Labor

1. Article 57 in labor law was amended as, ”those who run labor dispatch should meet with the following requirements:

1) Registered capital should be no less than RMB 2 million

2) permanent place of business and equipment which corresponds to the business

3) Management system on labor dispatch that accords with law and administration regulation

4) Any other requirements regulated by law and administration regulation

Business dealers should apply to administrative department of abour for administrative licensing by operation of law in order to run labor dispatch business; for those who had been permitted should go through corresponding companies registry. Corporations or individuals couldn’t run labor dispatch business without permission.”

The new labor law raised the amount of the registered capital to RMB 2 million, which is 4 times than it used to be. What’s more, restrains are put on greatly and it also regulates that business dealers should apply for administrative licensing and get it processed. It could be witnessed that since corporations abused labor dispatch in the past, this new labor law aims at taking all these in control by enhancing the threshold.

Article 63 in labor law was amended as, ”The dispatched workers enjoys the same right with workers to receive the same pay as others doing the same work. According to this principle, units should perform the same rule to both dispatched workers and workers who enjoys the same position of the units. For those units that do not have workers in the same position, the salary of unit workers at the place where the units locate in could be taken as reference.

The dispatched workers’ salary stated or agreed in the contract of labor by labor dispatch entities and dispatched workers and labor dispatch agreement with units should correspond with the above stipulation.

The new labor law explains the principle that getting the same pay for the same job...