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  • What pressures do companies in China often face?

    6th November, 2014

    Externally there are industrial and community-relations issues. This includes stronger labour unions and more litigious employees, who now are less likely to hesitate to protest …

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  • How does one best improve workforce quality?

    6th November, 2014

    This can be achieved through the elimination of underperforming employees as well as the utilisation of training and evaluation systems. Currently, because of lower hiring …

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  • I would like to hire a foreigner to work in my company. What are the relevant rules and guidelines concerning employment of a foreigner in China?

    6th November, 2014

    Although the prospect of a foreigner working in China and the bureaucracy concerning such an action is formidable, it is possible and common for foreign …

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  • Are there any provisions regarding employee transportation to and from work? I know that some employers provide for such benefits, but is this mandatory? Also, if I do provide transportation, am I liable if someone gets injured?

    6th November, 2014

    There are no mandatory requirements for employer-provided transportation. Your company does not need to provide this benefit to its staff. However, you might be making …

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  • Which issues should a foreign investor take into account when entering into labour contracts?

    6th November, 2014

    There are many pitfalls involved in labour contracts. In general, one of the most important issues to take into account is the accuracy of an …

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  • I just set up a WFOE in China. How can I hire Chinese employees? Can I directly enter into labour contract with them or must hire employees via intermediary companies?

    6th November, 2014

    To employ Chinese employees, you can directly sign a contract with them. Since JVs and WFOEs are established under Chinese law and regulations, they are …

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  • When restructuring a company, how do I transfer part of the employees into one of our affiliate companies? Do I need to compensate the employees for terminating them?

    6th November, 2014

    In order to do this, you need to first terminate employment with the employees and then invite them to enter into another labour contract with …

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  • I terminated an unqualified employee recently. He seemed unsatisfied with the compensation I gave him and threatened to sue. Can you provide me some information as to how to settle labour disputes in China?

    6th November, 2014

    According to Chinese law and regulations, there are four ways to settle the labour disputes: consultation, mediation, arbitration and litigation. Generally speaking, arbitration and litigation …

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  • What are the rules concerning housing fund contribution?

    6th November, 2014

    The housing fund contribution scheme deals with the amount that an employer shall contribute to the fund. A circular was published in 2008, which has …

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  • What are the options for foreign enterprises to establish a permanent presence in China?

    6th November, 2014

    There are three main forms business establishments can take for foreign companies operating in China:   1) Representative Offices 2) Joint Ventures and 3) Wholly …

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