Guides - Human Resources & Payroll in China 2016 - 2017 (5th

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58 - Human Resources and Payroll in China 2016-2017 (5th Edition)
3.4 Statutory Vacations
Annual Leave and Public Holidays
By law, employees in China are allowed one day off per week. Additionally, statutory annual leave
exists for qualified employees. The amount of statutory annual leave is generally based on an
employee’s work experience/tenure. Employers may extend paid annual leave as a benefit to their
employees, but they need to specify the additional days in the HR documentation, for instance the
employee handbook.
What is the statutory minimum annual leave?
Paid annual leave for employees (including dispatched employees) in China is regulated in the
“Regulations on PaidAnnual Leave of Employees (State Council Order No.514)”and its implementation
measures. Employees who have worked at a company for one continuous year are entitled to five
days annual leave. Thus, employers do not have to give leave to employees who have not yet
worked for one full year.
It is important to note that the work tenure is not limited to the length of time that an employee
has worked for their current employer, but rather refers to their cumulative work experience with
all previous and current employers. In addition, paid annual leave does not include the country’s
statutory rest days, public holidays and other additional holidays (e.g., maternity leave and annual
visits to family). Based on Chinese Labor Law, employees are entitled to at least one rest day per
calendar week, which can be any day of the week. Saturdays and Sundays are generally rest days in
China. However, employers may arrange rest days according to their operation and production plan.
Statutory Annual Leave
Work Tenure Days Leave
Less than one year No leave
1-10 years 5
10-20 years 10
Over 20 years 15