China tells companies to put worker reps in boardrooms

New law bolsters employee protections under Xi's 'common prosperity' goal

20240729N China worker

China's new company law is aimed at strengthening protections for workers' rights. © AP

NORIYUKI DOI, Nikkei staff writer

SHANGHAI -- China is requiring big companies to guarantee worker representation in boardrooms as part of President Xi Jinping's push for "common prosperity."

Under China's amended company law, which took effect July 1, limited liability companies that employ 300 or more people must have an employee representative on the board, unless they have a separate supervisory board with employee representation.

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