Employment 2025

CHINA Law and Practice Contributed by: Linda Liang, Piao Liu, Chutian Wang and Xiangbo Lv, King & Wood Mallesons

• the job description and the work location; • the working hours, rest time and leaves; • remuneration; • social insurance; • labour protection, working conditions and protec - tion against occupational hazards; and • specific provisions on the protection of the rights and interests of female employees. Part-time employees may enter into oral agreements with the employer. The employer is not allowed to stip - ulate a probation period with the part-time employee. 1.3 Working Hours For full-time employees, there are three types of work - ing hour systems, under which different rules for work - ing hours apply. • Standard working hours system: employees work no more than eight hours per day and no more than 40 hours per week (“Statutory Standard”), and are entitled to at least one rest day every week. Otherwise, overtime will occur. • Comprehensive working hours system: this is gen - erally applicable to certain special industries requir - ing long shifts (eg, transportation, airlines, fishery industry, offshore oil exploration), and the employer must obtain approval from the competent authori - ties, unless otherwise provided by local regulations and rules. Working hours are calculated within a certain calculation cycle (month/quarter/year). The average daily working hours and the average weekly working hours must not exceed the Statu - tory Standard. Otherwise, overtime will occur. • Flexible working hours system: this is only applica - ble to certain job positions (eg, executives, sales personnel, taxi drivers). Similarly, the employer must obtain approval from the competent authori - ties, unless otherwise provided by local regula - tions and rules. The employee can perform his/ her duties on a flexible schedule, provided that he/ she properly completes the work assignment in a timely manner. Part-time employees are employees who generally work with an employer for no more than four hours per day on average and no more than 24 hours per

week in total. There are no special rules/restrictions applicable to working hours for part-time employees. Overtime Overtime refers to the working time that the employer arranges or approves the employees to work over the Statutory Standard. According to the PRC Labour Law (the “Labour Law”), overtime shall not exceed three hours per day or 36 hours per month. Under the standard working hours system, the employer shall compensate the employee’s overtime work in the following ways. • For overtime work during working days, the employer should pay not less than 150% of the employee’s normal hourly wage. In general, alter - native rest days should not be used to substitute overtime pay for working days. • For overtime work during rest days, the employer can first consider making arrangements for employees to take alternative rest days. If such alternative rest days cannot be arranged, the employer should pay not less than 200% of the employee’s normal daily or hourly wage. • For overtime work during a statutory holiday, the employer should pay not less than 300% of the employee’s normal daily or hourly wage. In general, alternative rest days should not be used to substi- tute overtime pay for statutory holidays. Under the comprehensive working hours system, the employer should pay not less than 150% of the employee’s normal hourly wage for the extra hours worked during the calculating cycle (regardless of whether the extra hours are for work days or rest days), and not less than 300% of the employee’s nor - mal daily or hourly wage for the extra hours worked on statutory holidays. Under the flexible working hour system, employees shall not generally be entitled to overtime pay, but the rules are slightly different among provinces and cities. For example, in Beijing, employees under the flexible working hour system are not entitled to any overtime pay at all. However, in some other cities, employees who work extra hours on statutory holidays will still be

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