Employer of Record in China

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Currency

Chinese Yuan Renminbi (CNY)

Capital

Beijing

Official Language

Mandarin Chinese

Payroll Cycle

Monthly

Recognized Globally: Ranked #1 for ‘Ease of Use’ & ‘Customer Support’

our advantage

Why Choose Asanify's Employer of Record in China

Asanify is ranked #1 across multiple categories on G2, delivering exceptional EOR services for companies entering the Chinese market. Our comprehensive China EOR solution enables you to hire local talent, navigate complex social insurance and tax obligations, and comply with PRC labor regulations—all without the lengthy and expensive process of establishing a Wholly Foreign-Owned Enterprise (WFOE) or other legal entity.

Rapid Market Entry Without WFOE

Enter the Chinese market in weeks instead of months. Asanify eliminates the need to establish a WFOE, representative office, or joint venture, allowing you to hire employees across mainland China and begin operations quickly while maintaining full compliance with PRC regulations.

Complete Social Insurance and Tax Compliance

Navigate China's complex mandatory benefit system with confidence. We manage all social insurance contributions (pension, medical, unemployment, work injury, maternity), housing fund payments, individual income tax withholding, and annual reconciliation filings across different municipal jurisdictions.

Expert PRC Labor Law Navigation

Stay compliant with China's Labor Contract Law, Labor Dispute Mediation and Arbitration Law, and provincial regulations. Our China HR experts manage compliant employment contracts, probation periods, fixed-term arrangements, termination procedures, and severance calculations to protect your business from labor disputes.

Multi-City Payroll and Administration

Employ talent across major Chinese cities including Beijing, Shanghai, Guangzhou, Shenzhen, and beyond. Asanify manages location-specific payroll, social insurance contributions that vary by municipality, and local compliance requirements, providing consistent administration across your entire China workforce.

How Asanify's Employer of Record in China Works

Expanding into China through Asanify’s EOR service bypasses the complexity of WFOE registration, business scope approvals, and registered capital requirements. Our platform manages every aspect of Chinese employment from hiring through termination.

  • No WFOE Required: Begin hiring Chinese employees immediately without establishing a legal entity, navigating MOFCOM approvals, or managing ongoing corporate compliance
  • Full Employment Administration: We become the legal employer handling employment contracts, social insurance registration, and all statutory obligations under PRC law
  • Local Expertise: Our China HR specialists understand regional variations in labor practices, social insurance rates, and compliance requirements across different provinces and municipalities

Trusted by top companies around the Globe

Employer of record

Employment Compliance in China

China’s employment framework is governed by the Labor Contract Law, Social Insurance Law, and numerous regulations that vary by province and municipality. Asanify ensures full compliance with mandatory employment contracts, social insurance and housing fund contributions, individual income tax withholding, and termination procedures. Our expertise covers all aspects of PRC labor compliance including management of labor disputes and severance calculations.

Global EOR

What our happy customers say

Sammy Sheth Founder & CEO, United HealthCare, USA

Asanify's, should be the number 1 choice for companies looking to pay their overseas employees and contractors. I have a team of 40 people in India and not for a single month have i experienced any delays in the payment process.

Rukhsar Ahmed Managing Director, Green Fulfilment

In my business, things happen fast, and requirement for new employees is sudden. In such a situation a trusted partner like Asanify comes in handy as I know I can quickly ramp with onboarding and employee formalities diligently taken care of.

Jason Biddell CFO, Intelligent Monitoring Group

As a global company, we go through M&As in countries where we do not have presence. In India, we quickly onboarded ~30 employees as part of a takeover. With Asanify's turnaround time the overall change was managed brilliantly.

Jason Palmer President, Nobious

Asanify’s expertise when it comes to Local Compliances is something I have benefitted extensively from. Whether its Employee-Contractor classification, or the local laws for employee benefits and working hours - I trust the guidance provided.

Steph Freeman GM People & Culture, Prospection

Apart from using EOR services, I find a lot of value in the fully automated Asanify HRMS. For me, it makes it absolutely comfortable that I can access all my HR inforation anytime, anywhere and on any platform - Slack, Whatsapp etc.

Reeba Mehdi CEO, Spacejoy

My employees are in India, while I am based in Dubai and the co. in the US. Managing time zones is a huge challenge for us. Working with global partners like Asanify ensures that all my payments, and query resolutions are done in time.

