Minimum Wage Increase to Officially Start Tomorrow
Starting tomorrow the minimum wage increase in Shenzhen officially starts. The hike will make the minimum wage of 1,500 yuan per month or 13.3 yuan an hour the highest in Shenzhen and on the Chinese Mainland.
Overtime wage will also be adjusted accordingly, as the law states payment for overtime work id 1.5 times regular wage during the week and twice the regular wage during weekends, plus three time the wages during public holidays. These means that an employer will have to pay his worker 138 yuan a day to work on a weekend and 207 yuan is his worker will work on a public holiday.
Minimum pensions premium, that is 18 percent of the minimum wage will also be increased in accordance to the new minimum standard. Now each worker will have to pay 270 yuan of pension premium a month, this means the employers will have to pay 150 yuan and the employee will have to pay 120 yuan.
Employers caught paying below the minimum wage will be fined 30,000 yuan to 50,000 yuan. The city usually increase minimum wage in April of every year, they decided to do the increase it earlier this year to help workers and employers make earlier budget plans.