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The newly approved Labor Contract Law will not undermine the investment environment although it will better protect workers' interests and rights, China's top trade union body said yesterday. Liu Jichen, director of the law department at the All-China Federation of Trade Unions, denied that the law - which goes into force from January 1 next year - is biased toward employees. "It not only protects workers' interests and rights, but also equally protects employers'," he told a press conference. The law, passed on Friday by the Standing Committee of the National People's Congress, the top legislature, had raised concerns that stricter contract requirements could raise business costs and give companies less flexibility to hire and fire employees. Liu, however, said that the law takes into account employers' interests. For example, he said, employers can sign non-competition contracts with workers, with a non-competition period of not more than two years to encourage innovation and ensure fair competition. So an employer can rest assured that an employee does not walk out at the end of the contract period and join a direct competitor. It also softens the terms under which employers can cut staff - if an enterprise switches to other production, adopts a major technological innovation or changes its mode of business. Liu stressed that the law will help create a harmonious labor relationship. "Labor protection is a worldwide trend," he said. "With working conditions improved and rights protected, employees will feel more secure, which leads to a higher productivity." Liu pointed out most labor disputes result from violations of workers' rights. Because of the huge supply of labor force, workers are in a disadvantaged position, he said. Liu said the federation has succeeded in keeping most of the items on protecting workers' rights and interests in the law. For example, the law makes mandatory the use of written contracts and strongly discourages fixed- or short-term contracts. It also stipulates severance be paid if a fixed-term contract expires but is not renewed without an appropriate reason. The law requires all employers to submit proposed workplace rules or changes for discussion to the workers' congress - concerning pay, work allotment, hours, insurance, safety, holidays and training. Employers and trade unions will then jointly decide on workplace agreements. It stipulates trade unions have the right to sign collective contracts with employers on behalf of workers. In a position paper released yesterday, the European Chamber of Commerce in China said it welcomes the law and its aim of improving labor conditions and creating workplace harmony. "A more mature legal environment should be considered as an advantage in attracting foreign investment," the statement said. However, the chamber said the key challenge remains compliance by employers and the enforcement by authorities of the existing laws.

BEIJING, March 12 (Xinhua) -- Financial operations of loan growth in China was steady in February with increasing individual deposits, the People's Bank of China reported on Wednesday.     Outstanding renminbi deposits among the country's financial institutions reached 40.49 trillion yuan (5.70 trillion U.S. dollars) in February, up 17.22 percent in comparison to the same period last year.     The growth was 2.10 percentage points higher than January, the central bank said in a statement.     In February, the outstanding value of all renminbi loans of financial institutions hit 27.22 trillion yuan, up 15.73 percent compared with the same period last year.     The growth was 1.01 percentage points lower than January, the central bank said.     China's M2, the broad measure of money supply, reached 42.10 trillion yuan in February, up 17.48 percent from a year earlier. The increment was 1.46 percentage points lower than the number in January.     The narrow measure of money supply, M1, rose 19.20 percent to 15.02 trillion yuan, but the increment was 1.52 percentage points lower than January.

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BEIJING - The number of commercial bribe cases dealt with by Chinese courts rose to 4,406 in the first seven months, an increase of 8.2 percent over the same period of last year, according to the Supreme People's Court (SPC) on Saturday.Xiong Xuanguo, vice-president of the SPC, said the number of cases featuring corporate wrong-doings rose 37.3 percent and cases relating to individual employees of companies jumped by 52.1 percent.Of the 3,748 commercial bribery cases that have been closed this year, 94.1 percent involved civil servants, Xiong said.A total of 31,119 commercial bribery cases were dealt with in China in the past two years before August 2007, with 7.079 billion yuan (US2.51 million) involved, said Li Yufu, deputy director of the leading group on anti-commercial bribery under the Central Committee of the Communist Party of China.

