fy"> within society (CLB, 2007). Consequently, as mentioned above, collective contracts do little more than reflect current labor legislation and for the most do not include any additional provision which might increase labor costs. Clarke (2004) refers to collective contracts as a self-regulatory collective institutional mechanism to secure harmonious labor relations < span align = "justify">. The ACFTU s perception of collective contracts and agreements is in a similar fashion:
Practice has shown that under the conditions of developing a socialist market economy in China, implementing the system of collective consultation and collective contract has played a very important role in protecting workers 'legitimate rights and interests, establishing harmonious and stable labor relations and promoting economic growth. at first one might question the significance of collective contracts for workers as they limit their scope to legislation, in a country where labor laws are often ignored to the benefit of management this can be an institution which improves working conditions for employees covered by collective contracts, assuming unions then actually control the implementation. Wage negotiations, a central point in advanced economies, only play a limited role, but as Chinese industrial relations are in the making, this might be too much to ask for at the current transformation phase.new Employment Contract Law of January 1st, 2008 can be seen as a commitment by the government for further development of collective contracts. Revisions and additions to the old law outline that labor unions shall assist and guide workers in the conclusion of employment contracts with their employer and the performance thereof in accordance with the law, and establish a collective bargaining mechanism with the employer in order to safeguard the lawful rights and interests of workers (Article 6). Article 53 even gives provisions for industry and area wide collective contracts quite in contrast to the usual enterprise level based system in place. The new law improves the legal status of workers, but for the most it excludes provisions regarding collective bargaining and yet needs to prove its effectiveness.wage bargaining is still premature, but since the 1990s there has been experimentation (Howell, 2003). According to the ACFTU, with painstaking promotion and positive participation by trade unions at various levels in China, by the end of 2006, 305,000 special collective wage contracts had been signed across the country, with 526,000 enterprises and 37.15 million workers involved; and 23,900 special regional and industrial collective wage contracts were signed, with 281,000 enterprises and 11.138 million work...