This work explores the Chinese Labour Law, tracing its regulatory sources and comparing it with German Labour Law, including key clauses. It examines the development of Chinese Labour Law, its significant milestones, and similarities to the Romanist Tradition of German law, particularly regarding unions and their impact on management policies. The current state of the Chinese corporate environment and its relationship with Labour Law is analyzed through three case studies, highlighting enforcement levels and frequent violations in joint ventures with foreign partners from both Asia and the West. Additionally, the thesis addresses the Labour Law systems in Taiwan and Hong Kong, providing an overview of their core elements and future prospects amid increasing influence from mainland China. A significant focus is on the New Chinese Labour Law of 2007, set to take effect on January 1, 2008, evaluating its developments, core improvements, and anticipated changes. The work also discusses workforce reactions in China and responses from multinationals, capturing the associated fears and hopes. Finally, it offers recommendations for German and Western companies on navigating labour law issues when entering this dynamic market, emphasizing key regulatory aspects for successful business establishment in the People’s Republic of China.
