China Justice Observer

中司观察

EnglishArabicChinese (Simplified)DutchFrenchGermanHindiItalianJapaneseKoreanPortugueseRussianSpanishSwedishHebrewIndonesianVietnameseThaiTurkishMalay

China Launches Private Pension Scheme

Mon, 30 May 2022
Categories: China Legal Trends

On 21 Apr. 2022, the General Office of the State Council issued the “Opinions on Promoting the Development of Private Pensions” (《关于推动个人养老金发展的意见》, hereinafter referred to as the “Opinions”).

According to the Opinions, workers who participate in the basic pension insurance for urban employees or the basic pension insurance for urban and rural residents in China can participate in the personal pension scheme.

That is to say, individuals can make voluntary contributions to their private pensions as a supplement to basic pension insurance.

The contributions are deposited into individual pension accounts. Annual contributions, totally borne by the participant, are capped at CNY 12,000.

The new private pension scheme is rolled out to tackle the issues of an aging society. As China is facing the rapid graying of its population, the previous pension system may not suffice to meet future pension needs.

 

 

Cover Photo by Lavinia Occeña on Unsplash

Contributors: CJO Staff Contributors Team

Save as PDF

You might also like

SPC Publishes Typical Cases on Public Security Crimes

In April 2024, China's Supreme People's Court (SPC) released five typical cases illustrating crimes against public security, emphasizing clarifications on trial criteria and sentencing principles, featuring a case involving serious injuries from objects thrown off a high-rise building.

Beijing Court Upholds Workers' Right to Offline Rest

The Beijing No. 3 Intermediate People's Court ruled that workers are entitled to overtime pay for “invisible overtime work” conducted via social media outside of working hours, protecting their right to “offline rest”.

China Revises State Secrets Protection Law

China’s national legislature, the National People’s Congress, revised the State Secrets Protection Law to enhance information classification, secrecy in technological innovation, and precise protection of state secrets, effective May 1, 2024.