Country ExplorerChina

Easily manage employment in China

Make employment in China easy. Let us handle payroll, benefits, taxes, compliance, and even stock options for your team in China, all in one easy-to-use platform.

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Employing in China

Provisions for employee protections and workers’ rights are spelled out in the Labour Law of the People’s Republic of China and Labour Contract Law of the People’s Republic of China. The Labour Law covers workplace discrimination against employees’ protected characteristics such as ethnicity and religion.

Common questions that could come up during the hiring process include the minimum wage, overtime rates, and guaranteed paid time off. Remote can help you offer a complete, competitive, and compliant benefits package to your employees in China.

The minimum wage in China varies across cities and regions. Major cities have an average higher minimum wage. Shanghai, for example, sets its monthly minimum wage at 2,740 RMB and the hourly minimum wage for part-time workers at 25 RMB, while Beijing sets its monthly minimum wage at 2,540 RMB and and the hourly minimum wage for part-time workers at 27.7 RMB.

Competitive benefits package in China

Health Insurance

Dental Insurance

Vision Insurance

Mental health support

Pension or 401(K)

Life and Disability Insurance

Facts & Stats

Since Deng Xiaoping launched the Open Door policy in late 1978, China has seen rocketship growth over the past four decades, transforming a strictly communist economy into a global superpower.

Today, China is a staggering multi-trillion dollar economy dominating entire industries from manufacturing to finance, setting the pace for so much technological innovation.

China’s labor market is vast, highly educated, and home to an enormous an untapped collection of expats and locals open to remote work. The sheer size and potential of China markets makes international expansion here alluring to any growth-focused employer.

Keep in mind that local expertise is almost essential in nearly every instance due to the truly unique nature of doing business here. More and more Chinese professionals are multilingual with fluency in English as well as local dialects. It’s also worth noting that China’s huge expanse makes every pocket of the country different. The culture, food, climate, language, and business practices of each province often varies dramatically, but for those companies determined enough to find success in China – the potential rewards are immense.

Capital

Beijing

Official language

Mandarin (Putonghua)

Currency

Chinese yuan

Population

1400050000

Cost of living index

2021

GDP real growth rate

6.10%

Payroll frequency

Monthly

VAT rate

13%

Ease of doing business

Very easy

Grow your team in China with Remote

Want to employ workers in China? Companies hiring in China are typically required to either own a local legal entity or work with a global employment platform like Remote that can legally provide employment services in the country.

Remote can employ team members in China and keep you compliant. Remote can hire, onboard, and pay your China team so you don't have to set up local HR services in the region. Remote also makes it easy to pay contractors in China. Sign up now to get started or talk to an expert for more details.

Note that, currently, we can only onboard EOR hires in the following provinces: Shanghai, Beijing, Guangdong, and Zhejiang.

China, like many other countries, treats self-employed individuals or contractors and full-time employees differently. Misclassification of contractors in China may lead to fines and penalties for the offending company.

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Taxes in China

Employment taxes and statutory fees affect both your payroll and your employees' paychecks in China. Note that your employees may be liable for additional local taxes.

Employer

0%

Pension

0.0%

Unemployment Insurance

0%

Medical Insurance

0.000%

Injury Insurance

0%

Housing Fund

Employee

0%

Pension

0.0%

Unemployment Insurance

0%

Medical Insurance

0%

Housing Fund

Types of leave in China

Paid time off

Employees are not entitled to any paid leave before they have completed their first year on the job. Upon completion of their first year of service, but before they have completed their tenth year of service, the employees are entitled to five days off annually. Employees with at least 10 years of service get 10 days off annually, increasing to a maximum of 15 days for 20 years of employment or above.

Public holidays

There are 7 public holidays annually but the arrangement of holidays is complicated as adjusting working day(s) may apply. The actual arrangement of holidays in each year is announced and mandated in a holiday circular issued by the State Council before the start of every calendar year.

