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CSR Gazette, China - September 2017

Summary

  • The National Vocational Qualification Catalogue was promulgated by the Ministry of Human Resources and Social Security. It is not allowed to license and recognize the vocational qualifications beyond the catalogue to lower the threshold of employment and entrepreneurship.
  • The Measures on Use Management for Costs of Work-related Injury Prevention provides that Costs of Work-related Injury Prevention shall be used for propaganda and training.
  • The Administrative Regulation on Environmental Protection of Construction Projects was amended. Some items subject to administrative examination and approval are removed and penalties on breach of regulation are increased.
  • The Catalogue for Classified Administration of Discharge Permission for Stationary Pollution Sources was adopted by the Ministry of Environmental Protection. The Catalogue provides that total 78 industries and 4 general processes, enterprises are identified as key pollutants discharging entity and enterprises whose discharge amount reaches the prescribed quantity shall be incorporated into the management of pollutants discharge permission.
  • Updated Minimum Wage of Inner Mongolia, Beijing Municipality, Henan Province and Jilin Province.

Contents

Labour

Health and Safety

Environment

Minimum Wage Standard Update

Summary of Law Updates:

Labour

1. < Notice on Promulgation of National Vocational Qualification Catalogue > (2017-09-12)

The Notice on Promulgation of National Vocational Qualification Catalogue (hereinafter referred to as Notice) has been gazetted by the Ministry of Human Resources and Social Security on 12th September, 2017. Totally it contains 140 items of vocational qualification.

Since 2013, 434 vocational qualification of licenses and recognitions (in 7 batches) have been removed, representing a cut of over 70%. In addition, the Notice provides that it is not allowed to impose licence and recognition requirement on occupations beyond the catalogue; or to peg a qualification requirement with employment or entrepreneurship (save for the admittance category) for occupations listed in the catalogue.  This is to further lower the hurdle of employment and entrepreneurship.

The qualification items, for instance, the electrician or electric welder which concerns in CSR (corporate social responsibility) audits, are still in the catalogue, so currently there is no impact to audits from the changes to the catalogue.

Health and Safety

1. < Interim Measures on Use Management for Costs of Work-related Injury Prevention > (2017-09-01)

The Interim Measures on Use Management for Costs of Work-related Injury Prevention (hereinafter referred to as Measures) was deliberated and adopted by the Ministry of Human Resources and Social Security jointly with the Ministry of Finance, National Health and Family Planning Commission of the People’s Republic of China and State Administration of Work Safety on 17th August, 2017 and it has come into force on 1st September, 2017. The main contents of the Measures are as follows.

1. The Measures defines that the Cost of Work-related Injury Prevention refers to the portion allocated from the Insurance Fund of Work-related Injury for measures taken to prevent work-related injury pursuant to law in a coordinated region.

2. The Measures provides that the Cost of Work-related Injury Prevention shall be used for propaganda and training on prevention of work-related accidents and occupational diseases. Subject to guaranteeing the payment for medical treatment of work-related injury insurance and reserve the expenditure on work-related injury prevention shall not, in principle, exceed 3% of work-related injury insurance fund levied in the previous year in the coordinated region.

3. The Measures provides that for projects of work-related injury prevention incorporated into the annual plan shall, in principle, be organized and carried out by the social organizations such as industry association and large and medium-sized enterprises which proposed the project of work-related injury prevention.

4. The Measures provides that projects of work-related injury prevention for public and medium-sized and micro enterprises shall be carried out by agencies which are selected from social and economic organizations and medical and health institutions with relevant competency to provide work-related injury prevention services.

Environment

1. < Administrative Regulation on Environmental Protection of Construction Projects > (2017-10-01)

The Administrative Regulation on Environmental Protection of Construction Projects was amended and adopted by the State Council on 16th July, 2017, and it will come into force on 1st October, 2017. Highlights of the amendment are as follows:

1. Items subject to administrative examination and approval are removed

  • The qualification management to entities of Environmental Impact Assessment (EIA) is cancelled.
  • The examination and approval system for EIA Registration Form is changed to enrolment.
  • The entity to carry out the completion inspection and acceptance for environmental protection facilities of construction projects is changed from Administrative Department of Environmental Protection to the construction entity itself.

2. Simplifies the EIA procedure

  • Prerequisite for examination and approval such as construction project pilot run, pre-EIA approval examination of conservation scheme of water and soil by Administrative Department of Water Resources and industry pre examination are removed.

3. Refines the requirements of examination and approval of EIA

  • The five scenarios in which no EIA approval shall be granted by the Administrative Department of Environmental Protection are explicitly provided. The four key considerations; namely, environmental feasibility of construction projects, reliability of prediction assessment on environmental impact analysis, effectiveness of environmental protection measures and the scientificness of EIA conclusion, by the Administrative Department of Environmental Protection during the process of EIA examination and approval are provided.
  • In order to ensure the impartiality and scientificness of the examination, the Administrative Department of Environmental Protection shall organize technical institution to carry out technical assessment on EIA documents, but no cost shall be charged to the construction or EIA entity.

