Part-time work in China is governed by detailed statutory laws, with additional rules under most local laws. The China Employment Contracts Act § 68 limits part-time employment to an average of no more than 4 hours a day and 24 hours a week for any given employer. Any employee exceeding these limits is classified as a full-time employee. Wages for part-time employees are calculated on an hourly basis and may not fall below the local minimum hourly wages.
Minimum wages are set by local governments based on local economic and labor market conditions, with which employers must comply. Part-time employee wages must be paid at least every fifteen days. The legislative intent is to ensure timely payment and prevent delays.
Contents
- Probationary Period Requirements
- Interns Are Usually Not Part-Time Employees
- Workers’ Compensation and Wage Payment Disputes
- Best Practices to Mitigate Risks
Probationary Period Requirements
Part-time employment contracts offer flexibility, lowering costs for employers and employees. The China Employment Contracts Act § 69 permits oral employment contracts for part-time workers, enabling rapid hiring for temporary, low-skill jobs. Written contracts can also be used, with terms on work hours, compensation, and job responsibilities. This helps protect you, especially in roles involving complex duties or long employment durations.
To prevent exploitation, the law forbids giving part-time workers probationary periods. China Employment Contracts Act § 70 expressly prohibits probationary periods for part-time employees. The policy justification is part-time jobs in China typically involve low-skill manual labor or service work, making them vulnerable due to low income and replaceability. The rule prevents employers from using exploitative probationary periods to arbitrarily reduce wages or terminate employment, ensuring part-time employees receive the same guarantees as full-time employees.
Terminating part-time employment contracts in China is easy. China Employment Contracts Act § 71 allows either party to terminate the employment at will, without cause. This flexibility reflects the temporary nature of part-time work, allowing the parties to change their relationship as needed. Unlike full-time employment, severance is not owed upon termination, reducing employer costs. However, employers remain obligated to pay wages for all hours worked.
Interns Are Usually Not Part-Time Employees
Interns and student workers are generally not considered employees under Chinese law, instead they are subject to special rules specific to students. However, if on full time schedules at co-op programs, they may be classified as full-time employees.
Internships are either externships or co-ops. Externships are typically organized through educational practice agreements between schools and businesses. Under the China Civil Code, an internship agreement is a civil law contract, which does not create an employment relationship. These arrangements are governed by educational laws and the parties’ agreements, not employment laws. Co-ops, however, are essentially the same as full-time employment because the work hours exceed the statutory threshold for part-time employment. A college student performing work continuously for an employer may be classified as an employee if the conditions in Ministry of Labor and Social Security Circular No.12 (2005): Establishment of Employment Relationships are met.[1] Employers should therefore treat such interns as full-time employees.
Student part-time work is paid work performed outside of class. Unlike internships, this work need not be related to the student’s field of study and is often undertaken in their free time to earn extra income. The Ministry of Labor prohibits establishing an employment relationship with students, so student part-time work is not considered employment under the China Employment Contracts Act, even if students are paid hourly. Furthermore, the Ministry of Labor has stated in its Guidelines: Enforcement of the China Employment Act § 12 that work based learning by students is not employment, and no employment contract is required because no employment relationship exists.[2] As a result, students working part-time receive few protections and their rights are secured only by verbal or written agreements with employers.
Interns and student part-time workers are not covered by the China Employment Act. The Ministry of Human Resources and Social Security stated in its response to Proposal No. 4765 that China’s employment laws apply only where an employment relationship exists, to guarantee employee rights such as wage payment, work hours, days off, occupational health and safety, and social security.[3] Students are learning in school and not yet part of the workforce. Their part-time work is not governed by employment law, and their rights and obligations are defined solely by civil law contracts with the companies they work for.
Workers’ Compensation and Wage Payment Disputes
There is a well-defined legal framework for part-time work, and disputes are rare. When disputes do arise, they most often involve workers’ compensation insurance and wage payment. The following cases are representative of how such disputes are resolved.
In Hunan Appeal 0422-cv-2913, the company’s failure to make workers’ compensation contributions violated the law. In this social security contributions dispute, Hu was employed as a part-time janitor by a property management company, which did not make any social security contributions for Hu. The company refused Hu’s demand for contributions, claiming social security contributions are not mandatory for part-time employees.
