dc.description.abstract | In early years, foreign-invested corporations in China took advantages of low-cost Chinese labor and lands to manufacture goods for export. As China’s demand for internal market rose, young workers, especially those born after 1990’s, became un-accepting to the ‘robotic’ management style in the manufacturing environment, and were unwilling to work as manual labor in the factories. In early years, most Taiwanese-invested corporations were not aware of the risks of labor disputes, as they lacked the ability to distinguish, evaluate, and control labor disputes from day-to-day management processes. However, China’s ‘Labor Contract Law’ implemented on January 1st, 2008 not only protected the workers, but also intended to eliminate unhealthy and low-end corporations through higher operating costs.
China has entered the era of increasing costs of labor, currency, lands, environmental protection and intellectual property rights. While companies enjoyed years of low-cost manufacturing, once the ‘export processing’ operating model gradually became re-structured, corporations faced unprecedented challenges. How Taiwanese-invested corporations took challenges and re-evaluated their position closely mattered to their long-term strategies. As Taiwanese-invested corporations in China face all types of challenges, this research is based on the current situations which Taiwanese-invested corporations are in, including labor wages, work time, rest time, labor safety and sanitation, compensation and salary.
The author of this research provided her own experiences of managing the following issues while working in the Taiwanese-invested companies in China: establishing new company rules and regulations, setting up labor union, recruiting, managing labor contracts, implementing compensations…etc. and it can be used as management references for Taiwanese-invested corporations in China. As the competitive environment in China has gotten more severe, labor disputes have become one of the major hidden costs that happen in the Taiwanese manufacturing operations and environment. This research analyzes recent labor dispute cases, including contract termination, probationary wages, child labor employment, non-application of social insurance, termination due to violations of rules and regulations, traffic accidents while commute, medical history fraud, company training, overtime wages calculation, non-fixed term labor contract demanded by foreign employees…etc. This research discussed relevant risks of Chinese labor, through Chinese laws and regulations to advise Taiwanese-invested corporations to lower risks, and to make correlating spreadsheet. It focuses on categorizing the reward and punishment system for corporation to execute, thus promote good labor relations. | en_US |