Observation (CEACR) - adopted 1995, published 82nd ILC session (1995)

Minimum Wage-Fixing Machinery Convention, 1928 (No. 26) - China (Ratification: 1930)

With reference to its previous comments, the Committee notes the information supplied by the Government, and particularly the adoption of the Regulations of 24 November 1993 respecting minimum wages in enterprises, and the discussion at the Conference Committee in 1994 concerning the application of the Convention. The Committee also notes the adoption of the Labour Law on 5 July 1994 and its coming into force on 1 January 1995.

Articles 1 and 3 of the Convention. The Committee notes that the Labour Law provides in section 48 for a minimum wage guarantee system. In accordance with this section, the minimum rates for wages shall be determined by provincial, autonomous, regional and municipal governments under direct central authority. Section 49 of the Law provides for the fixing and adjustment of the minimum rates of wages taking into account the following factors: (i) the average minimum expenditure needed for the subsistence of workers and their dependants; (ii) the average wage level in society; (iii) labour productivity; (iv) the employment situation; and (v) regional differences in the level of economic development. Furthermore, section 6 of the Regulations of 24 November 1993 provides for such levels to be fixed in consultation with the trade union and the association of enterprise managers at the corresponding level. The Committee notes with interest the legal framework established for the fixing of minimum wages under these provisions. It requests the Government to supply information on the minimum wage rates fixed in practice by the various local authorities and on the consultations held. Furthermore, the Committee requests the Government to provide information on the measures adopted by the Labour Administration Department of the State Council under section 25 of the Regulations to ensure that the provisions of the Regulations are given effect by the local authority, including its provisions respecting consultation.

Article 4. The Committee notes with interest that sections 91(3) and 95 of the Law stipulate that the payment of wages which are lower than the local minimum wage is an infringement of the legitimate rights and interests of the workers, punishable by the applicable fines. It requests the Government to indicate the amounts of these fines and the legal provisions prescribing them.

The Committee also notes that the Regulations provide for machinery to guarantee and supervise minimum wages, under which the Labour Administration Department of the people's governments at the various levels are responsible for the inspection and supervision of the application of minimum wages (section 22 of the Regulations) and, in the event of the payment of a wage that is lower than the minimum rate, are responsible for ensuring the payment by the enterprise of the remaining wages owed and the prescribed compensation (section 27).

The Committee requests the Government to provide full information on the manner in which minimum wage rates are applied, including the consultations held, the results of the inspection of their application, the sanctions imposed and cases in which compensation has been paid to workers under section 27 of the Regulations.

Article 5. The Committee requests the Government to provide the available statistics on the number and different categories of workers covered by the Regulations respecting minimum wages.