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Industrial Relations Experiments in China: Balancing Equity and Efficiency the Chinese Way

38 Pages Posted: 21 May 2008  

Michael H. Belzer

Department of Economics, Wayne State University

Pan Shih Wei

Chinese Culture University

Yu Nan

Jilin University-Lambton College (JULC) - Business

Date Written: 2008

Abstract

While the Chinese liberalized their economy and created a brand new labor market scarcely fifteen years ago, they have relied on their pre-existing institutions, including government-affiliated trade unions, to provide a structure for labor-management relations. As industrial conflict has risen along with privatization and increasingly competitive markets, the Chinese government seems to have come to recognize the importance of transforming their old industrial relations system to adapt to these market changes. This transformation requires abandoning the transmission-belt model that dates back to the days of the planned economy, which primarily advanced the Communist Party's program, but at the same time most of the evidence suggests that worker-interest representation remains a joint function of the Party and institutions cooperating with it. Recent changes in both law and practice provide evidence of their serious interest in creating an industrial relations system, while attempting to avoid the risk of social and political destabilization, but direct social and institutional change in China requires careful testing to determine both the efficacy of new approaches and to see whether it endangers the social and political stability that the government wants.

Suggested Citation

Belzer, Michael H. and Wei, Pan Shih and Nan, Yu, Industrial Relations Experiments in China: Balancing Equity and Efficiency the Chinese Way (2008). 2008 Industry Studies Conference Paper. Available at SSRN: https://ssrn.com/abstract=1135082 or http://dx.doi.org/10.2139/ssrn.1135082

Michael H. Belzer (Contact Author)

Department of Economics, Wayne State University ( email )

656 W. Kirby
Detroit, MI 48202
United States
(313) 577-334 (Phone)
(313) 577-0149 (Fax)

HOME PAGE: http://www.clas.wayne.edu/unit-faculty-detail.asp?FacultyID=595

Pan Shih Wei

Chinese Culture University ( email )

Yaipei, 111
Taiwan

Yu Nan

Jilin University-Lambton College (JULC) - Business ( email )

Changchun, 130012
China

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