Abstract:Based on the provincial panel data from 2002 to 2016, this study, using a fixed effect model, tested the impact of internet on informal employment. The result of the study indicates that Internet popularity has improved the overall quality of employment. However, it also has a significant negative impact on informal employment. And the results are also valid by further using the lagging one-stage Internet popularity variable and the two-stage regression as research tools. In addition, in order to exclude the impact of the Labor Contract Law on the above conclusions, this study, by using the samples before the implementation of the Labor Contract Law to test the impact of the internet, finds that the negative impact of Internet popularity on the proportion of informal employment is still significant.