4. Strengthens in-process and subsequent supervisions

  • The environmental protection responsibility of construction entity during the design and construction stages are explicitly defined. The regulation provides that the construction entity shall enforce environmental protection measures and materialize investment in environmental protection during the design stage. The funds and progress for construction of environmental protection facilities shall be ensured during the construction stage.
  • The requirements and procedure of acceptance check are newly added for environmental protection facilities after the construction projects’ completion. The regulation provides that the construction entity shall carry out the acceptance check for environmental protection facilities pursuant to the standards and procedure provided by the Ministry of Environmental Protection, and make it available to the public.  Falsification is prohibited. The facilities shall be checked and accepted prior to operation.

5. Increases penalties

  • Penalties on failing to enforce environmental protection measures, materialize environmental investment estimates or failing to carry out post-evaluation of EIA are newly added. The regulation provides that the penalty shall be at a minimum of RMB 200,000 and up to RMB 1,000,000.
  • If construction project is put into operation or use while the required environmental protection facilities has not been completed, or the environmental protection ancillary facilities have not passed the acceptance check, or have failed in the acceptance check, the penalty is increased from a ceiling of RMB 100,000 to a minimum of RMB 200,000  and up to RMB 1,000,000. In addition, if the entity fails to correct within the prescribed deadline, the penalty shall be at a minimum of RMB 1,000,000 and up to RMB 2,000,000.
  • The penalty policy is changed from “Single-Penalty” on construction entity to “Dual-Penalty” on both the construction entity and the person-in-charge.

6. Strengthens information disclosure and public participation

  • The construction entity shall make the acceptance check report available to the public, otherwise it shall be ordered to publicize by the Administrative Department of Environmental Protection, and shall be penalized at a minimum of RMB 50,000 and up to RMB 200,000.

2. < Catalogue for Classified Administration of Discharge Permission for Stationary Pollution Sources > (2017-07-28)

The Catalogue for Classified Administration of Discharge Permission for Stationary Pollution Sources (hereinafter referred to as Catalogue) was deliberated and adopted by the Ministry of Environmental Protection on 19th June, 2017, and it has come into force on 28th July, 2017. The main points are as follows:

1. Scope of application

  • Enterprises of a listed industry or enterprises having a general process listed in the Catalogue. The Catalogue provides that totally 78 industries and 4 general processes shall be governed by the management of pollutants discharge permission by 2020.
  • Enterprises identified as key pollutants discharging entity by the Administrative Department of Environmental Protection.
  • Enterprises whose discharge amount reaches the prescribed quantity (Individual annual emissions of sulphur dioxide or nitrogen oxides greater than 250 tons, annual emissions of smoke and dust greater than 1000 tons, annual emissions of chemical oxygen demand greater than 30 tons, annual aggregate emissions of ammonia, petroleum and volatile phenols greater than 30 tons, the number of pollution equivalent of other single poisonous and hazardous air and water pollutants more than 3,000).

2. Deadline for implementation

  • Enterprises of the listed industries or having a general process listed in the Catalogue shall apply for pollutants discharging permit within the given deadline (for instance, the enterprise shall obtain pollutants discharging permit before 31st December, 2017 if the deadline for implementation is 2017).

3. Classified management

  • The pollutant discharging entities are classified into Fully-Regulated and Simply-Regulated according to the quantity of pollutants, emission quantity and hazard to the environment.
  • Simply-Regulated refers to the proper simplification for the documentary requirements in the application for pollutants discharging permit (including documents of application, information disclosure, self-monitoring, accounting records and implementation reports).

