Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

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New Civil Code of the People’s Republic of China, Effective January 1, 2021

New Legislation Enacted

Author: Nancy Zhang, Special Counsel – Littler United States

China passed the country’s first Civil Code on May 28, 2020, which will become effective on January 1, 2021. The Civil Code encompasses seven sections and 1260 articles, including the general rules, property rights, contracts, personal rights, marriage and family, inheritance, torts, and supplementary provisions. The Civil Code will further refine the primary legal system and rules of conduct in the civil and commercial fields. Chapter Six, Section Four of the Civil Code covers Privacy Rights and Personal Information Protection, which defines privacy rights, protection of personal information, legal responsibilities, and information processing. Employers should adapt their policies and practices to comply with the privacy law.

The Supreme People's Court’s Guiding Opinions on Civil Trials Related to COVID-19

Precedential Decision by Judiciary or Regulatory Agency

Author: Nancy Zhang, Special Counsel – Littler United States

The Supreme People's Court has issued guiding opinions on several issues concerning the proper handling of civil trials involving claims related to COVID-19. The opinions set forth various measures designed to safeguard the legitimate rights and interests of the people, keep the social and economic good order and guarantee the social fairness and justice. It also sets forth standards for the court to apply the Labor Law and the Employment Contract Law accurately. For example, where employers terminate employees who had a confirmed or suspected case of COVID-19 infection, or employees from high-risk areas, courts should not uphold the termination.

Special Support Plan for Enterprises

New Regulation or Official Guidance

Author: Nancy Zhang, Special Counsel – Littler United States

The Ministry of Human Resources and Social Security and Ministry of Finance issued the “Notice on Implementation of Special Support Plan for Enterprises' Stabilization and Expansion,” which requires an increase in the refund of unemployment insurance contribution. Governments will accelerate the implementation of the unemployment insurance refund to help enterprises avoid layoffs or reduce them. Among other measures for small and medium-sized enterprises, the maximum return rate before December 31, 2020, can be raised to 100% of the unemployment insurance premiums paid by the enterprise and its employees in the previous year. For enterprises having temporary production and operation difficulties, if they refrain from laying off employees, the refund criteria cannot be more than six months of the local monthly unemployment insurance payment of the number of insured employees, or no more than three months of social insurance premiums paid by the enterprises and their employees.

Extension of Policy Allowing the Reduction and Exemption of Corporate Social Insurance Fees

New Regulation or Official Guidance

Author: Nancy Zhang, Special Counsel – Littler United States

The Ministry of Human Resources and Social Security, the Ministry of Finance, and the State Administration of Taxation issued the "Notice on Extending the Implementation Period of the Periodic Reduction and Exemption of Corporate Social Insurance Fee Policies." The Notice clarifies the policy for small and medium-sized enterprises in all provinces to be exempted from social insurance contributions. Enterprises that have serious difficulties in production and operation due to the pandemic may continue to postpone the payment of social insurance premiums until the end of December 2020, and the late fees will be exempted.