Will Your Salaries Be Affected by the Recent Outbreak?

The recent outbreak has put a lot of pressure on corporations across the country, many of which have had a hard time resuming their operations and production back to pre-virus levels. 

While such difficult times are expected to affect employees’ wages, the Vice Minister of the Ministry of Human Resources and Social Security, You Jun, has shared details on recent salary schemes at a press conference on February 28.

1. Spring Festival salaries

Despite the outbreak surge during the Chinese New Year, all salaries during this period were paid in full until February 2.

2. Post-Spring Festival salaries

To curb the spread of the then-recent virus across the country, the government urged companies not to resume operations until February 10, forcing millions of employees to start working from home. Many stayed in their hometowns where they had traveled to visit their family during the New Year holiday.

Salaries were still expected to be owed in full between February 3 and February 9. This also applied to companies that remained closed during that extended time period. 

For anyone unable to return to their office and thus not working for over a month, their basic living expenses should be reimbursed by their company according to each organization’s policies and local regulations. 

For instance, living expenses in Shandong province should be no less than 70% of the minimum wage; expenses in Qingdao no less than 80% of the minimum wage, and Shanghai 100%.

3. Annual leave

Employees who worked for more than 12 consecutive months without taking any of their attributed paid annual days off are owed an additional 5, 10, or 15 days of holiday, during which they will receive the salary in full.

Note: The amount of extra annual leave varies based on each company’s policies. You will need to ask your own human resources department for further information on how many days you are owed.

4. Self-quarantine

Employees required to quarantine themselves in their homes for up to 14 days after returning from virus-affected regions of China and/or posing a potential health risk to others are still owed their full salary while at home. This was the case in Beijing, which urged all employees returning to the capital after the New Year to quarantine themselves or undergo medical observations for 14 days before going back to work.

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In addition to salaries, social security allowances are also expected to be paid as usual.

Enterprises that have been greatly affected by the epidemic, particularly small and medium-sized companies, can apply for phased reductions and exemptions of expenses such as pensions, unemployment and work-related medical/injury insurance.

Editor: Crystal H

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