Beijing has announced updated living-care allowance standards for employees who suffered work-related injuries and have been assessed as disability level 1 to 4. Effective July 1, 2025, the adjustment strengthens compensation for injured workers requiring daily assistance.
Revised Monthly Allowance Rates
The new payment standards (if the previous entitlement was lower) are:
- CNY 6,024.5 / month – fully unable to self-care
- CNY 4,819.6 / month – mostly unable to self-care
- CNY 3,614.7 / month – partially unable to self-care
These rates apply to all individuals receiving living-care allowances as of December 31, 2024. Payments may come from the work-injury insurance fund or, if the employer is not enrolled, be borne directly by the company.
Implications for Employers and Payroll Teams
1. Payroll System Updates
Employers must update payroll and benefits configurations to reflect the new allowance amounts, which must be calculated separately from salary and other compensation items.
2. Budget Adjustments
The increased allowance may raise employer costs, particularly for companies outside the pooled insurance system. HR and finance teams should adjust labor-cost forecasts accordingly.
3. Compliance Requirements
Correctly issuing the updated allowance is mandatory under Beijing’s work-injury insurance regulations. Underpayment may lead to legal risk or labor disputes.
4. Employee Welfare Management
The adjustment underscores Beijing’s focus on protecting employees with severe work-related disabilities. Ensuring timely and accurate payments supports employee well-being and reduces employer risk exposure.
Why This Matters for Businesses
Work-injury benefits form an essential part of China’s labor-protection framework. For companies operating in Beijing, staying current with evolving compensation standards is crucial for payroll accuracy, compliance, and responsible employment practices.
ChinaPayroll tracks wage and benefit policy updates nationwide and helps companies incorporate regulatory changes into payroll systems, ensuring accurate and compliant compensation for all employee categories.
Source: https://www.beijing.gov.cn/fwcj/jiage/zxfb/667542ca8fe19c19440cffa9.html
