Be aware of new rules on labor dispatching through FESCO / CIIC


Labor dispatching is widely used by foreign invested enterprises in China (e.g. WFOEs) and refers to an arrangement where an employee is dispatched through a staffing agency, such as FESCO or CIIC. On 1 July 2013, an Amendment to the Labor Contract Law was implemented as to  increase protection of dispatched workers and to improve the administration of the staffing agencies. We expect the Amendment to have a considerable effect on all foreign invested enterprises and dispatched workers who have entered into such arrangements.

In this China Law Special, Limeng Yang and Kristie Tien discuss the Amendment and its expected effect in practice. Moreover, they will provide advice on how to implement an appropriate HR policy in response to the legislative changes.

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