Sick leave

Employees are entitled to paid sick leave from 3 to 24 months, depending on their tenure and the local laws. In the event of termination, sick leave entitlements include sick leave pay, medical subsidy, and statutory severance pay.

Maternity leave

Female employees are entitled to 98 days’ paid leave. For multiple births, the employee is entitled to an additional 15 days of leave for each additional baby. Some local governments provide additional maternity leave ranges from 30 to 90 days to incentivise birth giving. In Shanghai, it is 60 days on top of the national basics.

Paternity/parental leave

Fathers are entitled to paid paternity leave from 7 to 30 days depending on local laws of the region.

Employment Termination in China

Termination process

Employment contracts in China can only be terminated with clear justification and severance payment made to the concerned employee.

Notice period

The standard notice period of employer and employee is 30 days and the notice has to be given in writing, although payment can be made in lieu of notice. During probation period, the employee's notice is 3 days.

Severance pay

Employees are entitled to a month’s pay for every year worked, with any tenure up to six months but less than a year counted as a year. Employees with less than six months’ tenure and are not in probation period are entitled to half a month’s pay if they’re let go. Severance is not payable under summary dismissal.

Probation periods

Probation periods can last anywhere from a month to six months, depending on the term of employment. Probation periods are not extendable.

Remote Benefits Plans

At Remote, we provide tailored benefits to ensure that all Remote employees receive comprehensive coverage from top providers. Our plans offer competitive rates designed for larger groups - even if the team is still growing!

Upon onboarding, Remote will enroll team members in their benefits and provide detailed information about their coverage. Remote manages all administrative tasks, allowing you to focus on scaling your global team.

To ensure benefit equality, any benefits offered will apply to all team members in the country, providing consistent coverage and support across the team.

Business Travel Insurance

Remote’s Global Business Travel Insurance program is crafted to address the unique needs of your team, whether they are embarking on short business trips or traveling extensively throughout the year. With five comprehensive plan options—Basic, Standard, Premium, Premium Plus, and Standard Plus—this program ensures that your team members have the right level of coverage to protect their health, safety, and well-being while traveling for business.

Available in over 90 countries, the program provides extensive global coverage at competitive rates, offering peace of mind no matter where their work takes them. This optional benefit is designed to be flexible, allowing you to offer tailored coverage that meets the diverse needs of your workforce. By providing business travel insurance, you are taking proactive steps to safeguard your team from unforeseen events such as medical emergencies, trip disruptions, or loss of business equipment while they are on the road.

Basic

Coverages (values in USD):

  • Emergency & Accidental Medical: $1,000,000

  • Repatriation for Medical Treatment: 100% per trip

  • Emergency Medical Evacuation: $100,000

  • Repatriation of Mortal Remains: $25,000 per trip

  • Pre-existing Medical Conditions: For stable pre-existing medical conditions up to $50,000

  • Business Equipment: Up to $1,500

  • Computer Equipment (single item limit): $500

  • Business Money: $100 per day up to $500

  • Domestic Business Travel: Trips inside country of residence: Any trip over 70 miles from usual residence, where there’s at least 1 overnight stay in paid accommodation. In-country trips exclude medical treatment & evacuation benefits.

Standard

Coverages (values in USD):

  • Excludes Medical & Evacuation

  • Baggage Delay: $100 per day up to $700 per trip *Does not apply to one-way trips

  • Personal Liability: $100,000 per trip

  • Accidental Death & Permanent Total Disability: $100,000 per trip

  • Loss of Passport: $250 per trip

  • Legal Expenses: $10,000 per trip

  • Hijacking: $1,000 per trip

  • Business Equipment: Up to $1,500

  • Computer Equipment (single item limit): $500

  • Business Money: $100 per day up to $500

  • Domestic Business Travel: Trips inside country of residence: Any trip over 70 miles from usual residence, where there’s at least 1 overnight stay in paid accommodation. In-country trips exclude medical treatment & evacuation benefits.

