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Understand remote work regulations and policies in China

Updated on April 25, 2025

Remote work and flexible work arrangements are becoming increasingly relevant in China's evolving labor market. While traditional office-based employment remains prevalent, there is a growing recognition of the benefits and challenges associated with allowing employees greater flexibility in where and when they work. As businesses adapt to global trends and seek to attract and retain talent, understanding the current landscape and future outlook for remote and flexible work in China is crucial for effective workforce management and compliance.

Navigating the legal and practical aspects of implementing remote work in China requires careful consideration of existing labor laws, data privacy regulations, and cultural norms. Employers must ensure their policies and practices align with national and local requirements to maintain compliance and support their remote workforce effectively.

China's legal framework does not have a single, comprehensive law specifically governing remote work or "work from home" (WFH) as a distinct employment category. Instead, remote work arrangements are typically governed by the existing Labor Contract Law and other relevant regulations. This means that the fundamental rights and obligations of both employers and employees established under the standard employment relationship still apply.

Key considerations include:

  • Labor Contracts: Remote work arrangements should ideally be clearly defined within the labor contract or a supplementary agreement. This agreement should specify the work location (e.g., employee's residence), working hours (if different from standard office hours), communication methods, and performance evaluation criteria.
  • Working Hours: While flexible, working hours must still comply with legal limits on total working time and rest periods. For standard working hour systems, employers must ensure employees do not exceed maximum daily or weekly hours. For comprehensive working hour systems (subject to approval), the total working time over a period must not exceed legal limits.
  • Workplace Safety: Although the "workplace" is the employee's home, employers still have a general duty of care. While the scope of this duty for remote work is less defined than for a physical office, employers should consider providing guidance on setting up a safe workspace at home.
  • Social Insurance and Housing Fund: Contributions for social insurance (pension, medical, unemployment, work injury, maternity) and the housing fund remain mandatory based on the employee's registered location or the employer's location, regardless of the remote work location.
  • Termination: The grounds and procedures for terminating a labor contract remain the same as for office-based employees, as stipulated in the Labor Contract Law.

Employers must ensure that implementing remote work does not infringe upon employees' basic rights regarding working hours, rest, leave, remuneration, and social benefits.

Flexible Work Arrangement Options and Practices

Beyond full-time remote work, various flexible work arrangements are practiced in China, often depending on the industry, company culture, and specific job roles. These arrangements aim to offer employees more autonomy over their work schedule or location while meeting business needs.

Common flexible work options include:

Arrangement Type Description Typical Implementation
Partial Remote/Hybrid Employees split their time between working remotely and working from the office. Defined days in office/remote per week or month; team-based schedules; project-based.
Flexible Hours Employees have some flexibility in choosing their start and end times, provided core hours are met. Core hours defined (e.g., 10 am - 4 pm); total daily/weekly hours must be met.
Compressed Workweek Employees work full-time hours in fewer than five days per week. Requires agreement and careful consideration of legal working hour limits.
Job Sharing Two or more part-time employees share the responsibilities of one full-time position. Requires clear division of duties, communication, and coordinated schedules.

Implementing these arrangements requires clear policies, effective communication, and often the use of technology to support collaboration and tracking where necessary and legally permissible. Policies should outline eligibility criteria, application procedures, expectations for availability and communication, and how performance will be managed.

Data Protection and Privacy Considerations for Remote Workers

China's data protection landscape, particularly with the implementation of the Personal Information Protection Law (PIPL), has significant implications for managing remote employees. Employers collect, process, and store personal information about their employees, and this processing must comply with PIPL's requirements, regardless of where the employee is working.

Key considerations for remote work include:

  • Consent and Notification: Employers must inform employees about what personal information is collected, why, how it is used, and obtain necessary consent, especially for sensitive personal information.
  • Data Security: Employers are responsible for implementing technical and organizational measures to protect employee data from unauthorized access, disclosure, alteration, or loss. This is particularly challenging with remote setups involving various home networks and devices.
  • Cross-Border Data Transfer: If employee data needs to be transferred outside of mainland China (e.g., to a global HR system), strict requirements under PIPL apply, potentially requiring separate consent, security assessments, standard contracts, or certification.
  • Monitoring: While employers may monitor employee activity on company-provided devices or networks for legitimate business purposes (e.g., security, productivity), this must be done transparently, with employee notification, and in compliance with privacy laws. Excessive or intrusive monitoring is generally not permissible.
  • Device Management: Policies should address the use of company-owned vs. personal devices (BYOD) for work, security requirements for devices accessing company data, and procedures for data deletion upon termination.

Employers must establish robust data protection policies specifically tailored for remote work, provide training to employees on data security best practices, and ensure compliance with PIPL and other relevant regulations.

Equipment and Expense Reimbursement Policies

Establishing clear policies regarding the provision of equipment and reimbursement of expenses is essential for supporting remote employees and ensuring fairness and compliance.

Common practices and considerations include:

  • Equipment Provision: Employers often provide necessary equipment such as laptops, monitors, keyboards, and mice to ensure employees have the tools needed to perform their jobs effectively and securely. This also helps maintain control over device security and software licensing.
  • Internet and Utilities: Policies vary regarding reimbursement for home internet access or increased utility costs. Some companies provide a fixed monthly stipend, while others may reimburse a portion of the costs based on a defined policy. There is no specific legal mandate for employers to cover these costs unless agreed upon in the labor contract or company policy.
  • Office Supplies: Reimbursement for necessary office supplies (e.g., pens, paper, printer ink) used for work purposes should be addressed in the policy.
  • Furniture/Ergonomics: While less common, some companies may offer a stipend or guidance for setting up an ergonomic workspace at home.
  • Reimbursement Process: A clear process for submitting and approving expense claims is necessary.

Policies should clearly define what expenses are eligible for reimbursement, the maximum amounts or stipends provided, the required documentation, and the reimbursement procedure. This helps manage expectations and ensures consistency.

Remote Work Technology Infrastructure and Connectivity

Reliable technology infrastructure and connectivity are fundamental enablers of successful remote work. In China, this involves leveraging various tools and ensuring stable internet access.

Key aspects include:

  • Collaboration Tools: Widespread use of platforms like WeChat Work, DingTalk, and Lark (Feishu) for communication, project management, and workflow automation. International tools may also be used, though access and performance can vary.
  • Video Conferencing: Tools such as Tencent Meeting, DingTalk, and Zoom (with local partners) are commonly used for virtual meetings.
  • VPNs: For accessing internal company networks and resources securely, VPNs are often necessary, especially for companies with global operations or sensitive data.
  • Cloud Services: Adoption of cloud-based productivity suites and storage solutions is increasing, facilitating access to documents and applications from anywhere.
  • Internet Connectivity: While major cities generally have good broadband and mobile connectivity, reliability can vary by location. Employers may need to consider minimum internet speed requirements for remote roles.
  • IT Support: Providing adequate remote IT support is crucial for troubleshooting technical issues employees may encounter at home.

Employers must invest in appropriate technology, provide necessary software licenses, ensure data security measures are integrated into technology use, and offer technical support to their remote workforce. Policies on acceptable use of technology and data security protocols are also vital.

Martijn
Daan
Harvey

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