Shanghai Issues Regulation on Delayed Salary Payments

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Last updated at: (Beijing Time) Saturday, April 12, 2003

Shanghai Issues Regulation on Delayed Salary Payments

Shanghai, China's largest industrial city, has issued a regulation prohibiting companies from withholding or delaying payment of their employees' salaries, local officials said Thursday.

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Shanghai, China's largest industrial city, has issued a regulation prohibiting companies from withholding or delaying payment of their employees' salaries, local officials said Thursday.

The regulation stipulates that a delay of more than one month inthe payment of salaries without prior permission from employees isillegal.

Employers found guilty of delayed payment of salaries will be required to pay the wages due in full plus 25 percent of the delayed salary payment.

The regulation also stipulates that wages must be paid in legalcurrency and records must be kept, including the names of the recipients and the date of payment.

The regulation took effect on April 1 of this year.

Tens of thousands of employees across China had their salaries withheld this year, mostly migrant workers from rural China.

As a result, the Chinese central government has moved to crack down on this illegal practice.

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