GUANGZHOU: The Guangdong People's Procuratorate on Thursday called on the public to continue to help it identify and prosecute government officials found to be guilty of dereliction of duty. Figures show that of the 2,200 such cases reported by the public since 2005, 738 people in 678 cases were subsequently prosecuted. Of those, 65 were county-level officials, with five holding more senior positions. Since the beginning of 2006, the procuratorate has rewarded 23 people for providing information on such cases, Huang Liming, director of the anti-dereliction of duty division of the provincial procuratorate, said. Also on Thursday, the provincial disciplinary watchdog disclosed details of four its most serious cases. In one, two police officials in Huazhou, Guangdong, were charged with torturing to death Huang Weiqing in November 2002, who had earlier been arrested for being a grifter. A court heard how police officer Huang Weiguang, who had been drinking alcohol prior to interrogating the suspect, repeatedly beat the man about the head, chest, back and legs until he lost consciousness, in a bid to extract a confession. Huang Weiqing later died of his injuries on November 14. A second police officer, Li Hanyu, was found guilty of failing to intervene; he instead simply left the room. Almost 40 police officers from the station unanimously testified that the suspect had killed himself by hitting his head on a table while being questioned. However, the dead man's family continued to appeal to government departments for justice. The provincial procuratorate eventually set up a special team and after a two-month investigation reached its decision on the police officers involved. Huang was sentenced to life imprisonment, while Li got two years for dereliction of duty. A number of other police officers were also punished. In another case, Fu Zuoqing, the former president of the Qingyuan Intermediate People's Court, received 11 years' imprisonment for misuse of power, bribery and embezzlement.

The central finance department will continue increasing its support to the country's rural areas, sources from a meeting of the political bureau of the Communist Party of China Central Committee said.The Xinhua News Agency on Saturday cited a political bureau meeting as saying that the country should further muster up strength to solve the problem of its poor agricultural infrastructure and the sluggish development of rural areas by "increasing input in agricultural sectors and rural areas".The report, which comes just days before the Party's 17th National Congress on October 15, the most important political gathering in China which will set guidance for future development, suggests Party leaders are concerned about the urgency needed to improve farmers' lives, analysts said.An anonymous official from the Ministry of Finance said that the central government has made financial support for rural areas a major priority .The country has rolled out a series of preferential policies to boost the development of its vast countryside, home to its more than 700 million rural people, including agricultural taxation reform to alleviate farmers' burden and direct subsidies to ensure gains from growing crops.The State has also exempted farmers from some taxes such as those in the slaughtering and animal husban-dry industry.Statistics from the ministry shows that the central coffers plan to invest 391.7 billion yuan ( billion) in the development of its rural areas this year, an annual increase of 15.3 percent.To further encourage farmers to grow crops, billions of yuan have been allotted for agricultural subsidies for grain prices, seeds, and cultivation facilities.About 125 billion yuan of tax has been waived since the removal of a series of agricultural taxes in recent years, the official said.The results of these preferential policies were obvious, the official said, with statistics showing a fourth consecutive bumper grain harvest this summer.

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China's press and publication watchdog yesterday announced a campaign to shut down pornography websites nationwide.As of last week, about 348 domestic websites were found to be posting and distributing porn novels and pictures Song Jianxin, director of the Internet supervision sector under the National Office of Anti-porn and Illegal Publications, said.Eight websites including 517z.com, xs4.xggirl.com and book.maobob.com were ordered to permanently shut down for the "extremely negative impact" they caused by posting 40 online porn novels."The contents were full of exaggerated and explicit description of sex. It harms and misleads the young who are still growing and lack reasonable judgment," Song said.Li Baozhong, director of the market supervision department of the national press watchdog said distributing porn novels violated laws, publication regulations and Internet information service regulations.All blacklisted websites are being put under close watch by press regulators and public security authorities at all levels."The violators will be heavily fined and punished," Li said.The watchdog also revealed a recent crackdown on pirated publications.The market enforcement team in Central China's Hunan province smashed a gang producing pirated books.About 627,000 pirated books worth of 20.3 million yuan (.67 millon) were seized.It included teaching materials of New Concept English and reference books for student tests, whose copyrights belong to about 21 domestic publishing houses.Four were arrested and one official from the Hunan press watchdog, accused of taking bribes and helping to facilitate the illegal practice, was removed from his post."We're facing unprecedented complexity in fighting for intellectual property rights protection," Li said."IPR infringement is becoming more complex as violators turn to more sophisticated ways to carry out their trade."

