China’s Bureaucracy in the Open-Door Legislation: the Labor Contract Law in Focus

Chou, Chelsea C.

doi:10.1007/s11366-017-9466-y

Cited by 1 publication

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“…One noteworthy example is the drafting process of the 2008 Labor Contract Law. While the central government attempted to raise labor standards in response to growing discontent by workers (Wang et al, 2009), foreign business associations such as the American Chamber of Commerce and the US–China Business Council publicly opposed the regulations, suggesting that “improvements designed to protect workers from arbitrary firings would significantly raise labor costs” (Chou, 2018, 224). The government did not strengthen the regulations on dismissal of employees in the final version of the law.…”

Section: Introductionmentioning

confidence: 99%

Fragmented Labor Regime: FDI, Labor Regulation, and Workers’ Protests in China

Lim

2023

J. East Asian Stud.

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How does the influx of foreign direct investment (FDI) affect labor protests in China? Building on the framework of fragmented authoritarianism, I argue that the regional competition to attract foreign investment causes labor protests in China due to its deregulatory effects on labor regulation. Each actor, including the central and local governments, foreign investors, and workers, has different cost–benefit considerations, which provide an explanation for the link between foreign investment and labor protests. By theorizing each actor's preferences, this article explains how FDI induces labor deregulation and workers’ protests in China. Analyzing China's prefecture-level city data from 2012 to 2018, I find that the influx of FDI is positively associated with labor protests. The result remains robust to alternative model specifications and instrumental variable estimation. I also provide empirical evidence for the deregulatory effect of FDI on labor standards with an analysis at the firm level using the World Bank Enterprise Survey. These findings deepen our understanding of how FDI shapes labor regulation and induces workers’ protests in the context of China.

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Section: Introductionmentioning

confidence: 99%

Fragmented Labor Regime: FDI, Labor Regulation, and Workers’ Protests in China

Lim

2023

J. East Asian Stud.

View full text Add to dashboard Cite

show abstract

China’s Bureaucracy in the Open-Door Legislation: the Labor Contract Law in Focus

Cited by 1 publication

References 7 publications

Fragmented Labor Regime: FDI, Labor Regulation, and Workers’ Protests in China

Fragmented Labor Regime: FDI, Labor Regulation, and Workers’ Protests in China

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