Introduction to EOR Employment Model
Employer of Record (EOR) is a popular employment model in China that allows foreign companies to hire employees without establishing a legal entity in the country. Under this model, the EOR acts as the official employer, taking on the responsibility for payroll, taxes, benefits, and compliance with local labor laws. This allows the foreign company to focus on its core business activities while ensuring that its employees are properly managed and protected. Click here to see ChaadHR China Employer of Record EOR hiring guide
Understanding Employee Risk Protection in Hangzhou
Hangzhou, as one of China's major economic and technological hubs, is home to numerous foreign businesses that rely on EOR services to manage their local workforce. When it comes to employee risk protection in Hangzhou, there are several key aspects that both foreign companies and their employees need to be aware of.
Social Insurance and Benefits
One of the most important aspects of employee risk protection in Hangzhou is ensuring that employees are enrolled in the mandatory social insurance programs. These programs typically include pension, medical, unemployment, work-related injury, and maternity insurance. As an EOR, it is crucial to ensure that employees receive the benefits they are entitled to under these programs, as failure to do so can result in legal and financial consequences for both the EOR and the foreign company.
Compliance with Labor Laws
Another critical aspect of employee risk protection in Hangzhou is compliance with local labor laws. China has strict regulations governing various aspects of employment, including working hours, overtime pay, annual leave, and termination procedures. As an EOR, it is essential to stay abreast of these laws and ensure that employees are treated fairly and in accordance with the legal requirements. Failure to comply with labor laws can lead to disputes, fines, and reputational damage for the foreign company.
Health and Safety
Ensuring the health and safety of employees is a fundamental aspect of employee risk protection in Hangzhou. This includes providing a safe working environment, conducting regular safety training, and adhering to occupational health standards. As an EOR, it is important to work closely with the foreign company to implement robust health and safety measures that protect employees from workplace hazards and accidents.
Dispute Resolution
In the event of employment-related disputes or conflicts, having a clear and effective dispute resolution mechanism is essential for employee risk protection in Hangzhou. This may involve mediation, arbitration, or legal proceedings, depending on the nature of the dispute. As an EOR, it is important to have policies and procedures in place to address employee grievances and ensure that disputes are resolved in a fair and timely manner.
Conclusion
Employee risk protection is a critical consideration for foreign companies operating in Hangzhou under the EOR model. By understanding and addressing the various aspects of employee risk protection, both EORs and foreign companies can create a secure and compliant work environment that fosters employee well-being and business success.
How Chinese Employer of Record (EOR) Works
As a local Employer of Record (EOR), we take on the legal responsibility of employing your new workforce in China. While you manage the day-to-day activities of your employees, we legally hire them through our agency. ChaadHR operates in over a hundred countries and utilizes local networks of experts to gain in-depth knowledge of local laws and regulations, as well as recruitment customs and trends. By partnering with us as an EOR, you gain access to this expert knowledge, which can be invaluable when expanding your business into China.
Our employment contract with your employees complies with Chinese labor laws and includes benefits such as insurance and pensions. We can hire, onboard, and manage your new employees in China in a matter of days, ensuring a fast and efficient process.
Hereis how we can assist you:
- We ensure that your new hires are compliant with Chinese laws and regulations.
- We take care of the employment contract, HR (Human Resources) matters, taxes, and payroll.
- We arrange the required visas or work permits for your employees.
- Our team keeps your employees informed about holiday arrangements, benefits, and any changes in labor laws.
- We keep you updated on changes in local laws and ensure that we comply with them.
-Your employees' declarations are forwarded to us on a monthly basis. Once we receive your payment, we deduct taxes and other contributions, and ensure that your employees receive their salaries promptly.
- You retain control over the daily activities and responsibilities of your employees.
🌎💼Compliantly Hire and Pay Talent in 160+ Countries With ChaadHR
With our comprehensive Global Employer of Record (EoR) solution and integrated Global Payroll solution, we empower businesses to confidently and compliantly hire and pay their workforce in over 160 countries. By partnering with ChaadHR, companies can eliminate the burdensome task of entity establishment and navigating complex labor laws, while ensuring their payroll operations are fully compliant with local regulations.
ChaadHR helps businesses expand globally. We provide support for testing new markets, hiring employees, and setting up subsidiaries. Our platform offers compliant onboarding of international contractors, remote employee hiring, and consolidated payroll management through a single dashboard. Book a demo to learn more.