In the early days of founding the People's Republic of China, All-China Federation of Trade Unions attached great importance to employees' welfare issues, and explored on how to gradually improve employees' welfare on the basis of expanded production. After continuous improvement and optimization, a set of theories balancing production and life were initially set up. However, it was hard to implement the theory into practice, as the reason of the contradiction was rooted in the highly centralized and unified political and economic system. Hence, only by changing the system could the trade union's welfare work —— "gradually improving workers' life on the basis of expanded production" be achieved.