The problems of unemployment and underemployment in urban areas of Mainland China are prominent in recent years. Instead of the highly explicit unemployment, there still exist problems of underemployment and reemplyment of laid-off workers. According to the scholars of China, they pointed out that the real rate of unemployment is over 9% (including laid-off employees and registered unemployed-workers at that year), whereas the rate of supernumerary in state-owned business is about 40%. The populations of unemployment and underemployment are persistently increasing and resulting negative impacts of mass wasted of human resources, resistant of social productivity development, greater burden on government and society, and caused social instability. Since the problems of explicit unemployment, implicit unemployment and laid-off employees are very serious, many policies provided by the government are less functional for the refinement. Therefore, there is still a trouble for the urban areas of Mainland China in short term periods. If the problems are not solved properly, then the entire society of China will confront with instability.