China Regulatory Brief: Preferential Policies for Coal Enterprises and the Abolishment of Unnecessary Certificates

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China-Regulatory-Brief
MOHRSS to Cancel Unnecessary Certifying and Stamping Procedures without Legal Basis

The Ministry of Human Resources & Social Security (MOHRSS) recently issued the Opinions on Improving Public Services in the Field of Human Resources & Social Security, which aims to avoid the issuance of unnecessary certificates and to improve service quality. According to the Opinions, human resources and social security departments at all levels will be required to execute a comprehensive examination of the certifying materials and procedures necessary to handle public service matters, and to cease all certifying and stamping procedures that are not stipulated in the laws or regulations. In addition, the Opinions also sets out to fully implement the cross-regional and cross-service use of the social security card in dealing with human resources and social security matters, and eventually to realize the universal application of an all-in-one social security card across the country by the end of 2017.

Minimum Wage Adjustment Period to be Extended in China

In light of the recent economic slowdown and operational difficulties for enterprises, the MOHRSS has made the decision to change the adjusting time of the minimum wage standard from once every two years to at least once every two to three years, and the growth rate of the minimum wage standard will not exceed the societal average wage growth rate. According to Minister of Finance Lou Jiwei, in the past 10 years, the wage growth rate in China has been three percent higher than that of the labor productivity, making the country less competitive. He expressed that the country’s underdeveloped dispatched workers system and the restrictions of the Labor Contract Law on enterprises could be the reason for this disparity.

.Professional Service_CB icons_2015RELATED: Payroll and Human Resource Services

China to Support M&A of Iron & Steel and Coal Enterprises through Preferential Policies

The Ministry of Finance (MOF) has announced that the central government would actively support the de-stocking efforts of the iron, steel, and coal industries. It will establish a subsidy fund of RMB 100 billion to support such efforts, and will continue to implement the iron and steel export tax refund policies. It will also encourage and support the three industries to further globalize, and will support the acquisition, merger, debt restructuring, and bankruptcy efforts of the iron, steel, and coal enterprises by implementing preferential tax, land transfer revenue, and financial/accounting policies.

State Council Plans to Build Airports for All Prefecture Level or Above Cities

The State Council has issued the Guiding Opinions on Promoting the Development of the General Aviation Industry. Aims outlined include expansion and opening-up of low altitude airspace; seamless reporting and examination of airspace less than 3000 meters; and building more than 500 airports by 2020 so that each city at the prefecture level or above will have an airport. It also plans to support the general expansion of the aviation market; reinforce the general aviation transport service and actively develop short-distance transport to meet the basic travel needs of people in remote areas (areas where ground transport is inconvenient); encourage the development of business aviation to meet the demands for personalized and high efficiency travel; expand the application of general aviation in emergency rescue, disaster relief, medical care, and other public interest service areas as well as application in industrial, agricultural, and forestry operations; promote the integration of general aviation with tourism, sports, internet, and the creative economy, encouraging emerging mass consumption.


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