Guangzhou City, Urgent Circular on Strengthening the Administration of Mass Layoffs by Employers

Issued: December 14 2007

Applicability: This Circular shall apply to enterprises, family proprietorships, private non-enterprise work units, state authorities, public institutions and social organizations under Guangzhou city or under a level below the city (hereinafter collectively referred to as "Employers") that terminate or end employment contracts or terminate actual employment relationships (Terminate Employment Relationships) under guises such as dismissal, proposing resignation by the workers, changing the entity that acts as employer (including a change into a temp agency or labour contractor), or amending its employment contracts, in each case in order to carry out mass layoffs, regardless of whether the relevant workers are re-employed after such a layoff, or the relevant workers are used again by the same work unit after a different Employer enters into employment contracts with them (Article 1).

Main Contents: A mass layoff by an Employer must satisfy at least one of the following statutory conditions: