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Evidence from Labor Law and Enforcement in Post-Reform China

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UNIVERSITY OF CALIFORNIA, SAN DIEGO The Politics of Labor Protection in Authoritarian Systems: Evidence from Labor Law and Enforcement in Post-Reform China A dissertation submitted in partial satisfaction of the requirement for the degree Doctor of Philosophy in Political Science by Christina Chen Committee in Charge: Professor Susan L. Shirk, Chair Professor Stephan M. Haggard Professor Megumi Naoi Professor Barry J. Naughton Professor Samuel L. Popkin 2011 Copyright Christina Chen, 2011 All rights reserved. The Dissertation of Christina Chen is approved, and it is acceptable in quality and form for publication on microfilm or electronically: Chair University of California, San Diego 2011 iii DEDICATION In loving memory of my mother, Sophia Shu-Fang Chen, who has taught me strength and courage and whose boundless love has made me the person I am. iv TABLE OF CONTENTS Signature Page ............................................................................................................. iii Dedication ..................................................................................................................... iv Table of Contents ........................................................................................................... v Abbreviations ............................................................................................................... vii List of Figures ............................................................................................................ viii List of Tables ................................................................................................................ ix Acknowledgements ........................................................................................................ x Vita ............................................................................................................................... xii Abstract ...................................................................................................................... xiii Chapter 1: Introduction .................................................................................................. 1 Chapter 2: Labor Politics in China: Labor Conflicts, Union Development and Policy Outcomes ..................................................................................................................... 13 Chapter 3: The Development of the Chinese Labor Unions ........................................ 41 Chapter 4: The Politics of Labor Legislation: Party Policy and Unions in the Making of the Labor Contract Law……………………………………………………………………………….......79 Chapter 5 : Labor Conflicts and Union Empowerment ............................................. 110 Chapter 6 : The Effects of Labor Union Development: Union Empowerment and Enforcement of Labor Laws and Regulations ........................................................... 133 Chapter 7 : Labor Relations Up-close: Labor Conflicts, Union Empowerment and Regulatory Enforcment in Pearl River Delta and Yangtze River Delta .................... 158 Chapter 8: Conclusion................................................................................................ 199 Appendices ................................................................................................................. 214 v References .................................................................................................................. 218 vi ABBREVIATIONS ACFTU All-China Federation of Trade Unions AFL-CIO American Federation of Labor and Congress of Industrial Organizations CCP Chinese Communist Party FDI Foreign-directed investment FIEs Foreign-invested enterprises GDP Gross domestic product LCL Labor Contract Law LOA State Council Legislative Office MNCs Multinational corporations MOLSS Ministry of Labor and Social Security NGO Non-governmental organizations NPC National People‘s Congress PRD Pearl River Delta SMEs Small and medium enterprises SOE State-owned enterprises YRD Yangtze River Delta vii LIST OF FIGURES Figure 3.1. ACFTU Organizational Structure................................................................... 45 Figure 3.2. Changes in China‘s State-Owned Enterprises, 1980-2003............................. 57 Figure 3.3. Changes in State-Owned Enterprise Employment, 1980-2003 ...................... 58 Figure 3.4. Unemployment in China, 1997-2005 ............................................................. 66 Figure 3.5. Journal Articles on Weiquan in Zhongguo Gongyun (Chinese Workers‘ Movement), 1994-2010..................................................................................................... 72 Figure 7.1. Labor Disputes in PRD and YRD: A Comparison ....................................... 169 Figure 7.2. Collective Disputes in PRD and YRD: A Comparison ................................ 170 Figure 7.3. Union Legal Supervision in PRD and YRD ................................................. 182 Figure 7.4. Enforcement Pattern of PRD and YRD ........................................................ 196 viii LIST OF TABLES Table 3.1 Private Sector Development Since 1993 ..................................................... 58 Table 3.2 Union Density, 1990-2000 ........................................................................... 60 Table 5.1 Labor Disputes in China, 1994-2008 ......................................................... 121 Table 5.2 Collective Labor Disputes in China, 1994-2008 ....................................... 122 Table 5.3 Odds Ratio for Changes in Union Authority, Individual Labor Disputes .................................................................................................................................... 130 Table 5.4 Odds Ratio for Changes in Union Authority, Size of Collective Labor Disputes .................................................................................................................................... 131 Table 6.1 Exponential Coefficients (Odds Ratio) of Changes in Regulatory Enforcement .................................................................................................................................... 154 Table 7.1 Economic Indicators for PRD and YRD, 2003-2007 ................................ 164 ix ACKNOWLEDGEMENTS Although only my name shows on the cover of the dissertation, this project would have never come into fruition without the assistance and support of numerous individuals. I have greatly benefited from the comments and support of my dissertation committee members. My biggest debt is to Susan Shirk, my dissertation advisor. It was Susan who encouraged me to put my research focus on China, and her criticisms and encouragements after many careful readings of my drafts really helped me strive forward. I am also very grateful to Steph Haggard, Megumi Naoi, Barry Naughton and Sam Popkin for serving on my committee and sharing generously their insights, time and expertise at various stages of this project. The moral support I received from my committee members, especially during the final stage of my writing, was invaluable. I was blessed to go through graduate school with a wonderful group of graduate students and friends. My special thanks go to Lindsay Heger, Emily Matthews and Benjamin Tang. Field research in China can be one of the most challenging parts of dissertation research, and I went to China with little knowledge of what lay ahead. Thankfully, field research turned out to be one of the best experiences of this project. Many Chinese labor scholars, legal experts, labor activists, journalists and union officials have helped me better understand Chinese labor politics with their knowledge and personal experience. I am also grateful to several individuals whom I have become friends with. x Though they remain anonymous, their assistance was nevertheless precious, so I owe them a special debt of gratitude. Family and friends have been an integral part of my life, and as alone as I sometimes felt when working past midnight, I knew I would never be able to finish this project without them. I thank my church family at SDTPC and Good News Church in Taichung, whose prayers comforted me and reminded me of His presence and love. My father, Kevin, who was never tired of listening to my talks and giving me questions that kept me thinking; my uncles, who shared their knowledge about China; my cousin, Sky, and my sister, Pauline, for reading my drafts and giving me feedback; and David, for being supportive in various ways. And I thank God for all the blessings He has given me. All errors and omissions are my own. xi VITA 2002 Bachelor of Arts, University of California, Berkeley 2005 Master of International Pacific Affairs, University of California, San Diego 2005-2007 Research Assistant, University of California, San Diego 2005-2011 Teaching Assistant, Department of Political Science, University of California, San Diego 2011 Doctor of Philosophy, University of California, San Diego xii ABSTRACT OF THE DISSERTATION The Politics of Labor Protection in Authoritarian Systems: Evidence from Labor Law and Enforcement in Post-Reform China By Christina Chen Doctor of Philosophy in Political Science University of California, San Diego, 2011 Professor Susan L. Shirk, Chair This dissertation seeks to shed light on labor politics in authoritarian settings by examining the ways in which labor conflicts and unions affected the making and implementation of labor policy in post-reform China. Western observers would argue that the absence of trade union independence
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