Standard Plus

Coverages (values in USD):

  • Emergency & Accidental Medical: $1,000,000

  • Repatriation for Medical Treatment: 100% per trip

  • Emergency Medical Evacuation: $100,000

  • Repatriation of Mortal Remains: $25,000 per trip

  • Pre-existing Medical Conditions: For stable pre-existing medical conditions up to $50,000

  • Baggage Delay: $100 per day up to $700 per trip *Does not apply to one-way trips

  • Personal Liability: $100,000 per trip

  • Accidental Death & Permanent Total Disability: $100,000 per trip

  • Loss of Passport: $250 per trip

  • Legal Expenses: $10,000 per trip

  • Hijacking: $1,000 per trip

  • Business Equipment: Up to $1,500

  • Computer Equipment (single item limit): $500

  • Business Money: $100 per day up to $500

  • Domestic Business Travel: Trips inside country of residence: Any trip over 70 miles from usual residence, where there’s at least 1 overnight stay in paid accommodation. In-country trips exclude medical treatment & evacuation benefits.

Premium Plus

Coverages (values in USD):

  • Emergency & Accidental Medical: $1,000,000

  • Repatriation for Medical Treatment: 100% per trip

  • Emergency Medical Evacuation: $100,000

  • Repatriation of Mortal Remains: $25,000 per trip

  • Pre-existing Medical Conditions: For stable pre-existing medical conditions up to $50,000

  • Baggage Delay: $100 per day up to $700 per trip *Does not apply to one-way trips

  • Personal Liability: $100,000 per trip

  • Accidental Death & Permanent Total Disability: $100,000 per trip

  • Loss of Passport: $250 per trip

  • Legal Expenses: $10,000 per trip

  • Hijacking: $1,000 per trip

  • Cancellation & Curtailment: $2,000 per trip; subject to $100 deductible per Trip *Benefit not available to residents of the USA

  • Business Equipment: Up to $1,500

  • Computer Equipment (single item limit): $500

  • Business Money: $100 per day up to $500

  • Domestic Business Travel: Trips inside country of residence: Any trip over 70 miles from usual residence, where there’s at least 1 overnight stay in paid accommodation. In-country trips exclude medical treatment & evacuation benefits.

Premium

Coverages (values in USD):

  • Excludes Medical & Evacuation

  • Baggage Delay: $100 per day up to $700 per trip *Does not apply to one-way trips

  • Personal Liability: $100,000 per trip

  • Accidental Death & Permanent Total Disability: $100,000 per trip

  • Loss of Passport: $250 per trip

  • Legal Expenses: $10,000 per trip

  • Hijacking: $1,000 per trip

  • Cancellation & Curtailment: $2,000 per trip; subject to $100 deductible per Trip *Benefit not available to residents of the USA

  • Business Equipment: Up to $1,500

  • Computer Equipment (single item limit): $500

  • Business Money: $100 per day up to $500

  • Domestic Business Travel: Trips inside country of residence: Any trip over 70 miles from usual residence, where there’s at least 1 overnight stay in paid accommodation. In-country trips exclude medical treatment & evacuation benefits.

Mental Health

Offering mental health benefits is not mandatory in this country, but providing the benefit can significantly enhance the emotional well-being and overall productivity of employees. Remote offers a comprehensive employee mental wellbeing platform in partnership with one of the top-rated employee mental wellbeing providers. This platform is available on desktop and mobile apps and includes 1-to-1 therapy with a curated pool of top-quality therapists in over 35 languages. The advanced matching service finds each employee the right therapist within 48 hours, boasting a 98% success rate. Employees receive a personal wellbeing profile with tailored recommendations and information to track progress. The platform also offers a curated self-guided content library with audio mindfulness and meditation sessions, guided yoga videos, talks, podcasts on workplace wellbeing, and micro-learning content series for managers. Additionally, there are 24/7 mental health helplines for immediate support when an employee is struggling. Mental health program benefits may be offered to the employees from among 5 different plans. Offering mental health benefits is optional, but it can greatly enhance employee well-being and productivity. It is essential to be aware that in certain countries, mental health benefits may be categorized as ‘Benefits in Kind’ (BIK). This categorization means that the monthly premiums paid for the benefit might be counted as part of the employee’s taxable income according to the local tax laws. When mental health benefits are offered, they must be provided equally to all employees in the respective country.

