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China Court Rules AI Layoff Illegal, Backs Fired Worker

A representative image of a Chinese courtroom. The Hangzhou Intermediate People's Court ruled that an AI tech company's decision to fire a quality assurance supervisor after replacing his role with AI was unlawful.

A Chinese court has ruled in favour of a quality assurance supervisor fired after AI took over his role, observing that automation cannot supersede human rights. The Hangzhou Intermediate People’s Court upheld an arbitration panel’s earlier decision, deeming the AI-related dismissal unlawful — the second such ruling in China after a similar case in Beijing.