Guangdong Province, Payment of Wages Regulations

Promulgated: January 19 2005
Effective: May 1 2005
Applicability: These Regulations apply to enterprises, private non-enterprise work units and family proprietors, as well as workers with which a labour relationship is established, within the administrative jurisdiction of Guangdong Province (Article 2).

Main contents: Wages for normal working hours shall be agreed upon in a labour contract between an employer and a worker in accordance with the law. Such wages may not be lower than the minimum wage standard for the year as announced by the government in the locality. Where such wages are not stipulated or are not explicitly stipulated in the contract, the average monthly wage for staff and workers of the previous year announced by the county-level people's government of the place where the employer is located shall apply. Where the actual wage payment is higher than such average monthly wage, the actual wage payment shall be deemed as the agreed wage for normal working hours (Article 8). Where an employer and a worker terminate or dissolve a labour relationship in accordance with the law, the worker's wages shall be settled in a one-off payment on the date of termination or dissolution (Article 13). Article 18 stipulates that daily wages shall be determined by dividing the worker's monthly wage by the average number of working days per month stipulated by the state. Hourly wages shall be determined by dividing the worker's daily wage by the number of working hours with a maximum of eight hours. Where an extension of working hours is arranged for a worker on a working day, remuneration of not less than 150% of his or her daily or hourly wage for normal working hours shall be paid. Where a worker is required to work on a rest day and no compensation leave is arranged, remuneration of not less than 200% of his or her daily or hourly wage for normal working hours shall be paid. Where a worker is required to work on a statutory rest day or holiday, remuneration of not less than 300% of his or her daily or hourly wage for normal working hours shall be paid (Article 20). Where a worker has fallen ill or has sustained injuries not related to work, and has to cease working and undergo medical treatment, the employer shall, in accordance with the labour contract and the collective contract, or relevant state provisions, pay wages for sick leave during the period of medical treatment as stipulated by the state. Wages for sick leave paid by employers shall be no less than 80% of the minimum wage standard at the locality (Article 24). Where there is a work stoppage or a suspension of operation not caused by workers that lasts shorter than a wage payment cycle (30 days at maximum), the employer shall pay wages according to normal working hours. Where it lasts longer than a wage payment cycle and the employer has not arranged work for workers, the employer shall pay no less than 80% of the minimum wage standard at the locality for workers' living expenses until the enterprise resumes work or operation or until the dissolution of the labour relationship (Article 35). Employers may be ordered to pay compensation to workers of not less than 50% but not more than 100% of the amount payable under the following circumstances: (1) owing or reduction of workers' wages; (2) paying workers wages lower than the minimum wage standards at the locality; and (3) refusal to pay wages for overtime hours or extension of working hours, or failure to pay the same in accordance with provisions (Article 49).
Related legislation: PRC Labour Law, July 5 1994, CLP 1994 No.6 p6