Hu filed for arbitration and, dissatisfied with the outcome, brought the dispute to court. The court held that, although social security contributions for part-time workers differ from those for full-time employees, employers are still obligated to make workers’ compensation contributions. The court thus ordered the company to pay the owed contributions and late fees. The court also noted that individual part-time workers may elect to make other social security contributions on their own.[4]
In a wage dispute in Suzhou, Zhu worked part-time at a coffee shop under an oral agreement specifying work hours and compensation. The coffee shop paid Zhu monthly, with occasional delays. Zhu sought interest on the delayed payments, alleging that the shop’s payment schedule violated the 15-day pay period required for part-time workers. Zhu sued when the coffee shop refused their demand, asserting the oral agreement was valid and that the payment delays were unintentional, the result of financial difficulties. In the case, the court noted that the Employment Contracts Act requires a 15-day pay period for part-time workers, and the oral agreement between the parties may not violate the law. The court thus ordered the coffee shop to adjust its pay period and to pay interest on the late payments owed to Zhu.
Best Practices to Mitigate Risks
A variety of common strategies is used in China to comply with legal requirements and mitigate risks while using part-time employees.
Employers should tailor part-time roles to fit business needs and the nature of part-time employment. Generally, part-time employment fits best in non-core positions such as temporary sales roles or seasonal agricultural work. Part-time arrangements can also work well for necessary roles with low utilization rates, such as occasional equipment maintenance. Additionally, roles that require minimal supervision, such as freelance content writers, are a good fit. By designing part-time roles strategically, employers can maximize the benefits of part-time labor while minimizing employment costs.
While the law allows oral agreements for part-time employment, you should execute a written contract for documentation and risk management purposes. Clearly stating that the position is part-time in the contract can help prevent potential litigation. The contract must specify daily work hours, weekly workdays, and the work schedule in compliance with statutory limits. Include an hourly wage that exceeds the local minimum wage and a pay period not exceeding 15 days.
Designing an appropriate part-time contract for your situation is a task that requires knowledge of local employment law rules, and is best left to an expert. CBL can help find a lawyer to make sure you are on the right track.
Define the employee’s job responsibilities in the contract to prevent litigation over the nature of the work. Employers are required by law to pay workers’ compensation premiums for part-time employees, and other social security contributions should also be provided for in the contract. Employers must ensure that the management of part-time employees complies with these legal requirements to avoid the risk of a full-time employment classification, which could result in double wage liability under the China Employment Contracts Act for failure to enter into a written contract with the full-time employee within one month of employment.
Create a robust attendance policy and accurately document part-time employee work hours, including both total days worked and daily work hours. Make sure part-time employees work no more than 4 hours a day and 24 hours a week. Employee consent is required for overtime, and the additional hours must be paid at the contract rate. Have employees sign to acknowledge their attendance records, so they can be used as evidence in court.
Pay periods for part-time employees may not exceed 15 days in China; employers must comply with payroll cycle requirements for part-time employees. Avoid cash payments, instead use traceable methods such as bank transfers and maintain payment records. Pay all hours worked at the contract rate without deductions or delays. Negotiate changes to the payroll cycle with the employee, and document it in the written employment contract.
Employers are obligated to pay workers’ compensation contributions in full and on time, submit the required documentation to the local social security administration agency, and complete all enrollment procedures. Where separate workers’ compensation contributions are not allowed, employers can purchase employer’s liability insurance to reduce financial risks arising from work-related injuries. Employers should also improve workplace safety management to reduce workplace incidents.
Part-time employment can be risky in roles that involve trade secrets, because they often work for multiple employers, which increases the risk of trade secret misappropriation. If you need part-time employees, take these steps to protect your trade secrets: sign a non-disclosure agreement with the part-time employee that clearly sets out confidentiality obligations, duration, and liability for breach; limit the part-time employee’s job duties to reduce access to trade secrets; and set clear internal policies for how trade secrets are stored, used, and transmitted.
FURTHER READING
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FOOTNOTES
[1] Ministry of Labor and Social Security Circular No.12 (2005): Establishment of Employment Relationships, (关于确立劳动关系有关事项的通知), (Ministry of Labor and Social Security, May 25, 2005), (in Mandarin)
[2] Ministry of Labor Guidelines: Enforcement of the China Employment Act, (关于贯彻执行〈中华人民共和国劳动法〉若干问题的意见), (Ministry of Labor, Aug.4, 1995), (in Mandarin)
[3] Ministry of Human Resources and Social Security Response to Proposal No. 4765 (Public Policy No. 336), (人力资源社会保障部对政协十三届全国委员会第三次会议第4765号(社会管理类336号)提案的答复), (Ministry of Human Resources and Social Security, Jan. 12, 2021), (in Mandarin)
[4] Henyang Property Management v. Hu, (衡阳某某物业服务有限公司与胡某某劳动争议案, ((2024)湘0422民初2913号) (Hunan Appeal 0422-cv-2913, 2024), (in Mandarin)