Q&A regarding Social Security to Event of “Overcoming difficulties & Creating Opportunities--- Webinar on Services & Policy Measures Supporting Shanghai”

PUBLISH DATE:2020-03-24     Source:Invest Shanghai
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Following the launch of "Overcoming difficulties & Creating Opportunities--- Webinar on Services & Policy Measures Supporting Shanghai (European Session)" by Invest Shanghai on March 12th, we have received various inquiries from our audience. After referring to respective experts from different aspects, Invest Shanghai will answers these questions with sections like finance & tax, social security and enterprise operation.

1.   How shall enterprises deal with the recruitment demand after resumption of work and production?

Taking Pudong for example, in order to minimize the concentration of people, large-scale recruitment activities are suspended at present. Considering the situation of epidemic prevention and control, a special campaign named "spring breeze online" will be organized and carried out in an orderly way by stages and batches on the public WeChat of "Pudong People's Human Resources and Social Security", "Pudong Employment" and "Working Happily in Shanghai" in the near future, with online post recruitment as the main activity and offline enterprise self-interview as the auxiliary. Priority of releasing employment information shall be given to ensuring the employment of guarantee enterprises in four major industries, namely, those involved in guaranteeing urban operation (water supply, gas supply, power supply, and communication, etc.), epidemic prevention and control (medical equipment, medicine, production and sales of protective products, etc. ), mass life (supermarket, food production and supply, etc.) and other related enterprises importantly involved in the national economy and people's livelihood. Enterprises that can provide food and accommodation guarantee will be given priority to the release of employment information.

2.   In response to the epidemic, many science and technology enterprises in Pudong carry out R & D and application. What policies can they enjoy?

Many enterprises from biomedicine, medical devices and AI industries are located in Pudong, and actively carry out product R&D, key technical problems tackling and application services, which have made outstanding contributions to fight against the epidemic, and also promoted the technological innovation of enterprises. Pudong will support these companies on research and development, inspection and testing, sci-tech consultation, and technology transfer, etc. For the relevant innovative application projects developed and played an active role during the epidemic period, 60% of the total project funds can be subsidized with a maximum of 3 million yuan. For the R&D and technical upgrading of innovative products for epidemic prevention and control, they should be included in the relevant special fund support in priority in Pudong New Area.

3.    Is there a unified consultation window or a special service window for the policies and measures of supporting service enterprises in Pudong New Area during the epidemic prevention and control period? Can we apply online?

At present, the New Area has opened the "services assessed by one website" platform of enterprise policy on the Pudong portal website, providing comprehensive services such as policy list, policy declaration and policy inquiry, etc. for enterprises. At the same time, it has timely published enterprise policies and provided consulting service on the "Pudong Enterprise Policy Online" WeChat public account. In addition, the Enterprise Service Center of the New Area has opened a special window for policy consultation service on Island C on the first floor of the hall, providing unified consultation and guidance services for Pudong's policies and measures to support service enterprises during the epidemic prevention and control period.

4.    Could small and medium-sized enterprises / representative offices that pay social security through human resource out-sourcing service agencies in the form of labor dispatch enjoy the preferential policies of social security reduction and exemption for small and medium-sized enterprises during the epidemic period?

Shanghai will categorize those companies with independent legal entity under the guidance of “Notice on issuing provisions of small and medium enterprises categorization standard” [ministry of industry and information technology and enterprises (2011) No. 300]. So far, the enterprise categorization work has been carried out in an orderly manner, and social security information system will also be adjusted and improved. In order not to increase the burden on enterprises, the Municipal Social Security Centers have taken measures to suspend the declaration and payment work related with social security. Only after relevant facilities be done, need enterprises declare and pay, so as to largely benefit the enterprises. At the same time, participating enterprise are encouraged to pay attention to the follow-up announcement, notice. Once the city enterprise’ social security premium declaration and payment work resume, enterprises need declare and fulfill payment in a timely matter.

5.   The overall transfer of the department caused by the merger and acquisition of enterprises should not belong to the scope of layoffs. How shall the Human Resources and Social Security Bureau handle this situation when reviewing the application for the job market stabilization subsidy?

