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Wal-Mart signs collective labor contract

(Xinhua)
Updated: 2008-07-15 10:30

Employees of a Wal-Mart outlet in northeast China signed a collective contract with the retailing giant late Monday night, the first among Wal-Mart's 100-odd stores across China.

After talks lasting more than five hours, the Wal-Mart outlet in Shenyang, capital of Liaoning Province, agreed on a proposal by its trade union to raise employees' salary by an annual rate of 8 percent in 2008 and 2009, according to the city's trade union.

Other agreements included the standard of minimum salary, paid vacation, social security treatment and payment for overworking.

The proposal was raised by the trade union of Wal-Mart Shenyang on May 28 according to Chinese law, and Wal-Mart agreed to launch negotiations on July 4 after being authorized by its headquarters.

Ju Xiuli, chairman of Shenyang City Trade Union, praised the contract, saying it reflected Wal-Mart's commitment in fulfilling social responsibilities and its sincerity while implementing China's law of labor and contract.