Theory Of Legal Protection Of The Rights And Interests In Our Company Mergers And Acquisitions

Company merger and acquisition is produced in the background that the globaleconomy and science and technology is developing rapidly and economicinformatization, liberalization, globalization is strengthened ceaselessly. When facedwith the increasingly fierce market competition, the company takes the strategy ofmerger and acquisition to obtain economies of scale and competitive advantage.Company merger and acquisition is conducive to enhancing the competitiveness ofthe company, and expanded the company’s scale of operation, be helpful for adjustingindustrial structure, promote the economic development. However, we see companymerger and acquisition brings tremendous benefits,at the same time, we should alsosee the company merger brings negative effect. The interests bodys affected by thecompany mergers and acquisitions is various, mainly inclouding the shareholders ofthe company, the company’s creditors, employees of the company. The employees ofthe company is the most incapable of action body among the interests bodys affectedby the company mergers and acquisitions. In order to maximize profits, the companyuse company merger and acquisition to impinges in the legitimate rights and interestsof workers. The common phenomenon that the company use merger andacquisition to impinges in the legitimate rights and interests of workersbasicallyinclouds two kinds, one kind is that the company terminate the labor contract,another kind is that the company malicious reduce labor conditions. Company mergerand acquisition bings major effect to the rights and interests of workers. In contrast,workers’ rights and interests protection brings major effect to the goal of companymerger and acquisition and to the social stability.It is only in the condition taking fullprotection of workers’ legitimate rights and interests and properly handleing theworker problem that company mergers and acquisitions can run smoothly and ensurethe social stability when company pures economic benefits.Foreign legislation and practice attaches great importance to protection of theworkers’ rights and interests during corporate mergers and acquisitions andaccumulates rich experience. For example, the European Union legislation establishedlabor contract direct inheritance model in the company mergers and acquisitions; Britain attaches great importance to the regulation of the terminate the labor contractact and establish the layoffs and downsizing obligations;In German, playing a majorrole in the protection of workers’ rights and interests in company merger andacquisition is staff participates in altogether model; France attaches great importanceto the workers’ right to know and participate in decision-making in corporate mergersand acquisitions.Because our country executes for a long time of planned economy in the past, andour country establish market economy late, and the phenomenon of corporate mergersand acquisitions is more late, the protection of workers’ rights and interests in thecompany merger legislation is not perfect and there are a lot of defects. Our countryregulations about the labor contract issues in corporate mergers and acquisitions is notperfect;because the behalf of workers’ interests mechanism is not sound,our countrycannot provide very good security to he workers’ right to know and participate indecision-making; the firing system in company mergers and acquisitions in is notsound. In order to protect the rights and interests of workers in company merger andacquisition betterly, our country should perfect the labor contract law in the companymergers and acquisitions; expand the applicable scope of labor contract directinheritance model and bring the company purchase into its adjustment range; Perfectworkers congress, workers in the board of directors and staff supervisors system, fullyprotect workers’ right to know and participate in decision-making in the mergers andacquisitions; perfect the dismissal system, set up to dismissal system, whereby thecompany dismissal avoidance obligation.