It is in accordance with the actual number of security participants that Shanghai Municipal Bureau of Human Resources and Social Security calculate the rate of layoffs.

6.Does the social credit scoring of a company have any influence on benefitting from financial support measures?

The social credit scoring is a comprehensive credit system, which plays a more and more important role in business operation activities of a company. Based on the current policies, we did not see specific impacts in relation to social credit scoring of a company on enjoying financial support measures.
However, in real practice, Bureau of Human Resources and Social Security will make full use of big data together with relevant departments. By strengthening information sharing between departments, the enterprises categorization work will be completed according to the state regulations.


7.    What new guidelines are in place / to be expected, in order to react to the outbreaks of COVID-19 abroad to avoid new infections in China?  How does Shanghai evaluate which countries / regions abroad are key epidemic areas with stricter quarantine guidelines for incoming persons? What are current quarantine regulations for employees arriving from abroad to Shanghai? 

Shanghai has no new domestically transmitted cases since March 3. According to the relevant national provisions and regulations of “Shanghai special preplans responding to public emergencies”, Shanghai Municipal Government has decided that from March 24, the emergency response would be adjusted from level I to level II for public health emergencies. And according to the latest news of Shanghai Leading Group for COVID-19 on March 20th, 2020, stricter quarantine measures are taken for passengers from the coronavirus affected countries (South Korea, Italy, Iran, Japan, France, Spain, Germany, the United States, Britain, Switzerland, Sweden, Belgium, Norway, the Netherlands, Denmark and Austria, plus Australia, Malesia, Greek, Czech Republic, Finland, Qatar, Canada and Saudi Arabia). Quarantine measures include:
Quarantine at home: Quarantined people cannot reside with non-quarantined people in one house unless non-quarantined people also agree to undergo 14-days quarantine at home. All family members undergoing 14-day quarantine at home can reside in one house. Passengers must take nucleic acid tests at the temporary concentration places. If the test results are negative, passengers will be transferred to their home and undergo a 14-day quarantine. If the test results are positive, passengers will be transferred to designated medical treatment institutions.
During the waiting period of nucleic acid test results, the community management will check whether the house meets the standards of quarantine (whether there are other family members in the house). If the house fails to meet the standards of quarantine, passengers will be transferred to the designated places for 14-day quarantine. During the passengers’ quarantine at home, the district’s public security and health departments will implement the strict measures to prevent the quarantined passengers from leaving the house, and the violators will be punished. Passengers will be required to cover their accommodation and food expenses during their quarantine at the designated places. The daily expense 200 RMB/400 RMB per person could be chosen.

8.    What are current procedures for extending visas of foreigners currently (over-)staying in Shanghai due to the COVID-19 outbreak? (e.g. work visa for permanent residents, short-term visa such as business visa for foreigners who cannot leave due to the COVID-19 outbreaks abroad)?

According to "Q&As by National Immigration Administration", all exit-entry administration(EEA) authorities in China will be in full service for extension and issuance of visa and stay or residence permits to ensure foreigners' legitimate stay in China. Urgent services for emergency situations will also be provided. To avoid crowds gathering risks, the EEA authorities will make arrangements for services on appointments. Foreigners could make appointments in advance for any applications. For those institutions which receive high numbers of foreigners, such as universities, scientific research institutes and business enterprises, the EEA authorities will allow additional agent service or provide other necessary conveniences depending upon the situation.
According to Exit and Entry Administration Law of the PRC, foreigners should exit China or apply for extension at the EEA authorities before the visa, stay or residence permit expires. In light of the relevant laws and regulations and current situation, those who are unable to exit as scheduled or extend the visas, stay or residence permits due to the reason of epidemic prevention and control shall be given a lighter or mitigated or be exempted from punishment by the EEA authorities depending upon circumstances.

The answers here are either provided by relevant speakers or are quoted from relevant provisions. The English translation is for reference only. And in case you would like to provide updates or know further information, please contact us.