Abstract: After the Law on Labor Dispute Mediation and Arbitration of the People′s Republic of China has been enforced for two years，it is timely and meaningful to inspect China′s system of enterprise labor dispute mediation committee composed of “representatives from two parties”.Although the present system of enterprise labor dispute mediation committee has its positive sides，it has inherent institutional deficiencies as it is financially dependent on the enterprise and its enforcement effectiveness is getting worse.Based on the above analysis，the author suggests that enterprise labor dispute mediation committee system should be abolished.

Key words: labor-management relation, labor dispute, mediation, labor dispute mediation committee, trade union