Abstract: With the Chinese economy entering the new normal, how to coordinate the relationship between technological innovation and employment to adapt to the adjustment of economic structure is a realistic problem that China has to face. This paper uses the sample data of listed companies from 2003 to 2014 to analyze the relationship between technological innovation and employment growth of enterprises, finding that the technological innovation of enterprises has a substitution effect on employment growth in general, and the improvement of technological innovation level of enterprises will reduce the demand for labor, and subversive innovations such as invention patents show greater substitution effects than utility models and design innovations;for employees in the economic upswing, labor-intensive industries, and lower education levels, the substitution effect of technological innovation is stronger. Therefore, we should focus on the transformation of labor-intensive industries under the innovation-driven development model. While encouraging technological innovation, we should minimize the negative effects of technological innovation on employment. Adapting to the employment needs of enterprises and improving the education level of employees are effective means to avoid technological innovation hindering employment growth.

Key words: technological innovation, employment growth, economic cycle, industry characteristics, education level