Social security move delayed by 3 months
Shanghai will postpone the annual adjustment in standards of social security insurance contributions by three months to July 1. It’s among a series of measures to reduce burden on businesses during the coronavirus outbreak, authorities announced at a news conference on Monday.
Previously, Shanghai adjusted the contribution standard on April 1 every year.
Fei Yuqing, deputy director of Shanghai Human Resources and Social Security Bureau, said that as the social security premiums are increasing year by year, the deferring is expected to reduce 10.1 billion yuan (US$1.44 billion) of social security fees to be paid by enterprises this year – 6.4 billion yuan to the pension fund, 3.34 billion yuan to the medical insurance fund, 270 million yuan for unemployment insurance and 90 million yuan for work-related injury insurance.
Those unable to join social security programs or pay fees in time due to the epidemic are allowed to go through the process after the epidemic is over. No overdue pay will be charged and employees’ records will not be affected.
The city will also refund half of the unemployment insurance premiums paid last year to employers and employees of some enterprises which had laid off few or no employees. This is expected to benefit about 140,000 enterprises in the city by nearly 2.6 billion yuan, according to Fei.
The city will also provide subsidies for those who organize online vocational training programs for employees during operation suspension caused by the coronavirus outbreak. The subsidy will cover 95 percent of the costs. Online commerce companies and platforms would also enjoy similar benefits.
The bureau is encouraging non-face-to-face services to reduce overcrowding in service centers. The centers are asked to use the government’s website, app and WeChat account as much as possible to serve applicants, and to enhance disinfection and ventilation to reduce infection risk, with service staff all wearing masks and gloves. People who have to visit physical centers are also required to wear masks and their temperatures will be taken before entering. The centers are also to improve their service to make each visitor wait no more than 10 minutes and finish service within 10 minutes.
The city also pledged to carry out stricter health checks at office buildings after more companies resume work next week. Public space sanitation work will also be strengthened.
Special attention would be paid to under-privileged families and grassroots community workers.
E-commerce companies are also active in reducing small and micro vendors' burden as they see a drop of business.
Alibaba's local consumer services unit announced last week it will waive commission and service fees for offline merchants nationwide till the end of February and would extend that period for one more month for Wuhan merchants after canteens and entertainment venues suffered a dramatic drop in foot traffic.
JD.com is offering as many as 250,000 merchants supportive measures such as reduced commission, financial and logistics subsidies and technology support.
A group insurance worth 300,000 yuan will also be provided free of charge for merchants based in Hubei Province and their employees. As for merchandise in huge demand during the outbreak, it will also provide subsidies to keep prices stable.
Ant Financial-backed MYbank reduced interest rates of business loans by 10 percent for 1.8 million Hubei small business owners, including 1.5 million mom-and-pop shop owners and 300,000 medical supply dealers, from February 2.











