Rethinking the labour dispatch model

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clpstaff &clp articles

Using labour dispatch workers is a well-established and popular model in China, but the system has been difficult to regulate effectively. The latest amendments to the Employment Contract Law are a step forward, but enforcement remains crucial

On December 28 2012, the Standing Committee of the National People's Congress (NPC) released the amendments to the PRC Employment Contract Law (中华人民共和国劳动合同法). This was the 30th Session of the Standing Committee of the Eleventh NPC. The amendments further regulate the labour dispatch regime and will come into effect on July 1 2013.

The term labour dispatch refers to the practice of hiring employees through an employment agency like Beijing Foreign Enterprise Human Resources Service or China International Intellectech Corporation, as opposed to direct employment.

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