In recent years, as industrial structures have accelerated their transformation and forms of employment have continued to innovate, new situations and new problems in the field of labor relations have kept emerging. Labor disputes have taken on characteristics such as diverse types, compound claims, high correlation between cases, involvement of multiple parties, and high demands for enforcement, posing new challenges and new requirements for judicial adjudication and enforcement work affecting people¡¯s livelihoods.

To actively implement the CPC Central Committee¡¯s directives on safeguarding and improving people¡¯s wellbeing and strengthening the protection of workers¡¯ rights and interests, effectively serve the national employment-first strategy, build harmonious labor relations, and continuously optimize the law-based business environment, the Shanghai Jiading District People¡¯s Court (hereinafter ¡°Jiading Court¡±) held a press conference on April 30 to release the White Paper on Labor Disputes (Adjudication) and the White Paper on Labor Disputes (Enforcement) and present the Typical Judicial Cases on Labor Disputes (Adjudication) and the Typical Judicial Cases on Labor Disputes (Enforcement).

Zhang Guodong, Vice President of the Jiading Court, Huang Hui, Chief Judge of the Enforcement Disputes Division of the Jiading Court, and Xie Lei, Deputy Section Chief of the Second Enforcement Section of the Enforcement Department of the Jiading Court, attended the press conference and answered questions from reporters. Deputies to the Shanghai Municipal People¡¯s Congress, members of the Shanghai Municipal Committee of the Chinese People¡¯s Political Consultative Conference (CPPCC), deputies to the Jiading District People¡¯s Congress, and representatives from the press were invited to attend the event. The press conference was moderated by Yang Yingfei, Director of the Political Department and spokesperson of the Jiading Court.

Labor Disputes Adjudicated: Overview

The White Paper on Labor Disputes (Adjudication) shows that from 2023 to 2025, alongside the deep advancement of regional economic development and industrial transformation, the Jiading Court saw a steady increase in the number of labor dispute cases accepted. In 2023, 951 cases were accepted; in 2024, 1,331 cases were accepted (a 40% year-on-year increase); and in 2025, 1,829 cases were accepted (a 37.40% year-on-year increase). The number of cases accepted in 2025 was nearly twice that of 2023. The number of cases concluded in 2025 increased by more than 70% compared with 2023.

In terms of cause of action, over the three years, labor contract disputes remained the primary cause of action, accounting for 56.40% to 63.60% of the total. Disputes over confirmation of labor relations increased from 12.90% to 17.40%, while those over recovery of labor remuneration decreased from 7.4% to 5.90%. The number of disputes over economic compensation (damages) remained low.

In terms of case outcomes, the proportion of cases resolved by judgment remained between 55.70% and 66.50%, increasing from 530 to 1,068 over the three years. The mediation-withdrawal rate fluctuated from 32.5% in 2023 to 24.10% in 2025. The foundational role of rigid adjudication in settling disputes has continued to be strengthened, and more refined and specialized dispute resolution mechanisms are needed.

Dispute Hotspots Identified

to Highlight Challenges in Labor Dispute Adjudication

The White Paper on Labor Disputes (Adjudication) summarizes that the difficulties and hotspots in the adjudication of labor dispute cases are primarily reflected in the following three aspects:

1. The complexity of establishing labor relations is increasingly prominent. Under new forms of employment, disguised forms of affiliation or cooperation, as well as arrangements where work is performed under the guise of independent contracting, are common. The attribution of subordination in such working relationships has become ambiguous, making it difficult to delineate the boundary between labor relations and other types of civil legal relationships.

2. Disputes arising from the performance of labor contracts run through the entire process and are concentrated in certain types of claims. Non-compliant corporate management practices throughout the employment process¡ªsuch as unlawful termination, job and salary adjustments, overtime pay, and employment involving affiliated or mixed entities¡ªare frequent and can easily trigger mass labor disputes.

3. The handling of disputes over work-related injury insurance benefits presents challenges in the application of law. The circumstances for work injury compensation often overlap in complex ways, relevant legal provisions are scattered across multiple sources, and standards for determining compensation in scenarios involving competing claims are inconsistent, making it difficult to achieve uniform adjudication standards.

Governance Recommendations Proposed

to Foster Harmonious Labor Relations

The White Paper on Labor Disputes (Adjudication), taking a full-process approach encompassing ¡°front-end prevention, mid-stream resolution, and end-stage adjudication,¡± proposes recommendations across three dimensions: standardized employment practices, workers¡¯ rational assertion of rights, and collaborative social governance.

(I) Strengthening principal responsibilities of enterprises to fortify the frontline defense for dispute source control

1. Standardizing full-process employment management to achieve closed-loop compliance in employment practices.

2. Improving internal systems and operating mechanisms to consolidate the foundation for compliance management.

3. Perfecting the labor-management consultation and resolution mechanism to promote on-site resolution of disputes at an early stage.

