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CSR Gazette, China - March 2017

Summary:

  • The State Council pilots the merger of Maternity Insurance and Employee Basic Medical Insurance on the implantation level. No essential policy change on insurance benefits.
  • To further alleviate the burden of enterprises, total premium rate of unemployment insurance is reduced to 1%.
  • The provision of “15 days of Late Childbirth Leaves” is no longer effective in Shenzhen.
  • The National Health and Family Planning Commission gazettes the guideline for protection against occupational hazards of n-hexane which is a commonly used cleaning solvent in the electronic industry.
  • The regulation on Safety Production is amended in Hebei Province for effective safety management in production.
  • The emission standard for odor pollutants is approved by the People’s Government of Shanghai Municipality.
  • The emission standard of volatile organic compounds for chemical industry is approved by the People’s Government of Jiangsu Province.
  • The emission standard of volatile organic compounds for surface coating of furniture manufacturing operations is approved by the People’s Government of Jiangsu Province.

Summary of Law Updates:

Labour

1. < Pilot Program on Merger Implementation of Maternity Insurance and Employee Basic Medical Insurance > (2017-01-19)

The General Office of the State Council gazetted the Pilot Program on Merger Implementation of Maternity Insurance and Employee Basic Medical Insurance (hereinafter referred to as Pilot Program) on 19th January, 2017.

The main points of the Pilot Program are as follows:

1. Objectives of the pilot program. The pilot program shall be launched before the end of June 2017 and it shall pilot for one year.

2. Regions for the pilot program. Total 12 regions are included.  They are, Handan City in Hebei Province, Jinzhong City in Shānxi Province, Shenyang City in Liaoning Province, Tàizhou City in Jiangsu Province, Hefei City in Anhui Province, Weihai City in Shandong Province, Zhengzhou City in Henan Province, Yueyang City in Hunan Province, Zhuhai City in Guangdong Province, Chongqing Municipality, Neijiang City in Sichuan Province and Kunming City in Yunnan Province.

3. Contents of the pilot program.

  1. To unify the participation registration of insurance. Employees who participate in the basic medical insurance shall participate in the maternity insurance synchronically.
  2. To unify the levy and management of funds. Maternity insurance fund shall be merged into employee basic medical insurance fund and the levy shall be unified.
  3. To unify the management of medical services. After the merger implementation of two insurances, the management of medical services shall be unified by designated medical institutions.
  4. To unify the formalities and information service. After the merger implementation of two insurances, the management of formalities and process shall be unified and standardized. The management of formalities of maternity insurance shall be united into that of medical insurance and taken charge of by the administrative agencies of medical insurance.
  5. Benefits or treatments of maternity insurance for employees remain the same during their maternity leaves.
    This pilot program of merger implementation is not simply to merge the two insurances in the institutional aspect, it does not adjust the policy of benefits or treatment of maternity insurance. The pilot program is to merge the implementation on administrative operation aspect then strengthen the mutual aid ability of the funds, enhance the comprehensive effectiveness of management and reduce the administrative operation costs through integrating the insurance funds and management resources.

2. < Notice on Phased Premium Rate Adjustment of Unemployment Insurance > (2017-02-16)

The Ministry of Human Resources and Social Security and Ministry of Finance issued the Notice on Phased Premium Rate Adjustment of Unemployment Insurance (hereinafter referred to as Notice) on 17th February, 2017.

The Notice states that since 1st January, 2017, those province (region, municipality) with total premium rate of unemployment insurance at 1.5% could reduce it to 1%. The implementation of reduced premium rate valid till 30th April, 2018. The proportions contributed by employer and employee shall remain the same in a given province (region, municipality), and the proportion contributed by employee shall not exceed that of employer.

This adjustment of premium rate of unemployment insurance is to further alleviate the burden of the enterprises. The implementation plan will be determined by the local government of each province (region, municipality).

3. < Regulation on Population and Family Planning in Shenzhen Special Economic Zone > (2017-03-21 abrogated)

The Regulation on Population and Family Planning in Shenzhen Special Economic Zone (hereinafter referred to as Regulation) has been approved to abrogate by the Standing Committee of the Shenzhen Municipal People’s Congress on 21st March, 2017 and it has come into force on the same day.

After the Regulation abrogated, the Law on Population and Family Planning of the Peoples’ Republic of China and the Regulation on Population and Family Planning in Guangdong Province are implemented in Shenzhen.

After the Regulations abrogated, the provision of “The married female employees who are pregnant and have given birth to children after the age of 23 years old are entitled to 15 days of Late Childbirth Leaves” is no longer effective. In particular, the female employees who gave birth to children before midnight of 20th March, 2017 and complied with relevant laws and regulations are still entitled to the 15 days of Late Childbirth Leaves; no entitlement other than this.

