Meaning
National regulations issued by the State Council of the People’s Republic of China establish the framework for labor dispute resolution within enterprises. These rules define the roles of mediation committees and arbitration commissions in handling grievances related to wages and dismissals. It applies to all domestic enterprises and foreign invested entities.
The mandate stops at the boundary of civil litigation.
Dispute Resolution
The mechanism begins with internal mediation before escalating to formal government channels. Under decree 148, an enterprise may establish a labor dispute mediation committee composed of employee representatives and management. If mediation fails or a party refuses to participate, the case moves to a local labor dispute arbitration commission.
This step is a prerequisite for any subsequent court filing.
Commission Structure
Local governments form tripartite bodies to adjudicate these matters and ensure a balance of interests. Each commission governed by decree 148 includes representatives from the labor administrative department and the trade union. This structure provides a specialized forum that is distinct from the civil court system.
Decisions reached here carry the weight of an administrative order.
Timeline Constraint
Strict deadlines apply to the submission of claims to prevent the accumulation of stale grievances. A party must file an application with the commission within thirty days of the dispute arising or the failure of mediation. Decree 148 specifies that the commission should conclude its investigation and issue a ruling within sixty days.
Extensions are only granted for complex cases involving large numbers of workers or difficult evidentiary issues. This time limit ensures that labor relations do not remain in a state of uncertainty for extended periods.
