Chapter II Mediation

Article 10 Where a labor dispute arises, the parties may apply for mediation to the following mediation institutions:

(1) labor-dispute mediation commissions of enterprises;

(2) people's mediation institutions at the grass-roots level established in accordance with law; and

(3) organizations with the function of labor-dispute mediation established in towns, townships or neighborhoods.

The labor-dispute mediation commission of an enterprise shall be composed of representatives of employees and of the enterprise. The representatives of employees shall be trade union members or be chosen by all employees, and the representatives of the enterprise shall be designated by the leading person of the enterprise. The director of the labor-dispute mediation commission of the enterprise shall be a trade union member or a person chosen by both parties.

Article 11 The mediators of labor-dispute mediation institutions shall be adult citizens who are fair-minded and upright, maintain ties with people, are devoted to mediation, are familiar with certain laws and policies, and are well-educated.

Article 12 The parties that apply for mediation of a labor dispute may do so in writing or orally. Where an application is made orally, the mediation institution shall, on the spot, note down the basic background of the applicant, the matters under dispute, the reasons for mediation and the time of application.

Article 13 When mediating labor disputes, the mediator shall pay full heed to the facts and reasons stated by both parties, persuade them with patience and help them reach an agreement.

Article 14 Where an agreement is reached after mediation, a mediation agreement shall be prepared.

The mediation agreement shall be signed or sealed by both parties, and be signed by the mediator and sealed by the mediation institution to take effect. It shall be binding on both parties and be performed by them.

Where no mediation agreement is reached within 15 days from the date the labor-dispute mediation institution receives the application for mediation, the parties may apply for arbitration in accordance with law.

Article 15 Where, after the mediation agreement is reached, one of the parties fail to perform the agreement within the time limit prescribed in the agreement, the other party may apply for arbitration in accordance with law.

Article 16 Where a mediation agreement is reached on the payment of labor remuneration, medical expenses for job-related injury, economic compensation or damages in arrears and the employing unit fails to perform the agreement within the time limit prescribed in the agreement, the worker concerned may, on the strength of the mediation agreement, apply to a people's court for a payment order in accordance with law. The people's court shall issue the payment order in accordance with law.