Health and Safety

1. < Guideline for Protection against Occupational Hazards of N-hexane > (2017-05-01)

The Guideline for Protection against Occupational Hazards of N-hexane (hereinafter referred to as Guideline) has been gazetted by the National Health and Family Planning Commission on 29th November, 2016 and it will come into force on 1st May, 2017.

N-hexane is chemical with properties of high volatility and lipid solubility. It is commonly used as the main components of decontamination cleaner in electronics (especially mobile phone manufacturing), hardware, printing, foot wear and paint industries. Working in a poor ventilation environment, e.g.  close-loop air conditioning, can cause occupational chronic poisoning of n-hexane and damage the peripheral nervous system of workers, even result in quadriplegia. Clusters of poisoning are caused commonly
The Guideline covers the basic requirements of protection on occupational hazards of n-hexane, occupational hazards identification and risk assessment, risk control, emergency treatment and rescue. It is applicable for employers its workplace occupational hazards of n-hexane.

2. < Regulation on Safety Production in Hebei Province > (2017-03-01)

The amended Regulation on Safety Production in Hebei Province (hereinafter referred to as Regulation) has been adopted by the Hebei Provincial People’s Congress on 12th January, 2017 and it will come into force on 1st March, 2017. The main points of the amendment of the regulation are as follows:

  1. The Regulation requires production and business entities carry out the standardization of safety production as essential measures to prevent accidents.
  2. The Regulation strengthens the safety management of posts and working groups / teams in workplace and thus advances the control to grassroots level.
    Teams or groups in workplace are the important support and basis of safety production. It should be helpful to effectively put into practice the safety production in production and business entities and to avoid or reduce accidents in production if the safety management reinforced for teams or groups in workplace.
  3. The Regulation requires the production and business entities to establish the systems of administration on risk factors identification, control, and troubleshooting of potential accidents.

Environment

1. < Emission Standard for Odor Pollutants > (DB 31 / 1025-2016) (2017-02-01)

The Emission Standard for Odor Pollutants (DB 31 / 1025-2016) (hereinafter referred to as Standard) was approved by the People’s Government of Shanghai Municipality on 13th January, 2017, it has come into force on 1st February, 2017. The Standard provides the requirements of emission limit, monitoring and supervisory control of odor pollutants for stationary pollution source.
The Standard applies to emission management of odor pollutants from industrial enterprises, municipal facilities and other facilities in Shanghai.

New pollution sources shall follow the Standard since 1st February, 2017, while the existing pollution sources shall follow it since 1st July, 2018. The entity of odor pollution sources shall establish monitoring test scheme, and the frequency of monitoring test for odor pollution shall not be fewer than twice in a year.

2. < Emission Standard of Volatile Organic Compounds for Chemical Industry > (DB 32 / 3151-2016) (2017-02-01)

The Emission Standard of Volatile Organic Compounds for Chemical Industry (DB 32 / 3151-2016) (hereinafter referred to as Standard) was approved by the People’s Government of Jiangsu Province on 9th December, 2016, it has come into force on 1st February, 2017. The Standard provides the requirements of emission control, monitoring and supervision of volatile organic compounds from chemical industrial enterprises or production facilities.

New enterprises shall follow the Standard since 1st February, 2017, while the existing enterprises shall follow it since 1st February, 2019. The entity of pollutant emission shall establish monitoring scheme, and carry out self-monitoring test for the emission of pollutants.

The enterprises shall establish statistical ledger of emissions control of pollutant in accordance with the Appendix C, and keep relevant records. An effective monitoring system of running or discharging shall be set up for treatment facilities for VOCs (volatile organic chemicals) gases, and keep records in accordance with requirements of the Appendix C for at least three years.

3. < Emission Standard of Volatile Organic Compounds for Surface Coating of Furniture Manufacturing Operations > (DB 32 / 3152-2016) (2017-02-01)

The Emission Standard of Volatile Organic Compounds for Surface Coating of Furniture Manufacturing Operations (DB 32 / 3152-2016) (hereinafter referred to as Standard) was approved by the People’s Government of Jiangsu Province on 9th December, 2016, it has come into force on 1st February, 2017. The Standard provides the requirements of emission limit, monitoring and supervisory control of volatile organic compounds for surface coating of furniture manufacturing operations.

New enterprises shall follow the Standard since 1st February, 2017, while the existing enterprises shall follow it since 1st February, 2019. The liability entity of pollutants shall establish monitoring scheme, and carry out self-monitoring test for the emission of pollutants.

Effective treatment facilities for VOCs (volatile organic chemicals) shall be installed for furniture manufacturers that use solvent based coatings, or the entity shall adopt manufacturing techniques of spraying and brush coating.

The furniture manufacturers shall record the name, manufacturer, product number, volume of purchase and volume of usage for the raw materials and auxiliary materials such as paints, diluents, curing agent, and cleaning agents on a monthly basis.

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