Regulations on Unemployment Insurance
Order of the State Council [1999] No. 258
January 22 1999
Chapter One General Provisions
Article 1 These Regulation are formulated to guarantee basic livings of the unemployed during the unemployment period and promote their reemployment.
Article 2 Enterprises and institutions in cities and towns as well as their staff and workers shall pay unemployment insurance premiun in accordance with these Regulations.
The unemployed of enterprises and institutions in cities and towns may enjoy the benefits of unemployment insurance in accordance with these Regulation .
Enterprises and institutions in cities and towns mentioned in this Article refer to State-owned enterprises, collectively owned enterprise in cities and towns, enterprise with foreign investment, privately owned enterprise in cities and towns as well as other enterprise in cities and towns
Article 3 The administrative department of labor security under the State Council is in charge of unemployment insurance work throughout the country.
The administrative departments of labor security under the people''s governments at or above the county level are in charge of unemployment insurance work within their respective administrative areas.
Social insurance agencies engaging in unemployment insurance business established by administrative departments of labor security in accordance with provisions of the State Council will undertake concretely the unemployment insurance work.
Article 4 Unemployment insurance premium is collected and paid according to relevant provisions of the State.
Chapter Two Unemployment Insurance Funds
Article 5 Unemployment insurance funds include the following items:
a. unemployment insurance premium paid by enterprises and institutions in cities and towns as well as their staff and workers;
b. interest of unemployment insurance fund;
c. financial subsidies;
d. other funds incorporated into unemployment insurance funds according to law.
Article 6 Enterprises and institutions in cities and towns shall pay unemployment insurance premium at a rate of 2% on the basis of their total amount of salaries.
Staff and workers in enterprises and institutions in cities and towns shall pay unemployment insurance premium at a rate of 1% on the basis of their own salaries.
Contract-system farmer workers engaged by enterprises and institutions in cities and towns do not pay unemployment insurance premium themselves.
Article 7 Overall planning for unemployment insurance funds is to be conducted in municipalities directly under the Central Government and cities divided into districts; levels of overall planning in other areas are to be stipulated by people''s governments of provinces and autonomous regions.
Article 8 Provinces and autonomous regions may establish adjustment funds of unemployment insurance.
Adjustment funds of unemployment insurance are to be raised at a ratio prescribed by
people's governments of provinces or autonomous regions, taking unemployment insurance premium that should be collected according to law in areas where overall planning is conducted as the base.
......