China Labour Law Updates: February 2024

Are you aware of the latest labour law updates in China? We highlight the essential changes that took place in February 2024 that you should pay attention to across the key states in China!

1. New Minimum Wage

LocationEffective Date Minimum Wage per Month (RMB)
Nanjing, Jiangsu ProvinceJanuary 20242,490
Changzhou, Jiangsu ProvinceJanuary 20242,490
Huaian, Jiangsu ProvinceJanuary 20242,260
Kunshan, Jiangsu ProvinceJanuary 20242,490
Nantong, Jiangsu ProvinceJanuary 20242,490
Suzhou, Jiangsu ProvinceJanuary 20242,490
Jiangyin, Jiangsu ProvinceJanuary 20242,490
Wuxi, Jiangsu ProvinceJanuary 20242,490
Xuzhou, Jiangsu ProvinceJanuary 20242,260
Yancheng, Jiangsu ProvinceJanuary 20242,260
Yangzhou, Jiangsu ProvinceJanuary 20242,490
Zhangjiagang, Jiangsu ProvinceJanuary 20242,490
Zhenjiang, Jiangsu ProvinceJanuary 20242,490
Shaoxing, Zhejiang ProvinceJanuary 20242,260
Wuhan, Hubei ProvinceFebruary 20242,210
Shiyan, Hubei ProvinceFebruary 20241,950
Yichang, Hubei ProvinceFebruary 20242,210
Nanchang, Jiangxi ProvinceApril 20242,000
Ganzhou, Jiangxi ProvinceApril 20241,870

2. The Work Injury Insurance

Guangdong Province

In February 2024, Guangdong Province issued a notice detailing the revised long-term benefits payment standards for the work-related injury insurance in 2023. The notice specifies adjustments to disability allowances, living care fees, dependent relatives’ pensions, and other benefits within the province. This adjustment applies to employees who have been receiving disability allowances and living care allowances, as well as dependent relatives who have been receiving the death grant before 31 December 2022, and remain eligible for benefits after 1 January 2023. The adjustment standards are as follows:

Minimum Disability Allowances

  • Disability Grade 1 increased by RMB124 per month
  • Disability Grade 2 increased by RMB116 per month
  •  Disability Grade 3 increased by RMB108 per month
  • Disability Grade 4 increased by RMB100 per month

After the adjustment, for those with disability allowances grade 1 to 4 below RMB4,611/month, the benefits should be adjusted to the standard of RMB4,611/month. This adjustment also applies to employees who have suffered from grade 1 to 4 work-related injuries and are receiving disability allowances for the first time within the period of 1 January 2023 to 31 December 2023.

The adjustment of disability allowances for employees who have suffered grade 5 & 6 work-related injuries and disabilities shall not be lower than the standards of RMB92/month and RMB84/month respectively.

Living Care Allowances

The Activities of Daily Living (ADL) disabilities at levels 1, 2, 3, and 4 in Guangzhou, Shenzhen, and the provincial level are adjusted and issued according to the standards of 60%, 50%, 40%, and 30% respectively, of the average monthly wages of urban non-private sector employees in 2022 (with the issuance base of Guangzhou and Shenzhen being RMB12,694 and RMB13,730 respectively, and the provincial level calculated based on the issuance base of Guangzhou).

Other cities in the province will adjust and pay based on the average monthly salary in non-private units in the province in 2022 (i.e. the base for calculation is RMB10,577). The adjustment is as follows:

Grade of ADL disabilityMonthly Living Care Allowances (RMB)
Grade 16,346.2
Grade 25,288.5
Grade 34,230.8
Grade 43,173.1

After the adjustment, those experiencing reduced allowances will not have their adjustments made based on the aforementioned standards temporarily. Instead, individuals with grade 1, 2, 3, 4 of ADL disabilities will receive an additional RMB130/month, RMB120/month, RMB110/month and RMB100/month respectively, on top of the original standards, effective from 1 January 2024. 

Death Grant

  • Eligible persons will receive an additional RMB10 per month.
  • Spouse/widowed elders/widows /orphans receive an additional RMB15 per person.
  • If the spouse is an elderly person living alone, the monthly allowance will be increased by RMB20 per person.

After the adjustment, if the monthly death grant is lower than the 2023 minimum living security standard in the city, it should be raised to the local minimum living security standard from January 2023.

Shenyang City, Liaoning Province

Shenyang City, Liaoning Province, released a Q&A on work-related injuries. Below are some key points:

Work Injury Insurance Coverage

Enterprises, government agencies, institutions, social groups, private non-enterprise units, foundations, law firms, accounting firms and other organisations within the territory of the People’s Republic of China, as well as individual industrial and commercial households with employees, shall contribute to the work-related injury insurance in accordance with the “Regulations on Work-related Injury Insurance” and pay work-related injury insurance premiums for all employees or employees of the unit.

Adjustment of Monthly Disability Allowance in 2023

  • Disability Grade 1 increased by RMB108 per month
  • Disability Grade 1 increased by RMB101 per month
  • Disability Grade 1 increased by RMB96 per month
  • Disability Grade 1 increased by RMB90 per month

After adjustment, the minimum disability allowance standards are: disability grade 1 RMB2,939/month, grade 2 RMB2,768/month, grade 3 RMB2,612/month, and grade 4 RMB2,456/month.

Adjustment of Living Care Allowances in 2023

  • Person who is unable to independently care of oneself will receive an additional RMB85 per month.
  • Person who has limited ability to take care of oneself will receive an additional RMB70 per month.
  • Person who is partially unable to take care of oneself will receive an additional RMB58 per month.

After adjustment, the living care allowances are: RMB2,300/month for those who unable to independently care for themselves, RMB1,908/month for those who have limited ability to take care of themselves, and RMB1,587/month for those who are partially unable to take care of themselves.

Adjustment of Death Grant in 2023

  • Spouses will receive an additional RMB50 per month.
  • Other family members/relatives will receive an additional RMB47 per month.

After adjustment, the minimum death grants are: RMB1,375 /month for spouses, RMB1,280/month for other family members or relatives, and an additional RMB20 per month for the elderly or orphans.

One-time Work-related Death Grant

The one-time work-related death grant is 20 times the disposable income of urban residents nationwide in the previous year.

3. Increase in the Maximum Contribution Base of the Housing Provident Fund

Changchun City, Jilin Province issued a notice on the adjustment of the housing provident fund payment base in 2024, clarifying that each unit should use the average monthly salary of employees in 2023 as the employee housing provident fund payment base in 2024.

The upper limit of the deposit base is tentatively set at RMB25,224, and will be adjusted after the average annual salary of the province in 2023 is announced. The lower limit of the deposit base in Changchun City is the city’s minimum wage standard of RMB1,880, and the lower limit of the employee housing provident fund deposit base in Shuangyang District, Jiutai District, Yushu City, Dehui City, Nong’an County, and Gongzhuling City is RMB1,540.

Parental Leave Policy

Jilin Province has released a set of implementation opinions aimed at enhancing and executing proactive fertility support measures. These opinions outline a range of strategies intended to bolster the attainment of moderate fertility rates and foster the sustained, balanced development of the province’s population over the long term.

Specific measures include the implementation of maternity leave, parental leave and single-child parental care leave systems:

  • Eligible female employees who give birth are entitled to 180 days of maternity leave, and men are entitled to 25 days of parental leave.
  • Before the child turns 3 years old, each couple can enjoy a total of 20 days of parental leave per year.
  • Parental leave is accrued on working days throughout the year. During the period when employees are enjoying the above-mentioned leave, they will be treated according to their normal work, their wages and bonuses will be paid as usual, and other benefits will remain unchanged.
  • If the parents are aged 60 and above, are ill and hospitalised, their only child will enjoy a cumulative 15 days of caregiving leave each year.

Related articles:

  1. China Labour Law Updates: January 2024
  2. China Labour Law Updates: December 2023
  3. China Labour Law Updates: November 2023
  4. Labour Law Insider – APAC 2024 Q1 Legislation Update