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.

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.

Chinese labor laws stipulate various requirements for foreign businesses, such as minimum wage standards, working hours, overtime pay, social insurance contributions, and employee rights to annual leave and other benefits.

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.

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.

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.