The Chinese market is still a popular choice for investment, and many foreign companies want to be a part of it. Hiring in China is a wise decision for any company, whether it is just getting a foot in the door or is rapidly expanding. Many companies are planning to open their branches in China, while there are several challenges you are facing.
It is complicated to deal with foreigner employment in China these days due to the covid-19 situation, and Chinese labor law is very strict to foreigner taxes. Hiring Chinese employees from a China-based staffing agency is the best option. Speaking the language, understanding the culture, and having local knowledge are all reasons why Chinese employees can be beneficial to your business.
According to Chinese law, employers may only be Chinese companies. When someone performs employment-like services for you or your company while also providing professional services, that person is your employee. You must comply with all requirements in order for the employment relationship to be fulfilled. There are companies in China that can provide employment and payroll services to foreign companies looking to hire for specific types of short and long-term projects, tasks, and jobs.
When it comes to foreign companies hiring Chinese workers, the Chinese government has strict rules in place.
If you are a foreign company looking to hire people in China for specific projects or even as regular employees, it is illegal to hire the employee directly.
Employment solutions allow foreign employers to hire Chinese employees in China without establishing a company and, as a result, outsource all employer liabilities, from the signing of a local compliant employment contract to monthly payroll, income taxation, mandatory benefits (social security), and visa procedures (applicable to foreign employees).
Using payroll solutions is currently the best option for hiring employees in China without a local company, whether in terms of legality, convenience, or financial viability.
China Payroll is an example of this type of company. We offer employee leasing services such as HR and accounting to clients who do not have a legal entity. China Payroll is a fully licensed provider of employment services or employee leasing in China.
Through employment solutions, China Payroll enables foreign companies to expand their operations in China. We are a one-stop agency for Human Resources for foreign companies and businesses looking to establish and operate in China. If you want to learn more about how to hire employees in China, feel free to contact us.