Jas Randhawa CEO and Managing Partner, StrategyBRIX

It is paramount that my employees are well taken care of. Asanify goes above and beyond In terms of employee benefits, salary structuring to make it more tax friendly and constant guidance. For over a year with Asanify’s EOR, I have had no reason to feel disappointed.

Hire Globally Without the Hassle

Book a quick demo to see how Asanify simplifies global hiring, payroll, and compliance.

Table of Contents

What is an Employer of Record in China?

An Employer of Record (EOR) in China is a third-party organization that becomes the legal employer of your workforce in the country, allowing you to hire employees without establishing your own legal entity. The EOR manages all employment responsibilities including contracts, payroll, tax compliance, social insurance, and housing fund contributions while you maintain full operational control over daily work activities.

This model is especially useful when:

  • You want to test the Chinese market before committing to WFOE or representative office setup
  • You need to hire key talent quickly in China’s competitive labor market
  • You lack local HR and legal expertise to navigate complex Chinese employment regulations
  • You’re establishing regional operations and need compliant employment infrastructure
  • You want to minimize administrative complexity and focus resources on market development

Asanify provides complete employment infrastructure in China, enabling you to build and manage teams compliantly from day one without the complexity, cost, or risk of entity establishment in one of the world’s most regulated employment markets.

How Asanify's Employer of Record Works in China

Asanify acts as the legal employer of your China-based workforce, handling all compliance, payroll, social insurance, and HR administration while you retain complete control over employee management, work assignments, and performance.

Fast Market Entry Without Entity Setup
Hire employees in China within days without registering a Wholly Foreign-Owned Enterprise (WFOE), obtaining business licenses, or navigating complex incorporation procedures that typically take 3-6 months. Asanify’s established legal presence allows immediate, compliant hiring.

Complete Employment Lifecycle Management
From onboarding to offboarding, Asanify manages employment contracts compliant with Labor Contract Law, monthly payroll processing, individual income tax withholding and filing, social insurance contributions across five insurance types, housing fund payments, and exit formalities in full compliance with Chinese labor law.

Centralized Visibility and Control
Access real-time workforce data, payroll reports, social insurance records, and compliance documentation through Asanify’s unified platform. Maintain visibility across your China team with streamlined reporting and centralized employee management tools.

What Asanify Handles Under Employer of Record (EOR) in China

Asanify provides fully managed employment infrastructure in China, taking responsibility for all legal, compliance, and administrative functions while you focus on business growth and team performance.

Compliant Employment Contracts
We draft and execute employment agreements that comply with Labor Contract Law requirements, including provisions for probation periods (up to 6 months), working hours, leave entitlements, confidentiality, non-compete clauses, and termination procedures in accordance with local regulations.

Seamless Employee Onboarding
Our team manages the complete onboarding process including document collection, background verification, contract signing in Chinese language, registration with local bureaus, social insurance account setup, housing fund registration, and orientation to ensure employees are ready to contribute from day one.

Payroll Processing and Salary Disbursement
We handle monthly payroll calculations including base salary, allowances, bonuses, and deductions, and timely salary payments in Chinese Yuan (CNY) through secure local banking channels, ensuring employees receive accurate compensation on schedule.

Tax Deduction and Payroll Compliance
Asanify manages all individual income tax (IIT) obligations including withholding at progressive rates (3%-45%), calculation of deductions and special additional deductions, timely remittance to tax authorities, and submission of required monthly and annual tax filings.

Statutory Contributions and Social Insurance
We ensure compliant calculation and payment of China’s five mandatory social insurance types: pension insurance, medical insurance, unemployment insurance, work-related injury insurance, and maternity insurance, plus housing fund (公积金) contributions in accordance with local rates and regulations.

Benefits and Compensation Support
Our team administers statutory benefits such as annual leave (5-15 days based on tenure), sick leave, maternity leave (98+ days), paternity leave, marriage leave, and public holidays, and can coordinate supplemental benefits including commercial health insurance, transportation allowances, and performance bonuses.

Employee Support and HR Documentation
Asanify provides ongoing HR support to your Chinese employees in local language, maintains compliant employment records, issues employment certificates and离职证明 (resignation certificates), manages personnel file requirements, and serves as the point of contact for employment-related inquiries.

