On The Legal Protection Of The Labor Rights In The Corporate M&A

Labor is the most basic elements of human survival, workers rely on labor to obtain the necessities of life, to maintain the basic personal and family survival and development, the protection of labor rights have a wide coverage and deep influence. While the personal labor and workers are inseparable is the specialization of labor rights protection. Therefore, the protection of labor rights, both from an economic development point of view, or social stability and harmony, stability of the state’s point of view, are of great significance.From the global economic situations, mergers and acquisitions have become a surging trend, Merger and acquisition of enterprises which conducive to economic efficiency can enhance the competitiveness of enterprises, adjust industrial structure and promote local economic development. In the process of merger and acquisition of enterprises, laborers are easily be neglected and precisely suffer the hardest hit caused by M&A. They can’t obtain satisfaction of social reality and have made a negative assessment of cognition. The right of labor has been infringed repeatedly in the process of M&A and even the right of existence has been disfranchised. As a result, lots of laborers own a high degree of social tension due to extremely lack of security in the enterprises. Disenfranchisement of the right of labor leads to social distrust and a sense of social injustice. Disappointment and even angry intensify the conflicts of interests between employers and employees, and also deepen emotional confrontation between the rich and the poor. If the problems of Protection of right of labor are not resolved well> not only the laborers but also the employers and the shareholders will become victims. The results of industrial conflicts will lead to excesses of violence of the laborers, meanwhile, the results will affect the social order and political stability, undermine People’s stability and unity, give opportunities to those who carry ill intentions to sow discord and ultimately harm the country and the people. Issues of right of labor relate to social stability, the state transition and sustainable economic development.The legislation in many countries abroad not only focus on the protection of right of labor on M&A, but also make it as a prerequisite for approval of M&A. Laborers who remain in the enterprises the right of labor is also infringed. Whether laborers are dismissed or not, the rights of labor are both likely to be infringed and the remedy has different emphases. The protection of laborers’ right of labor on M&A has a significant relationship with the unity and social stability, but in the reality of society, especially in the process of M&A, laborers’ right of labor throughout lack of effective safeguard. Infringement of the right of labor due to employers’ chase of profits maximization and the negligence of laborers’ legal rights. Labor employment legislation is not complete in our country, and the power between laborers and employers is seriously imbalanced. The pursuit of performance and introduction of foreign capital cause local governments’ indulgence of illegal acts of employers.The construction of harmonious industrial relations needs correct ideals as guide, such as laborers-oriented, fairness and justice, community of interests of laborers and employers, obligations and responsibilities, etc. Through the legislation and public policies enterprises will take the obligation of protecting the right of labor. Establish a series specific system which can from harmonious industrial relations, such as dismissal protection for laborers, laborers’ participation on enterprises’ management, vocational training of laborers, economic compensation of laborers, supporting of small and medium enterprises of creating jobs, etc. These specific systems will make industrial relations co-ordination and balance.