ABSTRACT
In this chapter the author first reviews recent developments in the management of human resources in the People’s Republic of China. The debate on the greater use of market mechanisms is discussed. He then traces the impact of the latest reforms of the Chinese labour-management system in the state owned enterprises mostly in the north-east (Dongbei). The introduction of a new system of labour contracts, wage and social insurance reforms are examined and data from a recent field investigation is reported. The author concludes that the pilot enterprises play a critical role in the economies of the cities of the north-east, which constitute the industrial heartland of China. The official goal is to extend these reforms to all firms in the state sector. Nonetheless, caution should be exercised in extrapolating too much from these experiments: in the PRC, there is frequently a gap between intent and practice.
