Notice on the Exemption of the Payment of Social Insurance Premiums for Companies in China

In February, the China State Council decided to reduce or exempt corporate social insurance premiums for enterprises. The exemption was originally valid until the end of June 2020.

Recently, the State Council revised that decision and send out another notice, mentioning in particular two points:

  • All provinces, autonomous regions, and municipalities directly under the Central Government have extended the exemption of the payment of the social insurance premiums until the end of December 2020;
  • Enterprises that have serious difficulties in production and operation because affected by the epidemic situation, may continue to postpone the payment of social insurance premiums until the end of December 2020 and will be exempt from late fees during the postponement period.

Recently the Shanghai Municipal Government released more information regarding the extension of the period of implementation of the three social insurance premium policies for enterprises in phased relief.

The social insurance premiums involved are:

  • Pension
  • Unemployment
  • Work-related injuries

You can check the details in the table below.

Enterprise Type

Relief Type

Execution Period

Medium, small and micro enterprises
Individual business

Exemption Extended to December 2020

Large enterprises and others (including private non-enterprise units, social organizations, and other social organizations)

Halving Extended to December 2020

Stay updated on China’s Latest HR & Employment Insights.