of Special Operation" that he has obtained according to law.  Laborers to be engaged in technique operations shall take their posts depending on the "Technique Graded Certificate" and " Technician' s Qualification Certificate" that he has obtained according to law.

The employing unit who violates the provisions of the first or second paragraph shall be ordered to make correction; if he refuses to correct, a fine of not less than 5,000 yuan but not more than 10,000 yuan shall be imposed on him.

Article 44 It is prohibited to arrange for juvenile workers to engage in work that is too heavy, poisonous or harmful or dangerous operations.

Article 45 The employing unit who violates the provisions of  preceding paragraph shall be ordered to make correction and imposed a fine of not less than 5,000 yuan but not more than 10,000 yuan.

Article 45       Employing units shall provide preemployment physical examinations and regular on-the-post occupational physical examinations to the laborers who undertake poisonous or harmful operations, and set up physical records.

Employing units shall bear the expenses for examinations provided in the preceding paragraph.

Article 46 If an employing unit finds there are laborers suffer occupational poisoning or occupational diseases, he is obliged to report in time according to the provisions concerning occupational poisoning and report of occupational disease prescribed in laws and regulations, to receive accident investigation and disposal made by relevant departments. Active treatment and careful and skillful arrangement shall be provided to the laborers who suffer occupational poisoning and diseases.

Article 47 If there are laborers injuries or dies during working, the employing unit shall immediately organize to rescue, repot the accident circumstances according to the provisions concerning accident report and disposal of employees' casualty prescribed in laws and regulations, and receive accident investigation and disposal made by relevant departments. The employing unit shall not destroy accident scene and shall not conceal, misstate or delay to report.

Chapter  ¢÷  Labor Supervision and Settlement of Labor Dispute

Article 48 The two or more than two labor supervisors appointed by the labor departments have, by their valid certificates, the right to transfer and consult the relevant data of labor employment from an employing unit, to enquire related information and to enter into scenes of an employing unit to inspect. The employing unit shall bear the responsibility of cooperation and shall not make obstruction.

If an employing unit, in violation of the preceding paragraph, obstructs or refuses the supervisors from perform their duties, and resorts to violence or threats, the personnel held directly responsible shall be punished by the public security departments in accordance with the provisions of the "Regulations of the People' s Republic of China on Administrative Penalties for Public Security" ; if a crime is constituted, he shall be prosecuted for criminal liability.

Article 49 In case the labor departments impose a fine to a party, they shall issue the "Notice of the Fine" . The party shall hand over the fine within 15 days from receiving the notice. The labor departments shall draw up to the party the receipt for fine unified printed by the financial departments. Unless otherwise prescribed by laws and rules, the penalty charges shall be entirely turned in to the financial departments of the same level.

Article 50 Any of the parties, who dissatisfy with the penalty decision made by the municipal or district labor departments, may separately apply review to the municipal labor departments or the administrative organs for review of the People' s Government of Shenzhen, also may bring a suit before the People' s Court.

Where the punished employing unit neither applies to review or initiates a suit before the people's court, nor implement the reconsideration decision within the time limit, the administrative organs for review shall apply to the people's court for compulsory execution.

Article 51 The labor departments and their staff shall strictly abide by law, and shall not abuse their authorities or abuse power for personal gains during supervising the implementation of these regulations.

While violating the preceding paragraph, the leading officials who are held responsibilities and the personnel who bear direct responsibilities shall be held for administrative responsibility; if losses have caused to the employing units, the labor departments shall held responsibility for compensation; if the act constitutes a criminal, relevant persons who are held responsibility shall be prosecuted for the criminal responsibilities by the judicial bodies according to law.

Article 52 If a labor dispute between the employing unit and a laborer arises, the parties may apply to the labor dispute mediation committee of their unit for mediation. If the mediation fails or any of the parties is unwilling to mediate, any party may apply to the labor dispute arbitration committee who has jurisdiction for arbitration. If any party is not satisfied with the decision of arbitration, the party may bring a lawsuit to the People' s Court.

Chapter ¢ø  Supplementary Provisions

Article 53 These regulations shall not be applicable to residents of Hongkong, Macao, Taiwan and foreign citizens who take up occupations in Special Zone.

Article 54 The People' s Government of Shenzhen Municipality may formulate detailed rules according to these regulations.

        Article 55 These regulations shall become effective as of October 1st,1993.


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