China Labor Law: What's Good For The Law Firm And What's Good For The Lamb.
Since December or so, my firm has been faced with a steady onslaught (that is definitely the right word) of China labor law work. Mostly, what we have been doing is helping companies get into compliance with China's new labor law by hammering out Chinese language contracts with their employees and by drafting Chinese language employment manuals. Almost invariably, our clients ask us if we can also help them with the day to day issues of maintaining a Chinese payroll, which mostly involves making sure the company complies with China's somewhat complicated social benefits and tax payment requirements.
We then tell them they need a company that does this sort of bookkeeping/accounting work all the time and that has the systems in place to handle this sort of thing efficiently. Tim Lamb (hence the title to this post) is one of the people to whom we refer our clients. Tim is Director of FDI [Foreign Direct Investment] Services at JLJ Group, which company is licensed to provide HR dispatching and agency services in China. Dispatching is the employment of personnel. Agency services consists of managing "only the payroll, social benefits and tax payments on behalf of an employer for its own employees."
I am aware of very few companies in China that can handle this work to international standards. Tim can.
http://www.chinalawblog.com/cgi-bin/mt/mt-t.cgi/2444
China Labor Law: What's Good For The Law Firm And What's Good For The Lamb.:
Comments
i understnad that lobor dispatching is a sensitive and restricted area of service and that only a handful of well known entities such as FESCO and CIIC are licensed to operate. could you please share details of JLJ's qualifications in this regard?
Posted by: jesse t h chang | March 8, 2008 9:14 PM
Mr. Chang,
JLJ owns and/or operates a local entity licensed to provide dispatching services.
Posted by: China Law Blog | March 9, 2008 8:33 AM
This is an interesting post. Can you clarify as to what you mean by LJL owning or operating a licensed local entity? Do you mean that from a shareholding or a control standpoint?
Also, I understand that there are only a few entities qualified to offer dispatching services and all of which are State-owned or controlled. May we know the name of the entity please?
Posted by: Anthony Wan | March 12, 2008 9:06 PM
Anthony,
There are two bureaus that may issue the license to provide dispatching services: the labor bureau and the personnel bureau. Firm such as FESCO have licenses from the labor bureau, however the personnel bureau has been issuing a license to to locally owned companies for a few years now. Our firm created a local entity that is owned by the partners of the JLJ Group to obtain a license from the personnel bureau to provide such services to our clients.
Posted by: Tim | March 13, 2008 5:44 AM