What are the provisions for working hours and rest days in China?
In Mainland China, the statutory working time is 8 hours a day, 40 hours a week, 5 working days a week, and 2 rest days a week. Regarding the statutory leave, the PRC Labor law provides that the employee shall have 1 day off on the new year's day, 3 days off on the Chinese new year holidays, 1 day off on the international labor day, 2 days off on the national day. The Company should make arrangement for the employees to take leave on the statutory holidays and other rest days as prescribed under the law.
What are minimum wages?
The PRC law provides that the people's government of provinces, autonomous regions, and municipalities directly under the State Council lay down the level of the minimum wage. In setting the minimum wage level, different standards are adopted for different parts of the provinces and autonomous regions. Municipalities directly under the State Council adopt the same standards throughout the city.
What rules are in place regarding the payment of salaries and wages?
Salaries and wages are payable in currency on a monthly basis. Non-cash payment in lieu of currency shall not be allowed.The staff and workers are entitled to pays during statutory holidays, marital leave, and personal leave for death in the family.
During overtime, the employer should pay the employees in accordance with the following standards: (1) for normal overtime work, employer should pay the employee no less than 1.5 times the normal wage rate; (2) for work during rest days in the absence of arrangement for compensating leaves, the employer should pay the employee no less than 2 times the normal wage rate; (3) for work during the statutory holidays, the employer should pay the employee no less than 3 times the normal wage rate.
What are the legal provisions for other alternatives if the Company cannot adopt the normal standard working time?
If the employers cannot adhere to the normal working time, they can adopt other alternative working time systems, subject to the approval of the local Labor Department. The alternative working system may be non-fixed working hour systems, which apply to the senior management or drivers, or the comprehensive working day system, which is used for business activities subject to weather and seasonal factors such as farming and finishing.
Can the employer force the employee to work overtime? What are the provisions regarding working hours for overtime?
The employer cannot force the employee to work overtime. The time for working overtime should not exceed 3 hours per day, subject to a ceiling of 36 hours in a month. The legal restrictions on employees working overtime shall not apply in situation of accidents, catastrophes, breakdown of production equipment, transportation, and public facilities where the public interests are in jeopardy.