The labour disputes of Chinese posted workers in the B&R countries

Abstract

Purpose

This study aims to decrypt the efforts made by Chinese people's courts nationwide to protect the rights of Chinese posted workers in the Belt & Road (B&R) countries by investigating labour litigation cases with an extraterritorial application of Chinese labour law (under the “doctrine of overriding mandatory labour rules”).

Design/methodology/approach

This study collected all labour litigation from 2014 to 2018 brought forward by Chinese posted workers in Chinese courts against Chinese enterprises regarding the performance of employment contracts in the B&R countries where Chinese labour laws were mandatorily applied under the doctrine of overriding mandatory labour rules. The study adopted a qualitive research approach to analyse the compiled cases to explore their characteristics and effects.

Findings

This study found that the volume of labour disputes in the B&R countries had a somewhat positive correlation to the amount of investment from China. However, this correlation was rather superficial when compared with the correlation to the type of industrial sector (e.g. the construction sector) and to the claim category (e.g. remuneration claims). Moreover, labour disputes in both the B&R countries and China shared a great deal of similarity with regard to their concentration in certain sectors and in certain types of claims. Therefore, mandatorily applying Chinese labour law could be convenient for Chinese workers returning from abroad who seek remedies and could allow Chinese judges to issue affirmative decisions regardless of the territory in which the worker was posted.

Research limitations/implications

The cases collected by this study were limited to those filed in China by Chinese workers who were hired by Chinese enterprises and sent to work in the B&R countries and did not include those filed in the B&R countries by Chinese posted workers. Future research should therefore attempt to gather a broader range of labour disputes to further clarify the issues and need for labour protection for Chinese posted workers in the B&R countries.

Practical implications

This study argues that the doctrine of overriding mandatory labour rules is not entirely unproblematic because it might arbitrarily rule out the standards set by foreign labour legislation that could be more favourable to workers or offer them greater protection. Therefore, giving judges a certain degree of discretion is imperative to allow them to apply foreign labour standards when they have been proven to benefit workers.

Originality/value

Apart from a handful of reports on individual cases, there have been very few empirical studies regarding the general picture of labour protection for Chinese posted workers in the B&R countries. This study has adopted a novel approach to collect information on labour disputes in the B&R countries and to facilitate a qualitative analysis to test the practical implications of the doctrine of overriding mandatory labour rules.

Citation

Yan, D. and Wu, Y. (2021), "The labour disputes of Chinese posted workers in the B&R countries", Employee Relations, Vol. 43 No. 1, pp. 209-225. https://doi.org/10.1108/ER-02-2020-0047