| Labor-firm relation is an important social and economic relation, which does weigh with the firm and the laborer and has a connection with the harmonious and development of the society. So the issue of labor-firm relations (LFR) is always the emphasis in the academic field and the government circles.China is being in the period of economic and social transition at present. During more than twenty years' reform and development of economy system, LFR in china has experienced a deepgoing change and confronted with the unprecedented attack and challenge. The issue of LFR in china has turned into the focus in society and its direction and orientation is highly concerned. So the research object is against this background.The paper researches on the issue of LFR change from the institution economics perspective and tries hard to provide the theoretic ponder about building a harmonious and effective LFR model. Firstly it introduces the methods and fundamental in institutional change theory and explains the meaning of LFR. Then it reviews the process of China economy system reform and points out that the transformation in LFR system will be more tremendous in the condition of consummate market economy. Then it works on the issue that how to select the target model of LFR. It puts forward that the choosing of the target LFR model should take some important principles, such as the culture background, economy system, form of government into account, follow the history, begin at the pudding time and select the superior one. Based on the analysis before, it discusses the significant characters of target model of LFR and the system demand of the LFR model in China. At Last, it analyses the matter of lack for institution and discusses the issue that what institutions the suppliers should provide and how to keep away negative "path-dependence" in institutional change. |