The General Office of the State Council of the PRC released a circular (Guobanfa [2023] No.11) recently, clarifying that China will continue to implement the unemployment insurance refund policy in 2023.
Enterprises entitled to the unemployment insurance refund shall meet the following requirements:
Participate in unemployment insurance in accordance with the law and pay full unemployment insurance premiums;
Have not laid off employees in the previous year or the layoff rate is not higher than the control target of the surveyed urban jobless rate in the previous year;
The layoff rate of an enterprise with 30 or less employees is not higher than 20% of the total number of insured employees.
The refund rates for 2023 are as follows:
Small, Medium and Micro Enterprises: up to 60% of the actual unemployment insurance premiums paid by both the employer and employees in the previous year.
Large Enterprises: up to 30% of the actual unemployment insurance premiums paid by both the employer and employees in the previous year.
Social groups, foundations, social service agencies, law firms, accounting firms, and self-employed households that participate unemployment insurance may enjoy the unemployment insurance refund policy with reference to the above rules.
KAIZEN Group is equipped with experienced and highly qualified professional consultants and is therefore well positioned to provide professional advices and services in respect of the formation and registration of company, application for various business licences and permits, company compliance, tax planning, audit and accounting in China. Please call and talk to our professional consultants for details.
