On Sat, 5 Jan 2008, Steven L. Robinson quoted an AFP article that said:
> On the face of it, the Labor Law and Income Tax Law, which both began at the
> start of the year, would seem to entail sharp increases in the cost of doing
> business in China.
>
> For one, the Labor Law gives Chinese workers the right to generous severance
> packages once they have stayed with a company for more than 10 years.
>
> But that is little consolation for the worst-off members of the labour
> force -- unskilled or semi-skilled workers in fields such as construction
> and basic services, where contracts rarely last more than two years.
Is this right? Because the FT article on the same law said that it was either 10 years or 2 contracts. In which case people with short contracts would actually be covered by the severance provisions even sooner.
This of course leaves to one side entirely the question of compliance and enforcement. I'm just wondering about the provisions of the law itself.
Michael