At a glance
- DLA Piper and Shanghai Kaiman Law Offices jointly launched the Guide to Overseas Investment and Employment of Chinese Enterprises.
- This will introduce the common labour compliance issues faced by Chinese enterprises in the process of overseas investment, so that Chinese enterprises can quickly understand the key points of employment in the jurisdictions covered by the guide.
In the process of overseas investment by Chinese enterprises, both challenges and opportunities exist. Labour compliance is a crucial part in this, and it relates to whether the overseas investment projects or overseas affiliated companies of enterprises can operate smoothly and carry out effective cost control. In some countries, labour compliance is also an important part of the external review of enterprise compliance management by competent authorities.
If Chinese enterprises want to go global, they must first understand the relevant international treaties and the relevant labour and employment laws and regulations of the host country. The overseas employment issues they need to consider include employer and employee qualification requirements, recruitment and termination policies, salary, tax, and social welfare arrangements, and working hours and leave entitlement. Further considerations are occupational health and safety, discrimination and harassment policies, commercial bribery and corruption, data protection, trade unions / workers’ committees and collective bargaining, how labour disputes are handled, and communication with regulatory authorities. In addition, many enterprises will choose to locate their employees who are employed in China to overseas companies. Where this is the case, the relevant requirements and judicial practice standards for cross-border employment under Chinese law as well as the laws of the country of assignment should also be considered.
The Overseas Employment Methods covers 14 jurisdictions in Asia, Europe, and the Americas, focusing on the applicable local employment methods and compliance requirements, which is valuable for enterprises when making management decisions such as which employment methods to adopt in different host countries and for different types of positions.
Click here to download the Guide to Overseas Investment and Employment of Chinese Enterprises.
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