The Hardest Market · China

China's HR data

The rules and costs of employing people in China (Shanghai), from official sources, in English and Japanese, with Japan alongside.

1.33×employer's total cost on a salary of CN¥20,000 a month, as a multiple of salary
13public holidays (2026)
Shanghaicity the figures assume

Employment rules

Statutory annual leave5 days; 10 after 10 years’ total work, 15 after 20
Public holidays (2026)13 days
Notice of dismissal30 days, or one month’s pay in lieu (no-fault dismissal)
Severance required by lawOne month’s pay per year of service (capped for high earners)
Typical negotiated exitCommonly “N+1”: statutory severance plus a month in lieu of notice
Probation1–6 months, by length of contract
Working hours40 a week; overtime capped at 36 hours a month
How hard is dismissal?Hard: needs a statutory ground

Employer contributions

Basic pension insurance16%
Medical insurance (incl. maternity) and local supplementary medical9%
Unemployment insurance0.5%
Work injury insurance0.2%
Housing provident fund7%

Employee contributions

Basic pension insurance8%
Basic medical insurance2%
Unemployment insurance0.5%
Housing provident fund7%

Take-home pay and employer cost by monthly salary

Monthly salaryEmployee contributionsIncome taxTake-homeEmployer costCost ÷ salary
CN¥10,000CN¥1,750CN¥115CN¥8,135CN¥13,2701.33×
CN¥20,000CN¥3,500CN¥940CN¥15,560CN¥26,5401.33×
CN¥40,000CN¥6,603CN¥4,439CN¥28,958CN¥52,3381.31×
CN¥80,000CN¥6,603CN¥16,779CN¥56,618CN¥92,3381.15×

Assumes a Chinese national employed in Shanghai, with Shanghai social insurance and the housing provident fund at 7% on each side.

Company data

Listed companies in China are not required to publish company-level HR figures such as women in management or pay by gender, so this section covers the rules, costs and calculator rather than company pages.

Sources: Shanghai Human Resources and Social Security Bureau, Shanghai Healthcare Security Bureau, Shanghai Housing Provident Fund Management Center, State Taxation Administration, State Council. Checked 2026-10-24.