Labor Legal System Risks And Prevention During Chinese Companies Acquiring Overseas Companies

Driven by companies' internal development and micro economic environment,overseas acquisition of Chinese enterprises have splashed water in recent years.The trade volume overseas acquisition of Chinese enterprises in 2016 increased three times compared to 2015,reaching 2.34 trillion U.S.Dollars.The overseas merger and acquisition is occurring among more and more industries and fields,ranging from German industrial robot manufacturer,mobile phone game developer and aircraft rental company from Finland,to the UK blood plasma product manufacturer and the Italian Inter Milan Football Club.The paper elaborates the most neglected,but the far-reaching core legal issues in labor-related legal system,taking trade union law,labor contract law,employment law and remuneration and welfare law as core,and analyzing three typical cases in China companies' overseas merger and acquisition,namely SAIC acquisition of Ssangyong Motor,TCL European merger and acquisition,Geely Auto acquisition Volvo.It illustrates the risk of labor legal system in the fields of trade union law,labor contract law,employment law and salary welfare law encountered in overseas mergers and acquisitions,and compares the pros and cons of labor related legal system in different countries through international investigation of relevant laws.On the basis of this,the thesis systematically puts forward the related measures,regarding of overseas merger and acquisition of Chinese enterprises,as well as providing some lessons which can be taken in practice.