Exit Management and Final Settlement
When employment ends, we manage compliant termination procedures including notice period administration (30 days standard), final settlement calculations including accrued leave and year-end bonuses, severance payments (经济补偿金) where applicable, exit documentation, and social insurance account transfer.

Employer of Record vs Entity Setup in China

CriteriaEmployer of Record (EOR)Entity Setup (WFOE)
Best ForMarket testing, rapid hiring, small to mid-sized teamsLarge permanent operations, long-term strategic presence
Speed to Hire3-7 days to onboard employees3-6 months for WFOE incorporation and licensing
Setup CostNo setup fees, pay-per-employee pricing$20,000-$50,000+ legal, registration, and capital costs
ComplianceFully managed by EOR with local expertiseYour responsibility; requires local HR, legal, and accounting team
FlexibilityScale up or down easily, exit without complexityDifficult and costly to wind down operations
Legal PresenceNo local entity requiredRequires full WFOE registration and registered capital

Employer of Record (EOR) Cost in China: Pricing Guide

Understanding EOR pricing in China is essential for companies evaluating market entry strategies in one of the world’s largest and most complex employment markets. Unlike WFOE setup which requires significant upfront investment including registered capital, legal fees, and ongoing operational costs, EOR provides a predictable, scalable pricing model that aligns costs directly with your workforce size.

Asanify’s transparent pricing eliminates hidden fees and unexpected expenses, allowing you to budget accurately and invest resources in growth rather than administrative infrastructure.

Transparent Pricing Structure
Asanify charges a competitive monthly fee per employee that covers all employment services including payroll, compliance, social insurance administration, housing fund management, and ongoing support. A small one-time onboarding fee per employee covers initial setup, contract preparation, and registration with local bureaus. There are no entity setup costs, no registered capital requirements, no annual corporate fees, no need for multiple vendors, and no hidden charges—just straightforward, predictable pricing.

What Impacts Pricing?

  • Number of employees: Volume-based pricing means per-employee costs decrease as your team grows
  • Compensation structure: Complexity of salary components including base salary, allowances, bonuses, equity, and variable compensation
  • Benefits requirements: Commercial health insurance, housing subsidies, meal allowances, or enhanced benefit packages
  • Payroll complexity: Payment frequency, 13th month bonuses, commission structures, or multi-city operations
  • Local regulations: City-specific social insurance rates, housing fund contribution levels, and industry-specific requirements

Why EOR Delivers Strong ROI

  • Faster market entry: Generate revenue months earlier compared to WFOE setup timelines and begin hiring immediately
  • Reduced overhead: Eliminate costs of entity setup, registered capital, local HR staff, legal counsel, accounting infrastructure, and office registration
  • Lower compliance risk: Avoid costly penalties, tax issues, social insurance disputes, and legal challenges through expert local management
  • Simplified workforce management: Single platform and point of contact reduces administrative burden and complexity of managing China-specific requirements

Who Should Use Employer of Record in China

Employer of Record services in China are ideal for organizations that need compliant, rapid market entry without the complexity and cost of WFOE establishment. Whether you’re testing market viability, accessing specialized talent, or scaling operations in China’s dynamic market, EOR provides the infrastructure to hire and manage teams effectively.

Global Startups Expanding Internationally
Early-stage companies can access China’s vast talent pool and test product-market fit without diverting limited capital to entity setup, registered capital requirements, and founder time to complex legal procedures. EOR enables lean China expansion with minimal risk and maximum flexibility.

Technology and SaaS Companies
Tech companies hiring software developers, product managers, sales teams, customer success professionals, or regional operations staff in major Chinese cities can onboard talent quickly and maintain focus on product development and customer acquisition rather than navigating HR administration.

HR and People Teams
People operations leaders expanding workforce capabilities gain a trusted partner for employment compliance in China’s complex regulatory environment, reducing risk and administrative burden while ensuring positive employee experiences and adherence to Labor Contract Law.

Finance and Operations Leaders
CFOs and operations executives seeking cost-effective China expansion appreciate EOR’s predictable pricing, reduced overhead, elimination of entity setup capital expenditure and registered capital requirements, while maintaining financial and operational control.

Enterprises Scaling Global Teams
Large organizations entering China or consolidating employment across Asia-Pacific regions benefit from standardized processes, centralized reporting, consistent employee experience, and simplified management of China-specific compliance through Asanify’s unified EOR platform.

