Temporary Measures on Management of Overseas Labor Service
Under Contract Project With Foreign Countries

Chapter I General Principles
Article 1 These measures are worked out according to related management regulations for overseas labor service cooperation with foreign countries in the light of characteristic of overseas labor service under the contract project for the purposes of improving the management of overseas labor service under the contract project with foreign countries, safeguarding conscientiously legal rights and interests of the persons sent abroad for labor service under the contract project with foreign countries, promoting healthy and orderly development of contracted project with foreign countries.

Article 2 “Overseas labor service under the contract project with foreign countries” in terms of these measures means the economic activities that the enterprises having business qualification of contracted project with foreign countries. (“related enterprises” in short below) send all kinds of persons for labor service to their contract projects signed and conducted abroad (including subcontract project). All kinds of persons for labor service are in the employ of related enterprises instead of foreign employers.

Article 3 Overseas labor service under the contract project with foreign countries is the component part of contract project business with foreign countries. In order to support the development of contract project business with foreign countries, the state allows related enterprises to send all kinds of persons for labor service to their contract project undertaken abroad. But related works should be carried out according to relate regulations for management of labor service cooperation with foreign countries.

Chapter II Enterprises’ Duty or Obligation
Article 4 Overseas labor service under contract project with foreign countries should be conducted by general contractor itself or the general contractor subcontracts some projects of contract projects together with the whole part of overseas labor service under its projects to a subcontractor that has business qualification of overseas contract project with foreign countries by signing a subcontract.

Article 5 General contractor should not subcontract or sublet overseas labor service under the project to others. Subcontractor should not give the project undertaken by them and overseas labor service under the project to others by sub-subcontract or sub-sublet

Article 6 General contractor or subcontractor should sign the Contract of Labor Service Sending and Employment directly with the persons sent abroad for labor service, must not entrust any intermediary or individuals to recruit persons for overseas labor service.

Article 7 General contractor and subcontractor should make clear their own duties or obligations in accordance with the subcontract signed by the two parts. Subcontractor should accept the general contractor’s corresponding management of overseas labor service under their contract project. General contractor should be responsible for the management of overseas labor service under the whole project.

Article 8 Both general contractor and subcontractor should implement rules on reserve funds for overseas labor service with foreign countries according to Temporary Measures on Reserve Funds For Overseas Labor Service with Foreign Countries (Decree No. 7, 2001 of Ministry of Foreign Trade and Economic Cooperation and Ministry of Finance) and Decision About Revising Temporary Measures on Reserve Funds for Overseas Labor Service with Foreign Countries (Decree No. 2, 2003 of Ministry of Commerce and Ministry of Finance).

Article 9 General contractor and subcontractor should sign Contract for Labor Service Sending and Employment before the persons for labor service leave the country to the project spot. The signed contract should accord with relative provisions of Circular of Ministry of Foreign Trade and Economic Cooperation about Distributing Content of Main Articles of Contract of Labor Service Export (No. 105 [1996] of Cooperation Department of MOFTEC and ensure the level of the wages of the persons for overseas labor service no less than the level of the persons doing the same work in the project area in order to safeguard and ensure conscientiously the legal rights and interests of the persons for labor service.

Article 10 General contractor and subcontractor should fully introduce to the persons for overseas labor service related information about the country (region) where they will be sent and the project, living and work conditions and wages in detail according to the facts, and teach them to abide by laws and regulations of the county where the project is undertaken, should not take any improper ways to sharpen contradictions.

Article 11 During the execution of the project, general contractor and subcontractor should treat carefully, reply in time and handle properly the problems and reasonable requests reported and put forwarded by the persons for overseas labor service.

Chapter III Project Examination
Article 12 When related enterprises make application for tender submitting (negotiation) permit of contracted project with foreign countries for bring persons for labor service themselves, except for submitting related materials to Ministry of Commerce in accordance the requirements of corresponding current documents, they should submit following materials:
1. Item Form of Overseas Labor Service Under Contract Project With Foreign Countries (see Appendix). If the general contractor subcontracts some projects of contract project together with the whole business of overseas labor service under the project, it should submit the subcontract and Item Form of Overseas Labor Service Under Contract Project With Foreign Countries filled in by subcontractor.
2. Clear-cut comments on overseas labor service under the project made by our economic and commercial organs of Embassy (consulate) abroad.
Chapter IV Settlement of Labor Service Dispute

Article 13 Competent commercial administrations of all provinces, all economic and commercial organs of embassy (consulate) abroad and all related enterprises should attach great importance to the dispute and unexpected incident of labor service under contract project with foreign countries, establish as soon as possible quick reaction mechanism for the dispute and unexpected incident of labor service under the contract project with foreign countries in order to handle the problems properly in time so as to safeguard the legal rights and interests of the persons sent abroad for labor service, avoid foreign-related incidents harmful to our reputation or giving rise to diplomatic dispute.

Article 14 All competent commercial administrations should improve conscientiously the management and guidance to related enterprises, supervise and urge related enterprises to establish responsibility ascertain rules. The legal representative of all enterprises are responsible for overseas labor service under contract project with foreign countries.

Article 15 All economic and commercial organs of embassy (consulate) abroad should appoint special persons to accept and handle the dispute or unexpected incident of labor service.

Article 16 When labor service dispute or unexpected accident happens, all related enterprises should not restrict by any means the persons for labor service to report to the economic and commercial organs of embassy (consulate) in the area where they are.

Article 17 While handling the dispute and unexpected incident of labor service under contract project with foreign countries, all corresponding organs may conduct division and treatment procedure according to Circular of Ministry of Commerce About Handling the Dispute of or Unexpected Incident of Overseas Labor Service (249, 2003 of Cooperation Department of Ministry of Commerce).

Chapter V Punitive Provisions
Article 18 Ministry of Commerce will give punishment in light of circumstances according to corresponding regulations.

Chapter VI Others
Article 19 The interpretation of these Measures is vested in Ministry of Commerce.

Article 20 These measures will go into effect after 30 days as of the date of publication
November, 2005