Shanghai announces subsidies to boost employment

The city is pushing out two measures for alleviating the financial burden on seven key industries seriously affected by the pandemic.
By: | June 9, 2022

Enterprises in catering, retail, tourism, transportation, culture and entertainment, hospitality and the exhibition industries will enjoy employment-related subsidies if they have not laid off employees or reduced their job cuts last year. 

Enterprises that have kept their layoff rate within 5.5%, the national target for unemployment rate control last year, can apply for 600 yuan (US$90) of subsidies per employee. Each enterprise can receive up to 3 million yuan (US$449,760). 

Applications for the subsidies should be submitted to employment service organisations in the district the enterprises are located in before year-end. An online application platform is being developed and will be launched soon. 

In addition, enterprises and social organisations can receive subsidies for employing people who have registered for unemployment for more than three months, and fresh college graduates. 

They can get a 2,000-yuan (US$30) subsidy for signing a labour contract with each new worker who qualifies under the scheme if they employ them for at least a year and pay their social security premiums. They do not have to apply for this subsidy as the authorities will check the employment and social insurance information and pay the subsidies to the social security accounts of legible enterprises. 

READ: China’s urban employees see average salary grow in 2021

The city also encourages district governments to provide subsidies for other enterprises and people affected by the pandemic within their area, according to Shine.