China pushes contracts, pay reforms for gig workers

China has introduced a landmark, high-level policy framework designed to enhance regulatory oversight and support services for the rapidly expanding cohort of workers in new internet platform-linked business models, a group that includes food delivery riders, online livestreamers and other gig economy employees.

The policy document, released jointly by the General Office of the Communist Party of China Central Committee and the State Council, China’s top executive body, sets clear, time-bound targets to standardize employment practices, upgrade working conditions and strengthen legal protections for this growing new employment group by 2027.

According to the roadmap laid out in the guideline, over the next three to five years, China aims to build a more resilient management and service system for platform-based workers, foster more harmonious labor relations, and deliver more substantial progress across all areas of the sector’s sustainable development.

To meet these ambitious goals, the policy urges internet platform operators, courier service providers and other relevant enterprises to overhaul their internal labor management frameworks. It specifically calls for broader adoption of formal labor contracts and customized written agreements that align with the unique characteristics of different platform-based industries and meet the practical needs of their workers.

The guideline also emphasizes the core accountability of corporate headquarters in ensuring that affiliated partners, franchisees and local branch operations fulfill their legal and ethical obligations to workers. This includes requirements to crack down on uncivilized workplace conduct, as well as mandates to upgrade workplace safety management systems to protect on-the-job safety and occupational health for all employees.

A key focus of the new policy is strengthening safeguards for workers’ legal rights and interests. The document requires firms to set remuneration levels in direct proportion to workers’ actual workload and labor intensity, and guarantees full, on-time wage payments. It also pushes for the establishment of accessible internal channels for workers to voice concerns, improvements to labor dispute resolution mechanisms, and the fair handling of worker complaints and appeals.

In addition, the policy encourages internet platforms to meet their social responsibilities by adjusting their algorithm management practices and increasing operational transparency. It requires platforms to optimize and revise algorithmic rules for work allocation after incorporating input from trade unions and elected representatives of platform-based workers.