A Study on the Current Situation and Resolution System of Labor Dispute in China

중국의 노동쟁의 현황 및 처리제도에 관한 연구

In 1978, Chinese reform and opening caused a big changes in Chinese labor relationship. Through reforming and opening, China gave up part of state ownership system and group ownership system, permitted private ownership system, and also opened the way for capitalists to ride again. Since China was established, the labor relationship ceased for 30 years has been appeared. However because the top priority aim of China's reform was economic growth, the protection of the rights and interests of labor was pushed back on the policy priority list. China takes foreign capitals based on cheap labor force quickly and China come up the worldwide plants. Since reformed, China keeps an economic growth rate of 9.7% annually for 30years. This economic growth is based on labor's sacrifice. However, Chinese fast economic growth causes side effects such as increasement of the gap between the wealthy and the poor, increasement of unbalanced development between regions, and the increasement of conflict between labor and management. Especially, according to changes in labors' level of consciousness, the labors recognized that their rights and interests are exploited by employers. Therefore, the labor dispute is continuously increasing. Chinese government changes their policy from the policy focusing on enterprise development to the policy protecting labor's rights and interests. In order to protect labor's rights and interests, China conducts labor contract law and labor dispute conciliation arbitration law in 2008. This kind of changes in Chinese labor environment affect a lot to Korean companies which already entered into China or are willing to enter. According to studying on present situation and resolution system in Chinese labor dispute, this paper suggests the proper countermeasure related to labor dispute of Korean companies which entered in China. First, the success rate of labor dispute conciliation by enterprise labor dispute conciliation committee is around 20% during recent several years and the success rate by year is in decline. Therefore, when labor dispute is occurred, our companies which entered into China better use other labor dispute methods such as negotiation and arbitration than conciliation in order to settle a conflict. Second, from the Korean enterprises entered in China point of view, there exists a problem not to sue except special cases which provided in the law even though they are dissatisfied with arbitrate judgment. Thus, when labor dispute occurred, Korean enterprises try to do best to settle the dispute through negotiation. However, in case of that the dispute cannot be settled by negotiation, they have to attend in the arbitration as if it is a last chance. Third, Korean enterprises keep in mind that dispute handling procedures between labor union and users or between labor group and users are different, and then deal with separately. Thus, dispute between labor and users have to follow arbitrate procedures as a necessary procedure, but in case of dispute related to group contract, namely dispute against labor union, labor dispute can be settled by arbitrate or suit, so after figuring out the situation exactly, it is necessary to select more advantageous way in order to settle the dispute. Moreover, in case of the dispute between labor union, they have to keep in mind that conciliation procedures cannot be used.