Why Asanify is Different from Generic EOR Providers

While many EOR providers offer basic employment services, Asanify delivers a superior experience through deep local expertise in China’s complex regulatory environment, integrated technology, and responsive service tailored to the needs of growing companies.

Our China-specific knowledge combined with purpose-built technology infrastructure enables faster, more reliable employment management than generic global providers unfamiliar with local nuances.

Country-Specific Compliance Expertise
Our in-country legal and HR specialists maintain deep knowledge of Labor Contract Law, individual income tax regulations, social insurance requirements across different cities, housing fund rules, and evolving employment legislation. We proactively monitor regulatory changes at national and local levels and adjust processes to ensure continuous compliance.

Integrated Payroll and HR Technology
Asanify’s unified platform connects payroll, compliance tracking, social insurance management, employee data, and reporting in a single system. Real-time visibility into workforce costs, headcount analytics, compliance status, and city-specific requirements empowers better decision-making compared to fragmented legacy systems.

Faster Onboarding and Execution
Streamlined processes and established local presence across major Chinese cities enable employee onboarding in days rather than weeks. Our dedicated implementation team with native language support ensures smooth transitions and rapid time-to-productivity for your China hires.

Real-Time Visibility and Reporting
Access comprehensive workforce analytics, payroll reports, social insurance records, tax documentation, and compliance status through intuitive dashboards. Download reports, track costs across multiple cities, and manage employee data without dependency on email requests or manual processes.

End-to-End Workforce Management
Beyond basic payroll and compliance, Asanify supports the complete employment lifecycle including commercial benefits administration, performance documentation, employee relations support in local language, personnel file management, and strategic workforce planning guidance for China operations.

Why Use an Employer of Record in China

Expanding into China presents significant opportunities to access the world’s largest consumer market and skilled talent pool, but also presents some of the world’s most complex employment challenges. An Employer of Record removes barriers to market entry and enables compliant, efficient workforce management from day one.

Hire Faster Without Setup Delays
Eliminate 3-6 month WFOE incorporation timelines including business scope approval, registered capital requirements, and licensing procedures, and begin hiring China talent within days. Speed-to-market advantages enable earlier revenue generation, competitive talent acquisition in hot markets like tech hubs, and faster execution of strategic initiatives.

Ensure Compliance from Day One
Navigate China’s Labor Contract Law, individual income tax regulations, five-insurance-one-fund (五险一金) requirements, city-specific social insurance rates, and complex labor standards with confidence. Asanify’s local expertise ensures contracts, payroll, and employment practices meet all legal requirements, reducing risk of penalties and disputes.

Reduce Costs and Operational Overhead
Avoid substantial WFOE setup costs, registered capital requirements (often $140,000+), ongoing corporate fees, local HR and accounting staffing, legal counsel expenses, and office registration costs. EOR provides comprehensive employment services at a fraction of the cost of maintaining your own legal entity and HR operations.

Improve Employee Experience
Provide Chinese employees with professionally managed onboarding in local language, accurate and timely payroll, responsive HR support, compliant social insurance and housing fund administration, and proper benefits management. Positive employment experience drives engagement, retention, and productivity in a competitive talent market.

Simplify Workforce Management
Consolidate employment responsibilities with a single provider rather than coordinating multiple vendors for payroll, social insurance, housing fund, benefits, compliance, and HR across different cities. Unified service delivery and centralized reporting reduce complexity and administrative burden unique to China operations.

China Employment Compliance: What Global Employers Must Manage

Employers operating in China must navigate one of the world’s most comprehensive and complex regulatory frameworks governing employment relationships, compensation, benefits, and workplace rights. Understanding and managing these compliance areas is essential to avoid legal risk, financial penalties, employee disputes, and reputational damage.

Employment Contracts and Labor Laws
China’s Labor Contract Law requires written employment contracts in Chinese language within one month of employment start, specifying job responsibilities, compensation, working hours, leave entitlements, probation period, and termination conditions. Fixed-term contracts are standard, with specific rules governing contract renewal and conversion to open-term contracts.

Payroll Tax and Withholding
Employers must withhold individual income tax (IIT) from employee salaries at progressive rates ranging from 3% to 45%, calculate allowable deductions including special additional deductions for children’s education, housing, elderly care, and continuing education, and remit payments to local tax bureaus monthly with comprehensive annual reconciliation.

