Image Source: Wikimedia Commons / Public Domain
1. Country Overview
China is the world’s second-largest economy, a premier global manufacturing and high-tech powerhouse with an immense talent pool in AI, software, hardware, and e-commerce.
2. Geography
Spans Eastern Asia, bordering 14 nations and the Pacific Ocean.
3. Culture & Languages
Dynamic, relationship-oriented (Guanxi) corporate environment. Monday to Friday workweek with official public holiday Golden Weeks.
4. History
Global economic and technology leader with extensive industrial supply chains and digital platforms.
5. Labour & Employment Law History
Governed by the Labour Law and Labour Contract Law of the People’s Republic of China, providing strict statutory contract requirements and severance rules.
6. Currency, Capital & Key Facts
7. Employment Snapshot
Standard workweek is 40 hours (8 hours daily). Written employment contracts are legally mandatory within one month (failure carries statutory double-salary penalties). Open-ended contracts mandatory after two consecutive fixed terms.
8. Payroll & Tax
Individual Income Tax (IIT) progressive rates up to 45% with standard deductions. Mandatory Social Insurance (5 insurances: pension, medical, work injury, unemployment, maternity) + Housing Fund (5 Social Insurances and 1 Housing Fund - 五险一金), totaling ~35%–40% employer and ~18%–20% employee.
9. Benefits & Leave
Statutory annual leave scales with total career working experience (5 to 15 days), plus 11 statutory national public holidays.
10. Contractors & Worker Classification
Very strict regulatory enforcement. Individuals cannot be easily engaged as independent contractors without registered commercial business entities (Getihu).
11. Immigration & Work Permits
Foreign employees require a Notification Letter of Foreigner’s Work Permit and Z-Visa, converted to a Work-type Residence Permit upon arrival.
12. Employer of Record (EOR) & PEO Capabilities
Foreign companies without a local China WFOE must employ Chinese citizens through a licensed domestic labor dispatch/FESCO service entity under Chinese labor dispatch regulations.
13. Matched Verified Providers for China
Providers below are cross-referenced with EOR.one's global provider intelligence registry:
14. Related Global Expansion Services
15. Official Sources Reviewed
- China Ministry of Labour & Employment / Official Gazette ↗ Government / Regulatory Authority · Accessed 2026-09-01
- International Labour Organization (ILO) — China Country Profile ↗ International Organization · Accessed 2026-09-01
- The World Bank Group — China Economic & Labour Market Data ↗ Global Development Institution · Accessed 2026-09-01
- National Statistical Authority & Tax Administration of China ↗ Official Statistics / Tax Authority · Accessed 2026-09-01
16–18. Next Steps for Hiring in China
Choose the appropriate route for your hiring requirements in China: