An Ultimate Guide to Hire Experts in China in 2023

ByManish kumar
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The greatest economy on earth is that of China. For international businesses, finding staff in China presents several difficulties. China has a complicated set of labor rules of its own, and failure to abide by them may result in fines, back pay, or even the revocation of your company license.

This article contains all of the information you need to legally recruit experts in China, including its terms and conditions, methods for hiring China experts, etc.

Employment laws in China

According to the People’s Republic of China’s Labor Law, employees are only permitted to work a maximum of eight hours each day or 44 hours per week. The normal workday for employees is from 8 am to 6 pm, with a two-hour lunch break. Additionally, the legislation specifies paid vacation periods based on the number of years of employment.

Payday for salaries is the last working day of each month. In China, a typical workday lasts eight hours, five days a week, for a total of forty hours worked. Employees are paid 150% of their usual rate on workdays, 200% on weekends, and 300% on holidays for labor accomplished over the norm.

It is unlawful to recruit an individual directly if you are a foreign business looking to hire individuals in China for specific projects or even as regular employees. The best choice is to recruit Chinese workers through a hiring company established in China.

The easiest method to onboard new workers is to draught a solid employment contract that specifies their pay, perks, and termination policies. According to Chinese labor legislation, all offer letters and employment contracts must include remuneration levels in the Chinese yuan renminbi. Employers are also required to establish an employment contract with all employees.

Recruiting in China

Depending on the business you work in, hiring in China might be quite difficult. There are frequently a large number of work possibilities available to local individuals. The majority of the most qualified workers already have jobs; therefore, they aren’t actively hunting for new ones. To find elite talent, some businesses opt to collaborate with EOR.

You must have a strong bonus program, an alluring wage, and alluring career advancement prospects if you want to entice the top workers to your business. In China, timing is equally crucial when recruiting.

How to hire employees in China?

There are three options for foreign companies to hire people in China.

  • Forming a legal organization.
  • Collaborating with an Employer of Record in Chinese.
  • Hiring of contractors
Forming a legal organization

The creation of a legal corporation is a difficult procedure that costs a lot of time and money. Common organizational forms are Wholly Foreign-Owned Enterprises (WFOE), Joint Ventures (JV), and Representative Offices (ROC). Instead, many companies choose to engage through an employer of record in China, which enables them to maintain a legal presence in China without setting up a local corporation.

Collaborating with an EOR

An employer of record (EOR) is a third-party corporation that employs, compensates, and oversees your distributed labor on your behalf. Without creating a formal business, an EOR enables you to recruit top people in China and simplify the onboarding procedure. With this choice, you may explore the market before committing to a lengthy growth. They take care of everything, including payroll and risk management.

Hiring of Contractors

The scope of the work to be done and other particular requirements must be included in contractor agreements. Direct contractor hiring by foreign businesses is prohibited in China. Instead, companies must work with a regional organization to employ contractors. For instance, Chinese regulators might consider your talent to be an employee under Chinese law if you controlled your contractors’ working hours or procedures.

Steps to begin recruiting in China
  1. Post positions on many Chinese employment sites, such as Linkedin, zhaopin.com, and liepin.com. Leave the recruiting to the EOR or recruitment.
  2. Analyze the submitted applications to identify the most eligible applicants in accordance with the needs of the organization.
  3. Interview the finalists in the hiring process.
  4. Send an offer letter to the top prospects after making your selection.
  5. Send the employment contracts to the selected individuals as soon as they accept the offer letters.
  6. Hire the personnel, complete the relevant paperwork, and onboard them.
Conclusion

For multinational enterprises, the Chinese market offers a wide range of opportunities and difficulties. Even though entering this industry might be difficult, having a knowledgeable partner on your side can make all the difference.