Two Sessions: Political Advisor Calls for Abolition of ‘Labor-Dispatch’ System in China
Listen to the full version
A prominent Chinese political advisor has proposed scrapping the country’s widely used “labor-dispatch” system, signaling growing concern over an employment practice critics say has eroded worker protections in the world’s second-largest economy.
Zhou Shihong, a member of the Chinese People’s Political Consultative Conference (CPPCC) and executive partner at Grandall Law Firm, told Caixin during the ongoing legislative session that the dispatch mechanism — originally designed for temporary or auxiliary roles — has been abused. Instead of serving as a stopgap, it has become a standard hiring model that undermines the rights of the broader workforce, Zhou said, recommending its complete removal.
Unlock exclusive discounts with a Caixin group subscription — ideal for teams and organizations.
Subscribe to both Caixin Global and The Wall Street Journal — for the price of one.
- DIGEST HUB
Digest Hub
Back
- Zhou Shihong, a senior Chinese adviser, proposed abolishing China’s “labor-dispatch” system, citing worker exploitation and undermined labor protections.
- Dispatched workers often face lower pay, job insecurity, and discrimination, despite regulations limiting roles and numbers.
- Several provinces have recently strengthened oversight and penalties against abuses, including fake outsourcing and unequal pay practices.
- Grandall Law Firm
- Grandall Law Firm is where Zhou Shihong is an executive partner. Zhou, also a prominent Chinese political advisor, has proposed abolishing the "labor-dispatch" system due to its abuse and negative impact on worker rights in China. He believes this system has undermined fair wages, benefits, and job security for many workers.
- October 2020：
- The Human Resources and Social Security Department of Guangdong province issued guidelines targeting issues such as tax evasion, manipulation of bidding scores using dispatch headcounts, and 'fake outsourcing' to mask dispatch labor.
- December 2023：
- Shanghai authorities mandated that companies failing to adhere to equal pay principles for dispatched staff must rectify disparities or face penalties under labor supervision regulations.
- June 2024：
- Jiangxi province explicitly banned 'fake outsourcing, real dispatching,' warning staffing agencies and companies that disguising labor dispatch as outsourcing would result in orders to correct the practice, fines, or the revocation of business licenses.
- PODCAST
- MOST POPULAR
Sign in with Google
Sign in with Facebook
Sign in with 财新