China Minimum Wage Standard Update - September 2017

Area
Minimum Wage Standard (RMB/month)
Inner Mongolia: Effective from 1 August 2017
Hohhot City: Xincheng District, Yuquan District, Huimin District, Saihan District; Baotou City: Donghe District, Kundulun District, Qingshan District, Baiyun’ebo District, Jiuyuan District, Shiguai District; E’erduosi City: Dongsheng District, Dalad Banner, Otog Banner, Otog Front Banner, Hanggin Banner, Uxin Banner, Ejin Horo Banner, Jungar Banner; Wuhai City: Haibowan District, Hainan District, Wuda District; Alxa League: Alxa Left Banner, Alxa Right Banner, Ejin Banner; Erenhot City; Manzhouli City; Hulunbeier City: Jalainur District 1760
Hohhot City: Horinger County, Togtoh County, Qingshuihe County, Wuchuan County, Tumd Left Banner; Baotou City: Darhan Muminggan Joint Banner, Tumd Right Banner, Guyang County; Hulunbeier City: Hailaer District, Arun Banner, Evenk Autonomous Banner, New Barag Right Banner, Old Barag Banner; Tongliao City: Horqin District; Huolin Gol City; Chifeng City: Hongshan District, Songshan District, Yuanbaoshan District; Xilinhot City; Xilin Gol League: West Ujimqin Banner, Zhenglan Banner; Ulanqab City: Jining District; Fengzhen City 1660
Zhalantun City; Hulunbeier City: New Barag Left Banner; Yakeshi City; Ulanhot City; Tongliao City: Kailu County, Jarud Banner; Chifeng City: Ar Horqin Banner, Hexigten Banner, Bahrain Right Banner, Bahrain Left Banner, Harqin Banner, Ongniud Banner, Ningcheng County, Linxi County; Xilin Gol League: Boarder Yellow Banner, Abag Banner, East Ujimqin Banner, Duolun County, Sonid Left Banner, Sonid Right Banner; Bayan Nur City: Linhe District, Urad Front Banner, Urad Middle Banner, Urad Rear Banner 1560
Ergun City; Hulunbeier City: Oroqen Autonomous Banner, Morin Dawa Daur Autonomous Banner; Genhe City; Arxan City; Hinggan League: Horqin Right Wing Middle Banner, Horqin Right Wing Front Banner, Tuquan County, Jalaid Banner; Tongliao City: Horqin Left Wing Rear Banner, Horqin Left Wing Middle Banner, Hure Banner, Naiman Banner; Chifeng City: Aohan Banner; Xilin Gol League: Taibus Banner, Zhengxiangbai Banner; Ulanqab City: Chahar Right Front Banner, Chahar Right Back Banner, Chahar Right Middle Banner, Huade County, Shangdu County, Xinghe County, Zhuozi County, Liangcheng County, Siziwang Banner; Bayan Nur City: Dengkou County, Wuyuan County, Hangjin Rear Banner 1460
Beijing Municipality: Effective from 1 September 2017
Beijing Municipality 2000
Henan Province: Effective from 1 October 2017
Zhengzhou City: Urban District, Xinzheng City, Xingyang City, Xinmi City, Dengfeng City, Zhongmou County; Luoyang City: Urban District, Xin’an County, Luanchuan County, Yanshi City; Pingdingshan City: Urban District, Wugang City; Anyang City: Urban District; Hebi City: Urban District; Xinxiang City: Urban District; Jiaozuo City: Urban District, Qinyang City, Mengzhou City; Xuchang City: Urban District, Changge City; Luohe City: Urban District; Sanmenxia City: Urban District, Yima City, Mianchi County, Lingbao City, Shan County; Jiyuan City, Gongyi City 1720
Kaifeng City (not including Xiangfu District); Luoyang City: Yichuan County, Mengjin County, Yiyang County, Luoning County, Song County, Ruyang County; Pingdingshan City: Baofeng County, Jia County; Anyang City: Tangyin County, Anyang County, Linzhou City; Hebi City: Qi County; Xinxiang City: Xinxiang County, Huixian City; Jiaozuo City: Xiuwu County, Boai County, Wuzhi County, Wen County; Puyang City: Urban District; Xuchang City: Yanling County, Yuzhou City, Xiangcheng County; Luohe City: Linying County, Wuyang County; Sanmenxia City: Lushi County; Nanyang City: Urban District; Shangqiu City: Urban District; Xinyang City: Urban District; Zhoukou City: Urban District, Xiangcheng City; Zhumadian City:: Urban District; Ruzhou city, Yongcheng City 1570
Kaifeng City: Xiangfu District, Qi County, Weishi County, Tongxu County; Pingdingshan City: Ye County, Lushan County; Anyang City: Neihuang County; Hebi City: Xun County; Xinxiang City: Weihui City, Yanjin County, Huojia County, Yuanyang County, Fengqiu County; Puyang City: Puyang County, Qingfeng County, Nanle County, Fan County, Taiqian County; Nanyang City: Xichuan County, Nanzhao County, Tanghe County, Sheqi County, Fangcheng County, Xixia County, Tongbai County, Zhenping County, Xinye County, Neixiang County; Shangqiu City: Minquan County, Yucheng County, Sui County, Xiayi County, Ningling County, Zhecheng County; Xinyang City: Luoshan County, Shangcheng County, Huaibin County, Guangshan County, Xi County, Xin County, Huangchuan County; Zhoukou City: Xihua County, Fugou County, Shenqiu County, Dancheng County, Shangshui County, Taikang County, Huaiyang County; Zhumadian City: Queshan County, Xiping County, Runan County, Zhengyang County, Miyang County, Pingyu County, Shangcai County, Suiping County; Lankao County, Hua County, Changyuan County, Dengzhou City, Gushi County, Luyi County, Xincai County 1420
Jilin Province: Effective from 1 October 2017
Changchun City: Urban District 1780
Jilin City: Urban District; Songyuan City: Urban District 1680
Siping City: Urban District; Liaoyuan City: Urban District; Tonghua City: Urban District; Baishan City: Urban District, Fusong County; Yanbian Prefecture: Yanji City, Huichun City; Songyuan City: Qianguo County 1580
Baicheng City: Urban District; Changbai Mountain Protection and Development Zone; Meihekou City; Gongzhuling City; Other county (city) 1480

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