June 2024 - Shanghai Unemployment Insurance Stabilization and Return Policy Update
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June 2024 - Unemployment Insurance/Return Policy
We are pleased to bring you the latest updates on Shanghai's unemployment insurance policy, which is designed to support the stability and growth of businesses in the city.
Companies, including foreign invested enterprises, that have a layoff rate not exceeding 5.5%, have paid unemployment insurance premiums on time and in full, and have a good credit record are eligible for this policy.
Companies, including foreign invested enterprises, that have a layoff rate not exceeding 5.5%, have paid unemployment insurance premiums on time and in full, and have a good credit record are eligible for this policy.
Notes:
Kindly note that this policy is set to run until December 31, 2024. Following our communication with the local authorities, it is suggested to submit the application for return by the end of June.
1. Return Ratios
The policy stipulates that large enterprises will receive a 30% return of the unemployment insurance fees paid by the company and its employees in 2023. For medium, small, and micro enterprises (“SMEs”), the return rate is 60%.
2. Return Process
Companies that meet the criteria will receive a notification via SMS. They can then confirm their bank account details through the self-service platform for social security management.
Action required:
Ensure your company's details are updated on the self-service platform and submit the application for the unemployment insurance return by the end of June.
We remain available should you have any questions. Please do not hesitate to reach out to your Forvis Mazars point of contact.
Contact
Joan WU Qiong Partner, Accounting & Outsourcing Solutions - Guangzhou Tianhe District
Julia ZHEN Xiaoyun Partner, Accounting & Outsourcing Solutions - Beijing
Notes:
Kindly note that this policy is set to run until December 31, 2024. Following our communication with the local authorities, it is suggested to submit the application for return by the end of June.
1. Return Ratios
The policy stipulates that large enterprises will receive a 30% return of the unemployment insurance fees paid by the company and its employees in 2023. For medium, small, and micro enterprises (“SMEs”), the return rate is 60%.
2. Return Process
Companies that meet the criteria will receive a notification via SMS. They can then confirm their bank account details through the self-service platform for social security management.
Action required:
Ensure your company's details are updated on the self-service platform and submit the application for the unemployment insurance return by the end of June.
We remain available should you have any questions. Please do not hesitate to reach out to your Forvis Mazars point of contact.