According to the Methods on Levying, Use and Management of Disabled Persons’ Employment Security Fund issued by the Chinese government on 9 September 2015 (“Methods”), an enterprise is obliged to make contributions to the Employment Security Fund for Persons with Disabilities (“Fund”) on the basis of the average annual salary of its employees in the previous year. Starting from 2016, the new policies were implemented in around sixteen provinces such as Beijing, Anhui, Liaoning, Shanxi and Shaanxi. Many enterprises complained about the new policies because they had to pay much more contributions to the Fund than before.
On 15 March 2017, the Ministry of Finance issued the Notice on Relevant Policies about Cancellation and Adjustment of Some Governmental Funds (“Notice”).
To read the details, please click "Read More" below.