lmost every Chinese resident has heard of a trade union, but few could tell you what it is really about. And it's not only in jest if someone says that the major function of a trade union is organizing outings or giving free film tickets to its members.

But now, more and more people, especially industrial workers, are coming to realize that trade unions could bring them much more benefits than merely giving them free film tickets, at a time when these unions have a louder voice in settling labour disputes and protecting members' rights and interests.

As the 14th National Congress of the All-China Federation of Trade Unions, the only legitimate umbrella trade union in China, opened yesterday, workers nationwide are expecting that the congress will further heighten the role of trade unions in an increasingly market-oriented economy.

For nearly 30 years after New China was founded in 1949, the country has adopted a strict pattern of planned economy, under which workers enjoyed from-cradle-to-grave benefits provided by the government, including free housing and medical care.

There were not even particularly great differences in wages between a worker and a factory manager, hence labour disputes have seldom occurred.

Since the late 1970s, China has ushered in the policy of reform and opening-up, with the planned economy gradually giving way to a market-oriented one, under which even State-owned enterprises have to compete for survival.

Meanwhile, private and overseas-funded enterprises are mushrooming across the country.

As market competition intensified, many State-owned enterprises were shut down or restructured, resulting in laying off a large number of workers. Official figures indicated that workers in State-owned enterprises now only account for a quarter of the country's labour force.

And in private or overseas-funded enterprises, the infringements on worker's rights and interests are also increasing.

"It is natural that more and more labour disputes occur as managers and workers are pursuing maximum profits respectively and benefits of their own," said Zhao Jianjie, a professor with the Beijing-based China Labour College.

"Under such circumstances, trade unions could play a unique role in helping settle labour disputes and maintaining social stability."

Figures also show that since its l3th National Congress in 1998, Chinese trade unions have done a great deal to protect members' rights and interests and streamline labour relations.

The trade unions have strongly advocated and participated in the drafting of 1,264 laws and regulations on protecting workers' rights and interests, including laws on trade unions, safe production techniques and labour contracts.

More than 2,000 grassroots trade unions nationwide have set up legal service agencies to help members settle labour disputes with their employers.

Trade unions at various levels have also established more than 6,000 centres for vocational training, and helped over 3 million laid-off workers get re-employed.

Meanwhile, the number of grass-roots trade unions has jumped to 1.7 million from 510,000, with trade union members surging to 134 million from no more than 1 million.

Zhao said that the government has realized the importance of trade unions ever since the beginning of market-oriented reform, and has taken various measures to support them.

However, Chinese trade unions are facing formidable challenges ahead, and they must learn how to best protect workers' rights and interests under changed conditions, especially since China has joined the World Trade Organization.

"One of the effective ways is to push the reform of the operation systems of trade unions," he said, explaining that union leaders are receiving wages from their employers, which could neutralize their role in settling labour disputes.

"I hope the coming 14th National Congress will find a better way to improve the work of trade unions, especially in protecting the rights and interests of the members," he said.

At a preparatory meeting for the congress earlier this month, the All-China Federation of Trade Unions Chairman Wang Zhaoguo also urged trade unions nationwide to give top priority to protecting the rights and interests of workers, noting that it is their top responsibility.