Recruitment in China is an important issue for those forms of business that has full control of human resources, like wholly foreign owned enterprise (WFOE). According to the Exit and Entry Administration Law of the People's Republic of China, Article 80, whoever illegally hire foreign staff shall be fined RMB 10,000 for each illegal employment, and the total amount shall not exceed RMB 100,000. All enterprises and employment units should employ employees according to law and refuse to employ "three illegal" foreign employees.
What are the three kind of illegal foreign employees?
This designation refers to any foreigner who enters China illegally, resides in China illegally, and works in China without legal procedures in accordance with the provisions of the Exit and Entry Administration Law of the People's Republic of China.
1. Illegal residence
It refers to the illegal act of an alien living (stopping) in China who fails to apply for a visa or residence permit within the valid stay period specified in the visa or residence permit.
2. Illegal employment
It refers to the act of engaging in social work and obtaining labor remuneration without obtaining the legal employment status in China.
3. Illegal entry
An illegal entry refers to an illegal act by a foreigner who does not hold a valid entry visa issued by the competent authorities of China or a legally-valid entry certificate. Other cases include those who do not enter the country from the port I open to the public, or enter the country from a designated port, or enter the border of China without inspection by the frontier inspection station.
Hiring Foreign Employees In China
Gone are the days when China allowed pretty much any foreigner to work in China, with or without the proper visa. Foreigners may be employed in China only if all of the following conditions are met:
1. Be in good health and over the age of 18;
2. Possesses the skills and work experience required for the job;
3. Has no criminal record;
4. Has a specified employer;
5. Holds a valid passport or any other valid travel document in lieu of passport.
China companies seeking to legally employ a foreigner generally need to complete the following steps. First, you will need to obtain an employment license with the local labor authorities for the foreign employee and then you will need to apply to the relevant foreign affairs office for a work visa invitation confirmation letter. The employee will then need to take that letter and apply for a work visa at the Chinese embassy in his or her home country. Upon arrival in China, the foreign employee needs to obtain an alien employment permit from the relevant labor bureau and an alien residence permit from the relevant public security department.
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