Basic

Platform Access

Access to the wellbeing platform and app, which includes:

  • Personalized wellbeing assessment

  • Access to world-class self-guided content library with audio mindfulness & meditation sessions, guided yoga videos, talks, podcasts on workplace wellbeing, and micro-learning content series for managers

  • Access to manager-specific learnings and resources

  • Precision matching for 1:1 coaching and therapy in 35+ languages

  • Professional coaching

  • Text-based chat with dedicated practitioner

  • 24/7 global support in all languages

  • Add up to 3 friends and family to the platform

Therapy and Coaching Sessions

  • Not included in the Basic plan

  • Team members can pay for therapy sessions themselves, if needed.

Standard

Platform Access

Access to the wellbeing platform and app, which includes:

  • Personalized wellbeing assessment

  • Access to world-class self-guided content library with audio mindfulness & meditation sessions, guided yoga videos, talks, podcasts on workplace wellbeing, and micro-learning content series for managers

  • Access to manager-specific learnings and resources

  • Precision matching for 1:1 coaching and therapy in 35+ languages

  • Professional coaching

  • Text-based chat with dedicated practitioner

  • 24/7 global support in all languages

  • Add up to 3 friends and family to the platform

Therapy and Coaching Sessions

  • Includes one pre-paid Therapy/Coaching session per policy year

  • Team members can pay for extra therapy sessions themselves, if needed.

Plus

Platform Access

Access to the wellbeing platform and app, which includes:

  • Personalized wellbeing assessment

  • Access to world-class self-guided content library with audio mindfulness & meditation sessions, guided yoga videos, talks, podcasts on workplace wellbeing, and micro-learning content series for managers

  • Access to manager-specific learnings and resources

  • Precision matching for 1:1 coaching and therapy in 35+ languages

  • Professional coaching

  • Text-based chat with dedicated practitioner

  • 24/7 global support in all languages

  • Add up to 3 friends and family to the platform

Therapy and Coaching Sessions

  • Includes three pre-paid Therapy/Coaching sessions per policy year

  • Team members can pay for extra therapy sessions themselves, if needed.

Premium

Platform Access

Access to the wellbeing platform and app, which includes:

  • Personalized wellbeing assessment

  • Access to world-class self-guided content library with audio mindfulness & meditation sessions, guided yoga videos, talks, podcasts on workplace wellbeing, and micro-learning content series for managers

  • Access to manager-specific learnings and resources

  • Precision matching for 1:1 coaching and therapy in 35+ languages

  • Professional coaching

  • Text-based chat with dedicated practitioner

  • 24/7 global support in all languages

  • Add up to 3 friends and family to the platform

Therapy and Coaching Sessions

  • Includes six pre-paid Therapy/Coaching sessions per policy year

  • Team members can pay for extra therapy sessions themselves, if needed.

Platinum

Platform Access

Access to the wellbeing platform and app, which includes:

  • Personalized wellbeing assessment

  • Access to world-class self-guided content library with audio mindfulness & meditation sessions, guided yoga videos, talks, podcasts on workplace wellbeing, and micro-learning content series for managers

  • Access to manager-specific learnings and resources

  • Precision matching for 1:1 coaching and therapy in 35+ languages

  • Professional coaching

  • Text-based chat with dedicated practitioner

  • 24/7 global support in all languages

  • Add up to 3 friends and family to the platform

Therapy and Coaching Sessions

  • Includes twelve pre-paid Therapy/Coaching sessions per policy year

  • Team members can pay for extra therapy sessions themselves, if needed.

Wellness

Wellness Benefit

Clients can choose to offer the Wellness & Lifestyle Benefit and select from multiple contribution levels, providing their team members a monthly wallet, which they can use with their virtual card at approved stores, online retailers, or any other approved vendors related to Lifestyle and Wellness benefits. The offered services include:

  • Physical and mental health support such as gym memberships, fitness classes, therapy, mindfulness apps, and guided meditation.

