China Employer of Record(EOR)
Hire, pay and manage your emplyees without establishing a local company.
Outsource your Employment in China
Build your China team easily – No local entity needed. EOR handles everything: compliance, payroll, benefits, and recruitment.
EOR China offers comprehensive HR solutions in China. We’re a certified agency and will act as your legal employer, managing all HR aspects for your staff.
Launch in China Today. Leverage EOR China to explore the market, manage local partners, and build your China team – without an entity setup.
Cost-effective, adaptable, and secure. This approach minimizes risk and keeps costs low while offering the flexibility you need for success in China.
Employer of Record (EOR) Process
Sign Contract: The client signs a straightforward service agreement to begin working with EOR China.
Get Account Manager: A dedicated account manager is provided to the client for one-on-one support.
Collect Documents: EOR China requests essential documents from the client, like business licenses and employee personal data.
Understand Policies: The client learns about EOR China operational policies and gets access to the user-friendly online portal.
Prepare Onboarding Docs: EOR China creates and sets up important documents such as employment contracts, onboarding checklists, and compliance forms for the client’s review.
Configure Payroll: The client’s payroll information, including salary structures and tax details, are set up in EOR China system.
Onboard Employees: EOR China assists in welcoming and integrating the client’s first set of employees into the company.
Sign Authorization: New hires sign a letter to allow EOR China to manage their personal info.
Gather Info: EOR China collects the new employee’s basic details and work history.
Pay Notice Sent: EOR China informs the client about the first payroll amount due.
Client Pays: The client confirms and sends the payment for the new employee’s salary.
Contract Signed: Both EOR China and the new employee sign the work contract.
Info in System: The new hire’s data is entered into EOR China system.
Set Up Benefits: EOR China handles social insurance, housing fund, and bank account setup for the new employee.
Portal Access: New employees get access to the online portal to manage their HR tasks.
- Policy Updates: EOR China informs clients of any changes in government policies that may affect payroll or compliance.
- Compensation Adjustments: Clients notify EOR China of any changes in employee compensation, such as raises or bonuses.
- Payment Notice: EOR China sends a detailed payment notice to the client, outlining the payroll and benefit costs for the month.
- Client Payment: The client reviews and confirms the payment notice, then makes the payment to EOR China.
- Salary Distribution: EOR China ensures that employees receive their salaries on time.
- Benefits and Tax Payments: EOR China handles the payment of mandatory benefits and individual income tax on behalf of the employees.
Maintenance of Payroll Services: EOR China regularly updates the latest payroll and HR information, ensuring it is readily available and easily reviewable by clients and employees.
Work Calendar Confirmation: EOR China and the client mutually confirm the work calendar for the upcoming year.
Annual Salary Report: EOR China compiles and sends an annual salary report to the client, which includes details of both current and offboarded employees.
Report Verification: The client reviews and confirms the accuracy of the annual salary report provided by EOR China.
Government Submission: EOR China submits the updated annual salary report to the relevant government authorities as required.
New Policies Announcement: The government announces any new policies that may affect HR and payroll processing.
Policy Update Briefing: EOR China briefs the client on the updates and changes in government policies that were announced.
System Policy Update: EOR China updates its system to reflect and implement the new government policies.
Data Removal: Upon request, EOR China removes the data of offboarded employees from the system, ensuring privacy and compliance.
Reason Noted: Client explains why an employee is let go.
Plan Made: EOR China creates a termination plan.
Approve Plan: Client agrees to the exit strategy.
Paperwork Ready: EOR China completes exit forms for the employee.
Severance Set: EOR China calculates the severance amount.
Pay Severance: Client sends the severance funds.
Work Handed Over: The employee passes on their duties.
Severance Paid: EOR China delivers the severance to the employee.
Issue Cert: Employee receives a termination cert.
Benefits Managed: EOR China moves and stores benefits info.
Cases Closed: EOR China ensures all is settled.
Refund Given: EOR China returns any leftover deposit to the client.
Notice Sent: Client informs EOR China of their decision to end the service.
Handover Check: Client and EOR China agree on the handover of accounts, materials, and information.
Offboarding Plan: Both parties confirm a plan for offboarding employees, including resignations.
Final Payment: EOR China issues the last payment notice, including any historical balance owed.
Payment Made: Client confirms and pays the final invoice.
Employee Offboard: EOR China facilitates the offboarding of employees.
Transfer of Assets: EOR China hands over all accounts, materials, and information to the client.
Case Closure: EOR China ensures all open cases are resolved.
Deposit Refund: EOR China returns any remaining deposit balance to the client.
What is an Employer of Record (EOR)?
An Employer of Record (EOR) is basically a company that acts as your legal employer for remote staff you hire in another country.
EOR services might also be called manpower outsourcing, employment outsourcing, staffing, or PEO (Professional Employer Organization).
