Employees’ Participation in Corporate Governance under the Revised Chinese Company Law
www.taylorwessing.com

This law affects all companies in the country, regardless of size. It will be effective in July 1st 2024, and there are 3 key points are:

  1. There is a new organ present in each company called the Employee Assembly. This organ is for employees to exercise their power of democratic governance of the company. There are two types, one is an assembly for all employees or an assembly for employee representatives. In general, companies with more than 100 employees will have an assembly for employee representatives, while less than 100 will have an assembly for all employees. The number of employee representatives must not be less than 5% of the total number of employees and also not be less than 30, while the number of managers and executives must not be greater than 20% the number of representatives. The trade union acts as the executive organ of the Employee Assembly.
  2. The Employee Assembly has access to basically all the information a company stores, which can be used to affect the worker benefits of employees. It also seeks to make sure the company is always following the labor laws present at the local and national level. When a company considers dissolution or applying for bankruptcy, it is required to listen to the opinions of its trade union and employees through the Employee Assembly or by other forms.
  3. All companies with at least 300 employees must have employee representatives at the board of directors, unless it already has a board of supervisors with employee supervisors elected by the Employee Assembly in it.
    • MaoShanDong [none/use name]
      ·
      7 months ago

      Wouldnt feel too bad keeping up with anything china related is tought. I've had this discussion with my father although the context was about biotech research. The fact of the matter is the gap in terms of language and culture between the west in China is just so vast that unless you live on the mainland or and have solid relationships with the right people you're going to miss alot of things. This is true even if you are fluent in mandarin and go back for work on occasion like my father does.

      I guess it just highlights how idiotic most Western China watchers are though and explains why the American establishment can't seem to understand what's going on.