The Chinese-African People's Friendship Association (CAPFA) will nominate 10 Africans Who Have Deeply Moved Chinese People next month, in a moved aimed at cementing civilian diplomacy between the two sides.The 10 candidates are expected to be unveiled at the next Forum on China-Africa Cooperation (FCAC) late next year.Chen Haosu"CAPFA's recognition will benefit both peoples by enhancing mutual understanding and trust," Chen Haosu, president of the Chinese People's Association for Friendship with Foreign Countries, said.The awards will go to Africans "who have made great contributions to bilateral ties", Wang Tong, an representative of the CAPFA, said, adding that the association is identifying criteria of eligible candidates.The first round of nominations will involve all 131 councilors of the CAPFA, Liu Hongmin, also from the association, said."Our councilors include big Chinese entrepreneurs such as Huawei Technologies and ZTE, among others," he said. "They are the most suitable to put forward nominees because of their significant investments in Africa."Liu said the 10 winners will be just one part of the second China-Africa Friendship Award. The other part will be the 10 Chinese Who Have Deeply Moved the African People. This will be the second time such awards have been givenThe first 10 winners - which included doctors, journalists, scholars and politicians - were announced in Beijing during the FCAC in November 2006."These awards reflect sincere friendship and intense people-to-people communication, though China and Africa are distant from each other," Dai Yan, a former councilor in Ghana, said."But both peoples still have a long way to go to truly understand each other because of cultural differences," he said. More African people have traveled to China as bilateral ties have developed over the past years.The number of Africans coming to Guangzhou, capital of Guangdong province, has increased by 30 percent every year since 2003. Most of these newcomers are traders.The city now has about 20,000 African residents, Huang Shiding, of the Guangzhou Academy of Social Sciences, estimated.Beyond the world of business, "500-600 African students are studying in universities and colleges in Beijing," Wang said.Meanwhile, on the other side of the globe, a growing number of Chinese people have settled down in Africa.In one reflection of the impact they are making, people in Nigeria crowned tribal chieftains from China in 2001 and 2007.

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BEIJING, March 15 (Xinhua) -- China recorded 68.02 billion U.S. dollars in foreign trade of electronics and information products in January, a growth of 19.3 percent year-on-year.     Sources with the General Administration of Customs said on Saturday that the growth rate was 12.9 percentage points lower than the year-earlier level.     The total trade volume included 38.29 billion U.S. dollars in export value, up 22.9 percent, and 29.73 billion dollars in import value, up 15.2 percent.     The sources said the growth rate for exports was 12.8 percentage points lower than the same month of last year, while that for imports was 13 percentage points lower.     Of the total exports, wholly owned foreign companies accounted for 24.94 billion U.S. dollars, or 65.1 percent, the sources added.

SINGAPORE: China and the United States plan to set up a defense hotline aimed at improving military relations, a top Chinese general said over the weekend. Zhang Qinsheng, deputy chief of the general staff of the People's Liberation Army, made the remarks at the plenary session of a three-day security summit known as the Shangri-La Dialogue. He said the issue of the hotline between the Chinese military and the US Defense Department would be settled when he visits the United States in September for the ninth Sino-US defense talks. Zhang also told the summit that China's defense budget is authentic. As the Chinese military gradually modernizes, some have raised questions over "military transparency", and voiced suspicions on China's defense budget. So it is necessary to clarify the matter, Zhang said. "In China, defense budgeting must follow a set of strict legal procedures, and the published budget is true and authentic," he said. He added that the increased proportion of the defense budget is mostly used to make up for inflation, improve the welfare of military personnel and logistics support. "Given the multiple security threats, the geo-political environment, the size of the territory, and per-capita expense, the Chinese defense expenditure is small by any yardstick," he added. He stressed that "China is gradually making progress in military transparency following the principles of trust, responsibility, security and equality". The annual Shangri-La Dialogue, named after the Singapore hotel at which the event has been held since its launch in 2002, and organized by the London-based International Institute for Strategic Studies, opened on Friday. It gathered defense ministers and top officials from 26 countries and regions in the Asia-Pacific region and Europe to address major regional security issues and defense cooperation. Also at the meeting, the US and China turned down the heat on a dispute over Beijing's military build-up, with US Defence Secretary Robert Gates expressing optimism about future relations. Gates downplayed past US rhetoric on China's military might. "As we gain experience in dealing with each other, relationships can be forged that will build trust over time," Gates said. China Daily - Agencies