"The Hangzhou Intermediate People's Court upheld the ruling, stating that a company's decision to adopt AI is a strategic business choice, not an unforeseeable change in objective circumstances."
"The ruling is significant as it establishes that companies cannot fire workers in China simply because an AI can now perform their job, ensuring legal protection for employees."
Chinese courts in Hangzhou and Beijing ruled that companies cannot terminate employees solely to replace them with AI, classifying AI adoption as a strategic business decision. This ruling comes amid significant global tech layoffs, with many attributed to AI advancements. In a notable case, a quality assurance supervisor was fired after his role was deemed automatable, but the court found the dismissal unlawful, reinforcing that AI implementation does not constitute an unforeseeable change in circumstances under Labour Contract Law.
Read at TNW | Artificial-Intelligence
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