(II) Guiding workers to assert their rights in accordance with the law and enhancing awareness of the balance between rights and obligations

1. Cultivating a rational concept of rights assertion while rejecting irrational misconceptions.

2. Strengthening the awareness of evidence preservation and documentation to solidify the factual basis for rights protection.

3. Participating in dispute resolution in accordance with laws and regulations to uphold the order of dispute settlement.

(III) Improving the social collaborative governance system to empower the quality and efficiency of labor dispute adjudication

1. Deepening multi-party coordination and the connection between arbitration and litigation to achieve layered filtering of conflicts.

2. Implementing circuit trials and frontline judicial services to extend the reach of judicial functions.

3. Enhancing targeted legal publicity and risk warning to build a source-level prevention system.

4. Optimizing the adjudication mechanism to improve professional quality and efficiency, thereby strengthening the function of judicial protection. 

Enforcement of Labor Dispute Cases

The White Paper on Labor Disputes (Enforcement) shows that from 2023 to 2025, the Jiading Court accepted a total of 3,690 enforcement cases involving labor disputes, representing a 13.87% increase over the three-year period compared to the previous three years. Over the three years, a total of 3,651 labor dispute cases were enforced, with an overall enforcement-conclusion rate of 98.9%. 

Enforcement cases involving labor disputes exhibit the following basic characteristics:

1. Enforcement is primarily based on arbitration awards.

2. Small-claim cases account for a significant proportion.

3. Cases concerning multi-claimant wage arrears have increased year by year.

4. Wage arrears are concentrated in specific industries.

5. Workers have a distinct advantage in providing property leads.

Innovative Enforcement Mechanisms Built

to Help Secure Winning Parties¡¯ Rights and Interests

The White Paper on Labor Disputes (Enforcement) details six innovative measures adopted by the Jiading Court in the enforcement of labor dispute cases:

The first is tapping internal potential. For the first time, the court applied enforcement settlement in non-litigation enforcement proceedings, and explored a grace period for defaulters and credit repair mechanisms. It improved the ¡°prioritized case filing, prioritized enforcement, prioritized release of proceeds¡± mechanism for labor dispute cases and established a dual oversight mechanism integrating ¡°Party affairs and professional business¡± to enhance enforcement efficiency.

The second is strengthening pre-enforcement governance. The court deepened the coordination between arbitration and preservation measures, and between administrative processes and preservation measures. It enhanced pre-enforcement risk screening and promoted model enforcement of multi-claimant labor cases. Through an initial-case model combining ¡°controlling shareholder performance and enterprise survival protection,¡± it provided solutions for similar cases concerning wage arrears.

The third is intensifying enforcement efforts. The court actively pursued hidden assets of asset-light enterprises and built online and offline property investigation and control systems. It conducted regular special enforcement actions targeting wage arrears and strengthened credit penalties and punishments for non-compliance with enforcement orders. One case was selected as a model case in the Supreme People¡¯s Court¡¯s special enforcement action.

The fourth is facilitating procedural coordination. The court systematically advanced the ¡°enforcement-to-bankruptcy¡± referral mechanism to clear out zombie enterprises. It established a dual safety-net mechanism combining judicial assistance and wage arrears protection to maximize protection for workers in difficult circumstances.

The fifth is expanding enforcement coordination. The court promoted cross-enforcement within the judiciary and deepened cooperation with public security, prosecutorial, health and other authorities. It implemented coordinated enforcement mechanisms in the Yangtze River Delta region and the Jiading-Kunshan-Taicang area to enhance cross-regional enforcement synergy.

The sixth is enhancing digital empowerment. The court leveraged digital tools such as intelligent identification, risk alerts, and full-process supervision to achieve intelligent early warning in the management of labor dispute cases, using technology to drive quality and efficiency improvements in enforcement.

Strategic Paths and Measures Taken

to Enhance the Service Effectiveness of Enforcement of Labor Dispute Cases

To further address pain points and bottlenecks in enforcement of labor dispute cases, strengthen judicial protection of prevailing parties¡¯ rights and interests among workers, and continuously improve the quality and efficiency of enforcement work involving labor disputes as well as the level of judicial services, the White Paper on Labor Disputes (Enforcement) proposes the following countermeasures and recommendations:

(1) Refining the adaptation of enforcement rules to solidify the normative foundation for enforcement of labor dispute cases

A. Establishing specialized rules prioritizing the satisfaction of labor claims.

B. Improving supporting mechanisms for asset tracing and accountability.

C. Innovating methods for asset disposition to broaden the scope of rights and interests protection.

(2) Improving the collaborative governance framework to enhance the overall effectiveness of comprehensive governance

A. Strengthening the coordination mechanism between arbitration, adjudication, and enforcement.

B. Enhancing cross-regional and cross-sectoral collaborative operational mechanisms.

C. Improving the translation of case pattern analysis and governance outcomes in labor dispute cases.

(3) Strengthening credit constraint mechanisms to reinforce positive guidance toward compliance and performance

A. Improving the deep integration of credit punishment and credit governance.

B. Establishing scientific and standardized systems for credit reward and credit repair.

(4) Strengthening front-end dispute prevention to facilitate substantive resolution at an early stage

