Abstract:The development of digital economy has great impacts on labor relations, bringing about faster and deeper social changes than those of the industrial innovation, which is seen from the precise job responsibilities and skills, unrestricted workplaces, and free working hours. The use of digital technology, in the meantime, has also promoted organizational management changes in various fields, leading to the differentiation of labor relations. To better cope with the development of digital technology and digital economy, the government should adjust itself to the dramatic changes of technology and business, and implement institutional innovations by following the targeted goals and principles.