  • Lifestyle services like streaming subscriptions (Spotify, Netflix), groceries, and other services that support work-life balance and personal well-being.

  • Personalized recommendations to help employees select benefits most relevant to their needs.

  • Platform support for employees needing immediate assistance or guidance on wellness-related concerns.

The available contributions are:

  • $25 USD

  • $50 USD

  • $100 USD

  • $150 USD

  • $200 USD

  • $250 USD

  • $300 USD

Payroll management in China

China has a rapidly growing economy with key industries in manufacturing, technology, and finance. With specific labor laws and tax regulations, employers in China must ensure compliance with local payroll requirements, including social security contributions, employment contracts, and tax obligations. Understanding these regulations is essential for smooth payroll operations and legal compliance.

Payroll breakdown in China

Employers in China must adhere to national payroll regulations regarding wages, taxes, and social contributions. Below is an overview of key payroll components:

Minimum wage and working hours

  • Minimum wage: China’s minimum wage varies by region, with Shanghai having the highest at CNY 2,590 per month.

  • Payroll frequency: Salaries are generally paid monthly.

  • Standard working hours: The normal workweek in China is 40 hours, typically spread over five days.

  • Overtime: Employees are entitled to additional pay for overtime work, calculated at 150% of the regular wage for extra hours and 200% for work on rest days and 300% for work on public holidays.

Taxation and social security contributions

  • Personal income tax: China has a progressive income tax system with rates ranging from 3% to 45% depending on income levels.

  • Employer contributions:

    • Pension fund: Approximately 16% of the gross salary.

    • Medical insurance: 6% of the gross salary.

    • Unemployment insurance: 0.5% of the gross salary.

    • Work injury insurance: 0.16% to 1.52% of the gross salary (varies by region).

    • Housing fund: 5% to 12% of the gross salary (varies by city).

  • Employee contributions:

    • Pension fund: 8% of the gross salary.

    • Medical insurance: 2% of the gross salary.

    • Unemployment insurance: 0.5% of the gross salary.

    • Housing fund: 5% to 12% of the gross salary (varies by city).

  • Corporate tax: The corporate income tax rate in China is 25%, with preferential rates for small enterprises.

  • Tax reporting: Employers must file payroll taxes and contributions with the Chinese tax authorities regularly.

Payroll compliance

  • Employment contracts must be provided in writing and specify terms such as salary, working hours, and job responsibilities.

  • Payroll deductions: Employers must ensure accurate deductions for social security and income tax.

  • Employers must stay updated on changes to China’s labor laws and tax regulations to avoid penalties.

Quick facts: Important considerations for employers

  • Payroll frequency: Salaries are generally paid monthly.

  • Currency: Payroll in China is processed in Chinese Yuan (CNY).

  • Tax reporting: Employers must file payroll taxes and contributions with the Chinese tax authorities.

  • Payroll deductions: Employers must ensure accurate deductions for social security and income tax.

  • Payroll compliance: Employers must stay updated on changes to tax rates and reporting requirements.

Run payroll in China with Remote

Managing payroll in China requires careful attention to tax regulations, employment laws, and social security requirements. Employers must stay informed about tax rates, wage laws, and reporting deadlines to ensure smooth payroll processing and avoid penalties.

The good news is, you can pay anyone, anywhere — from your team in the office to your team abroad, all with Remote Payroll. To see just how easy global payroll can be with Remote, book a demo today.

Contractor management in China

Hiring contractors in China can be a strategic and cost-effective way for businesses to complete projects without the obligations of hiring full-time employees. Whether you are engaging independent contractors for specialized services or bringing in subcontractors for specific tasks, understanding China’s labor laws and regulations is essential.

Staying compliant with Remote’s contractor management

Remote helps businesses stay compliant when hiring contractors globally with these key features:

  • Global compliance support: Ensures adherence to labor laws in 200+ countries with localized contracts and proper documentation.