A. Enhancing comprehensive employment compliance guidance and regular legal awareness campaigns.

B. Deepening the development of diversified dispute resolution mechanisms.

Typical Adjudication and Enforcement Cases Released 

to Demonstrate Precedential Value

At the press conference, the Jiading Court released the Typical Judicial Cases on Labor Disputes (Adjudication) and the Typical Judicial Cases on Labor Disputes (Enforcement). These typical cases span multiple key areas, including employment characterization in new forms of work, work injury protection, wage payment, non-competition restrictions, resolution of multi-claimant wage arrears, enforcement of digital assets, and enforcement in good faith and with civility. By illustrating legal principles through concrete cases and promoting governance through case handling, the court guides workers to assert their rights lawfully and in good faith, while urging employers to stick to the baseline of employment and regulate their management practices.

For example, in the case of ¡°Wang X v. Shanghai X Media Co., Ltd. over confirmation of labor relations,¡± the court, applying the standard of subordination review, clarified the rules for determining labor relations for online streamers under new forms of employment, piercing the contractual appearance to find an actual labor relationship, and demonstrating the judiciary¡¯s strong protection of labor rights and interests for workers in new forms of employment.

In the case of ¡°Sun XX v. Shanghai X Automotive Parts Co., Ltd. over a labor contract,¡± the court held that labor contracts cannot be unilaterally terminated for workers exposed to occupational hazards before they complete pre-departure health examinations. Through this ruling, it reinforces employers¡¯ statutory duty to protect workers¡¯ occupational health and demonstrates the judiciary¡¯s robust protection of workers¡¯ occupational health rights and interests.

In the case of ¡°Wang XX v. Shanghai X Network Technology Co., Ltd. over enforcement,¡± the court innovated the enforcement path for digital assets by lawfully seizing and disposing of virtual assets with commercial value, such as WeChat public accounts, effectively solving the difficulty in enforcing wage arrears against asset-light enterprises and truly turning workers¡¯ ¡°rights on paper¡± into ¡°real money.¡±

Comments from Deputies and Committee Members

Chen Dong, Deputy to the Shanghai Municipal People¡¯s Congress, On-board EMU Technician of Shanghai South EMU Maintenance Depot, Shanghai EMU Depot, China Railway Shanghai Group Co., Ltd.

As new forms of employment are booming, new types of labor disputes are emerging frequently, making labor rights protection a major livelihood issue of broad public concern. The white papers and typical cases released by the Jiading Court, which concern the adjudication and enforcement of labor dispute cases, are supported by detailed data and vivid cases and closely aligned with the real needs of the people. Through fair adjudication, the court has clarified the legal boundaries of employment; through efficient enforcement, it has delivered prevailing parties¡¯ rights and interests to workers, effectively protecting their ¡°wallets.¡± It has also taken into account corporate compliance, thereby achieving ¡°dual protection for both employees and employers.¡± We hope that the court will continue to focus on emerging issues in the labor disputes, step up efforts to raise legal awareness, and use judicial power to resolve labor conflicts and safeguard people¡¯s livelihoods.

Hong Liang, Member of the CPPCC Shanghai Municipal Committee, Director of Zhihe Partners

As a legal practitioner, I see the Jiading Court¡¯s release of dual white papers on adjudication and enforcement as a professional and systematic judicial response to regional labor dispute governance. Supported by three years of adjudication and enforcement data, the white papers clearly present the growth trends of cases and the focal points of disputes, providing precise guidance on problems such as employment characterization in new forms of work, non-competition restrictions, and wage arrears enforcement, effectively unifying judicial standards. Through innovative mechanisms such as digital asset enforcement, pre-enforcement governance, and cross-regional coordination, the court has truly cleared the ¡°last mile¡± to workers¡¯ rights and interests. This achievement provides a practical model for legal practitioners handling similar cases and advancing the coordination of arbitration, adjudication, and enforcement, while also being of great significance for optimizing the law-based business environment.

He Yi, Deputy to the Jiading District People¡¯s Congress, Deputy Director of Anting Town Regional Work Office

The press conference focuses on the actual employment situation and corporate employment governance practices in the jurisdiction, with practical content and strong relevance, offering substantial practical guidance. The increase in new forms of employment and the diversification and complication of labor disputes pose challenges to grassroots governance. The Jiading Court, leveraging its functions, has systematically examined case trends, distilled adjudication and enforcement experience, and released typical cases, providing strong legal support for resolving labor disputes at the grassroots level. We hope that the court would continue to deepen government-court coordination and multi-party collaborative governance, strengthen guidance on employment compliance and labor rights protection, promote front-end dispute resolution, jointly solidify the foundation of grassroots governance, and support the steady and orderly development of the regional economy.

Shanghai Jiading District People¡¯s Court: Typical Judicial Cases on Labor Disputes (Adjudication).pdf

Shanghai Jiading District People¡¯s Court: Typical Judicial Cases on Labor Disputes (Enforcement).pdf