Statutory Benefits and Social Insurance
Mandatory contributions include five insurance types (pension, medical, unemployment, work-related injury, maternity) plus housing fund (公积金). Contribution rates vary by city and total approximately 35-45% of salary when combining employer and employee portions. Registration, accurate calculation, and timely payment are strictly enforced.

Employee Termination and Severance
Termination procedures must comply with Labor Contract Law provisions including specific valid grounds for termination, mandatory notice periods (typically 30 days), documentation requirements, and severance payment obligations (经济补偿金) calculated as one month’s salary per year of service for most terminations.

Data Protection and Privacy
China’s Personal Information Protection Law (PIPL) and Cybersecurity Law impose strict requirements on employee data collection, processing, storage, and cross-border transfer. Employers must implement appropriate security measures, obtain consent, conduct data protection impact assessments, and comply with data localization requirements.

Work Permits and Immigration
Foreign nationals require work permits and residence permits to work legally in China. The points-based work permit system categorizes foreign talent into A, B, and C categories with different requirements and procedures. Employers must sponsor applications, maintain proper documentation, and ensure ongoing compliance with immigration regulations.

Employer of Record FAQs in China

What is an Employer of Record in China?

An Employer of Record (EOR) in China is a licensed entity that becomes the legal employer of your China-based workers, handling employment contracts, payroll, mandatory social insurance and housing fund contributions, individual income tax withholding, and all PRC labor compliance obligations. This allows your company to hire Chinese employees without establishing a WFOE, representative office, or other legal entity in China.

Can I hire employees in China without a WFOE?

Yes, Asanify’s EOR service allows you to hire employees across mainland China without establishing a Wholly Foreign-Owned Enterprise, which typically requires 3-6 months, significant capital investment, and ongoing compliance obligations. We act as the legal employer, enabling you to access Chinese talent quickly while maintaining full legal compliance with PRC regulations.

What are the mandatory social insurance requirements in China?

Chinese employers must contribute to five mandatory social insurance programs: pension insurance, medical insurance, unemployment insurance, work injury insurance, and maternity insurance, plus the housing provident fund. Contribution rates vary by municipality and are split between employer and employee. Asanify manages all registrations, calculations, and payments, ensuring compliance across different cities.

How does individual income tax work for employees in China?

China uses a progressive individual income tax (IIT) system with rates from 3% to 45% based on comprehensive income. Employers must withhold IIT monthly and file annual reconciliations. Asanify calculates and withholds IIT accurately, manages special deductions, handles annual filings, and provides employees with required tax documentation for their records.

What type of employment contracts are required in China?

Chinese law requires written employment contracts that comply with the Labor Contract Law, specifying terms including job duties, compensation, work location, working hours, and contract duration. Contracts may be fixed-term, open-ended, or task-based. Asanify prepares compliant bilingual contracts that protect both employer and employee interests while meeting all PRC legal requirements.

How does termination and severance work in China?

China has strict termination requirements under the Labor Contract Law. Lawful termination requires specific grounds and procedures. Economic severance is typically calculated as one month’s salary per year of service. Unlawful termination can result in double severance or reinstatement. Asanify manages all terminations compliantly, calculating accurate severance and handling proper exit procedures to minimize legal risks.

What are the working hours and overtime regulations in China?

Standard working hours in China are 8 hours per day and 40 hours per week, with mandatory rest days. Overtime is limited and must be compensated at 150% for regular overtime, 200% for rest days, and 300% for statutory holidays. Asanify ensures your China operations comply with working time regulations, overtime calculations, and rest period requirements.

Can I hire employees in multiple Chinese cities through one EOR?

Yes, Asanify’s China EOR service covers hiring across multiple cities including Beijing, Shanghai, Guangzhou, Shenzhen, Chengdu, Hangzhou, and others. We manage the varying social insurance rates, housing fund contribution levels, and local compliance requirements specific to each municipality, providing consistent administration for your entire China workforce.

What is the probation period allowed in China?

Chinese law allows probation periods based on contract length: up to 1 month for contracts of 3 months to 1 year, up to 2 months for contracts of 1-3 years, and up to 6 months for contracts of 3+ years or open-ended contracts. During probation, termination notice is 3 days. Asanify structures compliant probation arrangements that protect your interests while meeting legal requirements.

Start Hiring in China Today

Partner with Asanify to access Chinese talent quickly and compliantly without the complexity of WFOE establishment.