ABSTRACT
Once largely cut off in the days of Mao from the world's capitalist economy, in the two decades since the 1970s China has outcompeted all of its Asian neighbours in attracting foreign direct investment (FDI), becoming the world's second largest recipient of FDI after the United States. This chapter focuses on how globalization and a deregulated economic situation affect China's 'free' labour market and conditions of work. It examines the Chinese unions' attempts to adjust to the new developments in this 'free' labour market. Under the command economy, the only Chinese trade union, the All China Federation of Trade Unions, like the trade unions in other socialist states, had only a minor bureaucratic role. Harsh labour regimes are beginning to surface even in China's state-owned enterprises, though not yet to the extent of 'bonding' workers in the same way as is possible with migrant workers.
