China's State Council issued an implementation regulation for Labor Contract Law on Thursday in an effort to clarify confusion surrounding the law.

It has been over eight month since China enacted its groundbreaking new Labor Contract Law. The law, on one hand, hailed as a landmark step in protecting employee's right, has been blamed, on the other hand, to have increased a company's operational cost as employers believe it overemphasized protection of workers.

And that's why an implementation regulation for the Labor Contract Law was put in place by the State Council on Thursday.

In the Labor Contract Law, one of the most debated terms was one that entitled employees of at least 10 years' standing to sign contracts without specific time limits. Some employers believed the "no-fixed-term contract" would bring a heavy burden to them and lower company vitality.