China work permit application has changed for Taiwan, Hong Kong and Macau residents. The State Council on August 3, 2018 announced that residents of Taiwan, Hong Kong, and Macau will no longer require work permits to work in mainland China. In effect, this means that at least for employment purposes residents from these three regions will be treated the same as local mainland Chinese residents.
Introduction to Change on China Work Permit
Previously, under the Administrative Regulations on Employment of Taiwan, Hong Kong and Macau Residents in Mainland, residents from THKM regions were required to obtain a work permit before working in mainland China.
A resident from Taiwan, Hong Kong and Macau was required to submit up to 10 items of paperwork (e.g. employer’s business license, employee’s health certificate, valid travel documents) in order to obtain a work permit.
While the process for Taiwan, Hong Kong and Macau residents to acquire a work permit was already significantly less onerous than that required of foreign applicants, generally taking only 1-3 weeks to complete—under the new legislation, the process of applying for a work permit has been removed completely.
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Additionally, the work permit system meant that Taiwan, Hong Kong and Macau residents were required to apply for a new permit when switching employers and would be subject to the permit’s two-year renewal period.
In lieu of the work permit system, Taiwan, Hong Kong and Macau residents can now use their business license, labor contract, wage payment documents, or social security payment records as evidence of employment in mainland China. Additionally, they will now be eligible to register for unemployment benefits.
Separately, the State Council announced that further measures will be released to guide the Ministry of Human Resources and Social Security to facilitate these new measures and to strengthen its supervision of employment services, social security, unemployment registration, and labor rights protection.
Incentives for Taiwan, Hong Kong and Macau Residents
The policy change is part of the Chinese government’s ongoing efforts to establish a “unified China”, by encouraging Taiwan, Hong Kong and Macau residents to work in the mainland.
The changes were praised by Hong Kong’s pro-Beijing Democratic Alliance for the Betterment and Progress of Hong Kong, which said that it made Hong Kong residents more employable. The party stated that the measures will prevent mainland enterprises from refusing to recruit Hong Kongers due to complicated procedures.
In addition to increased working rights, the Chinese government offers a variety of incentives to attract Taiwan, Hong Kong and Macau residents. For example, in July, the Guangdong provincial government announced measures providing Taiwanese residents with the same investment, employment, and study rights as mainland Chinese residents in a number of areas.
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