Chapter XII Legal Responsibility

Article 89 Where the rules and regulations on labour formulated by the employing unit run counter to the provisions of laws, rules and regulations, the administrative department of labour shall give a warning to the unit, and order it to make corrections; where any harms have been caused to labourers, the unit shall be liable for compensation.

Article 90 Where the employing unit, in violation of the stipulations of this Law, extends the working hours of labourers, the administrative department of labour shall give it a warning, order it to make corrections, and may impose a fine thereon.

Article 91 Where the employing unit commits any of the following acts infringing upon the legitimate rights and interests of labourers, the administrative department of labour shall order it to pay labourers remuneration of wages or to make up for economic losses, and may also order it to pay compensation:

(1) To embezzle wages or delay in paying wages to labourers without reason;

(2) To refuse to pay labourers remuneration of wages for the extended working hours;

(3) To pay labourers wages below the local standard of minimum wages; or

(4) To fail to provide labourers with economic compensations in accordance with the provisions of this Law after cancellation of labour contracts.

Article 92 Where the occupational safety facilities and health conditions of an employing unit do not comply with the provisions of the State or the unit fails to provide labourers with necessary labour protection articles and labour protection facilities, the administrative department of labour or other relevant departments shall order it to make corrections, and may impose a fine thereon. If the circumstances are serious, the above-said departments shall refer the matter to the people's government at or above the county level for a decision ordering the unit to stop production for consolidation. If the unit fails to take measures against the hidden danger of an accident, which leads to the occurrence of a serious accident, thus causing losses of lives and properties to labourers, persons who are held responsible shall be investigated for criminal responsibility by applying mutatis mutandis the provisions of Article 187 of the Criminal Law.

Article 93 Where the employing unit compels labourers to operate against the established rules and under unsafe conditions, thus causing major accident of injuries and deaths, and serious consequences, persons who are held responsible shall be investigated for criminal responsibility according to law.

Article 94 Where the employing unit illegally recruits minors under the age of 16, the administrative department of labour shall order it to make corrections, and impose a fine thereon. If the circumstances are serious, the administrative department for industry and commerce shall revoke its business license.

Article 95 Where the employing unit, in violation of the provisions of this Law on the protection of female staff and workers and juvenile workers, infringes upon their legitimate rights and interests, the administrative department of labour shall order it to make corrections, and impose a fine thereon. Where any harm has been done to female staff and workers and juvenile workers, the unit shall be liable for compensation.

Article 96 Where the employing unit commits one of the following acts, persons who are held responsible shall be punished by the public security organ with a detention of 15 days or less, or a fine, or a warning; where the case constitutes a crime, persons who are held responsible shall be investigated for criminal responsibility according to law:

(1) Compelling labourers to work by means of violence, intimidation or illegal restriction of personal freedom; or

(2) Humiliating, imposing corporal punishment upon, beating, illegally searching, or detaining labourers.

Article 97 Where an invalid contract concluded for reasons of the employing unit has caused damage to labourers, the employing unit shall be liable for compensation.

Article 98 Where the employing unit, in violation of the conditions specified in this Law, cancels labour contracts or intentionally delays the conclusion of labour contracts, the administrative department of labour shall order it to make corrections; where any damage has been caused to labourers, the employing unit shall be liable for compensation according to law.

Article 99 Where an employing unit recruits labourers whose labour contracts have not yet been cancelled, thus causing economic losses to the former employing unit of such labourers, the employing unit shall assume joint liabilities for compensation according to law.

Article 100 Where the employing unit fails to pay social insurance premiums without reason, the administrative department of labour shall order it to pay within a fixed period. Where the unit still fails to make the payment at the expiration of the time limit, an overdue fine may be demanded.

Article 101 Where the employing unit unjustifiably obstructs the administrative department of labour and other relevant departments as well as their functionaries from exercising the powers of supervision and inspection or retaliates against informers, the administrative department of labour or other relevant departments shall impose a fine upon the unit. Where the case constitutes a crime, persons who are held responsible shall be investigated for criminal responsibility according to law.

Article 102 Where labourers cancel labour contracts in violation of the conditions specified in this Law or violate terms on secret-keeping matters agreed upon in the labour contracts, thus causing economic losses to the employing unit, such labourers shall be liable for compensation in accordance with the law.

Article 103 Where functionaries of the administrative department of labour or other relevant departments abuse their functions and powers, neglect their duties, and engage in malpractices for selfish ends, where the case constitutes a crime, they shall be investigated for criminal responsibility according to law; if the case does not constitute a crime, they shall be given administrative sanctions.

Article 104 Where functionaries of the State or personnel of the agencies in charge of social insurance funds misappropriate the social insurance funds, where the case constitutes a crime, they shall be investigated for criminal responsibility according to law.

Article 105 With respect to infringement of the legitimate rights and interests of labourers committed in violation of the provisions of this Law, where punishments are provided by other laws or administrative rules and regulations, the provisions thereon in such laws or administrative rules and regulations shall apply.

Chapter XIII

Supplementary Provisions

Article 106 People's governments of provinces, autonomous regions or municipalities directly under the Central Government shall, according to this Law and in light of their local conditions, work out the implementing measures for the system of labour contract and report them to the State Council for the record.

Article 107 This Law shall go into effect as of January 1, 1995.

The English translation is for reference only and if there is any discrepancy, the Chinese version shall prevail.