Chinese courts have ruled that employers cannot terminate contracts simply because AI has taken over a worker's job. This stance is based on China's Labor Contract Law, which requires employers to prove a "major change in objective circumstances" for termination. Courts in Hangzhou and Guangzhou have upheld rulings in favor of workers, stating that replacing staff with AI does not necessarily constitute such a change. In contrast, the U.S. currently lacks similar broad protections against AI-driven job displacement.