EOR China’s EOR lets businesses hire China staff legally – they handle the legal side of things.
EOR China EOR Service
EOR China EOR service simplifies hiring in China. Also known as employment outsourcing or employee leasing, it allows EOR China to act as the legal employer for staff you identify in China. While EOR China handles the legal and administrative burden, you retain full control over managing these employees. This service offers a flexible solution, sharing employer responsibilities to ensure compliance and streamline your operations.
Is an EOR the same as PEO?
Every EOR is a PEO, yet the converse is not always true; not every PEO qualifies as an EOR.
An Employer of Record assumes the legal employer status on behalf of a client, outsourcing compliance to the service provider, who then becomes fully responsible for the employee. On the other hand, a Professional Employer Organization does not usually assume complete responsibility for the client’s employees.
EOR China serves as an Employer of Record for clients who lack legal entities in China, thereby handling their employment responsibilities and compliance. Conversely, for clients that possess legal entities within China, EOR China functions as a Professional Employer Organization.
The best EOR service provider in China
Why EOR China?
EOR China, with a track record of decades in the industry, stands as a reliable provider of Employer of Record (EOR) services within China. We provide an all-encompassing solution designed to streamline the hiring and employee management process, ensuring adherence to local legal and regulatory frameworks.
Eliminate Risk
Avoid allowing HR compliance challenges to threaten the prosperity of your business in China. Reach out to EOR China now to discover more about our Employer of Record service and receive guidance on how we can assist you in maneuvering through the intricate compliance requirements in China, thus mitigating the risks of being placed on a blacklist.
Local Presence and Knowledge
A thorough comprehension of the local market trends, cultural subtleties, and customary business procedures.
China Payroll Portal
All of our clients have access to our in-house payroll portal for record keeping convenience.
Employer of record Cases
EOR as a Business Solution
Reimbursement for Outsourced Employees
Expense Claim Solutions at EOR China
Following a policy revision by the Chinese government concerning expense claims for contracted workers, EOR China has assiduously crafted four tailored approaches. These are designed to ensure a smooth and efficient reimbursement experience for our Employer of Record (EOR) clients. Let’s explore these solutions in detail, examining their complexities and the possible effects they may have.
Solution #1: Global Reimbursement
Clients collaborate with our worldwide associate to handle the payment of reimbursements. Once a fresh service agreement is in place, EOR China manages the invoicing and collection process. The application for reimbursements is made efficient, focusing on transactions in US dollars and strictly applying a maximum limit of USD 5000 for each person on a monthly basis.
VAT Exemption
Customizable Reimbursement Arrangements
Solution #2: Integrated Reimbursement and Salary Structure
This approach merges expense reimbursements with routine payroll, offering clients the choice to handle the personal tax liabilities. Although this method reduces the service charges related to expense claims, it may result in employees facing increased Individual Income Tax (IIT) liabilities.
Fee-Free Option
Frequently Asked Questions
An EOR helps businesses hire employees in China without needing a local entity, while a PEO provides HR services like payroll and benefits management for businesses that already have a legal entity in China.
The hiring process in China can take several weeks, often ranging from 4 to 12 weeks, depending on the complexity of the role and the necessary legal procedures.
Yes, a foreign company can hire employees in China through an Employer of Record (EOR) service, which allows them to employ staff without establishing a legal entity in the country.
An EOR manages the payment of social security and taxes on behalf of the employer, ensuring that all contributions are made accurately and on time in accordance with Chinese tax laws and regulations.
In the event of a work-related injury, the employer (or EOR) is responsible for covering the employee’s medical expenses and compensation as per Chinese labor laws, which include provisions for work injury insurance.
While it’s not strictly necessary when using an EOR service, having a local director or legal representative can facilitate the hiring process and ensure compliance with local regulations.
Employees in China are entitled to paid annual leave based on their years of service: 5 days if they have less than 10 years of service, 10 days if they have 10 to 20 years, and 15 days for those with over 20 years of service.
No, it’s not mandatory to rent an office space for employees in China if you’re using an EOR service. However, having a local business address is often required for legal and tax compliance purposes.
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Ke Fa Road #91, Floor 5, Shenzhen, Guangdong, China, 518000
Shanghai
Lujiazui Ring Road #501, Floor 5, Shanghai, Huangpu, China, 200120
Beijing
Dongsishitiao Zhong Stree #8, Floor 5, Beijing, Dongcheng District, China, 100006
Guangzhou
Huaxia Road #66, Tianhe District, Floor 5, Guangzhou, Guangdong, China, 510623
Hangzhou
Huancheng Bei Road #185, Floor 5, Hangzhou, Zhejiang, China, 310014
Chengdu
Red Star Road Section 3 #1, Floor 5, Chengdu, Jinjiang District, Sichuan, China, 610016