  • Misclassification protection: Includes built-in compliance checks and seamless contractor-to-employee conversion.

  • Centralized documentation: Maintains essential records for audits and automates tax filings.

  • Legal expertise: Provides guidance on complex local labor laws, simplifying international hiring.

Remote’s streamlined approach minimizes compliance risks and simplifies contractor management for businesses.

Seamless contractor payments with Remote

Remote simplifies contractor payments with:

  • Automated processing: One-click approvals, bulk payments, recurring invoices, and real-time tracking.

  • Global coverage: Payments in 200+ countries, multiple payment methods, and currency flexibility.

  • Cost and compliance: Fair price guarantee (pay only for active contractors), built-in compliance with regional regulations, and localized contracts.

Learn more about how Remote simplifies contractor management in China — get started for free today.

Employer of record in China

Our employer of record (EOR) service enables you to hire, manage, and pay top talent in China with speed and simplicity.

What is an EOR — and how does it work?

Remote’s EOR allows your company to legally hire employees in China without having to set up a local legal entity. On paper, Remote is the official employer, and we handle compliance, payroll, benefits (including equity), and other HR processes — but you maintain full control over the hire’s day-to-day management and work responsibilities. Learn more.

Where can you hire in China with Remote EOR?

Currently, you can only hire through Remote's EOR in China in the following provinces:

  • Shanghai

  • Beijing

  • Guangdong

  • Zheijang

Who should consider using an EOR in China?

An EOR may be ideal if your company:

  • Needs to hire employees in China but doesn’t want to establish a legal entity

  • Is testing local markets before committing to a full business expansion

  • Wants to ensure full compliance with local employment laws and tax requirements

  • Needs a fast, cost-effective way to onboard employees in China

  • Needs a temporary hiring solution before establishing a legal entity

Why use Remote’s EOR in China?

If your company wants to hire talent in China but doesn't have a legal entity there, our EOR provides a fully compliant and efficient solution. China has strict employment and payroll tax laws, and our EOR service ensures you meet these legal obligations while enabling you to grow quickly.

Key benefits of hiring through our EOR in China include:

  • Faster market entry. You can hire talent quickly, without having to wait months to establish a local entity.

  • Full compliance with local employment laws. Avoid the legal risks associated with non-compliance and misclassification.

  • Simplified payroll management. We automate payroll tax calculations and ensure you are fully compliant with all withholding obligations, even when laws change.

  • Lower costs. Setting up a legal entity in China can be costly and time-consuming. An EOR eliminates the need for entity registration, reducing overhead expenses.

  • Fewer resources required. With HR, payroll, and compliance managed by the EOR, your company can concentrate on scaling operations and assigning your resources elsewhere.

It’s also crucial to note that, at Remote, we own our own legal entity in China. As a result, we don’t need to rely on third parties, which can incur delays and extra costs, and result in a negative employee experience. All our EOR services — including the dedicated support of our local specialists — are provided in-house.

To learn more — and to see our EOR platform in action — book a demo with one of our friendly experts today.

Transparent Pricing in China

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  • NZD
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  • CHF
  • JPY
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Employer of Record

$699

per employee/month

  • Hire without opening a local entity in 90+ countries

  • Onboarding with a dedicated specialist

  • Local payroll paid on time, every time

  • Compliance protections built-in

  • Competitive, flexible and localized benefits

  • Dedicated in-house experts for local support

  • Includes HR Essentials as standard

Payroll

$29

per employee/month

  • Powerful, transparent international payroll

  • Simple self-service platform

  • Personalized support from dedicated specialists

  • Adhere to local payroll regulations in every country

  • Integrated benefits management

  • Includes HR Core as standard

Contractor Management

$29

per contractor/month

  • Only pay for contractors you actively work with

  • Work with international contractors

  • Create, edit, and sign tailored, localized contracts

  • Approve contractor invoices with one click or auto-pay

  • Transparent payments with complete visibility

  • Includes HR Core as standard