EMPLOYEE PARTICIPATION IN CHINA TVES

Experiences of employee participation in equity ownership, profit and gain sharing, and decision making participation in China's TVEs during the current property rights reforms are examined through eight case studies from Zhejiang Province. The evidence suggests that despite moves toward formal, private ownership of TVEs, these firms will retain a high degree of employee financial participation, and to a lesser but significant degree decision-making voice, generally unmatched outside the OECD. The results offer a basis for more systematic research on the extent and effects of employee financial and decision participation in TVEs under the current property rights reform.