Comments on: Doing Business in China is even Harder than you can Imagine http://tofflerann.com/2008/03/04/doing-business-in-china-is-even-harder-than-you-can-imagine/ Cultural & Business Insights, Experiences, Observations Sat, 14 Apr 2012 21:20:38 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Lawrence http://tofflerann.com/2008/03/04/doing-business-in-china-is-even-harder-than-you-can-imagine/comment-page-1/#comment-8545 Lawrence Sun, 23 Mar 2008 04:35:42 +0000 http://tofflerann.com/2008/03/04/doing-business-in-china-is-even-harder-than-you-can-imagine/#comment-8545 Social security payments here *are* expensive (for Shanghainese). I don't have to pay as much for out of town staff - ie waidiren, but for Shanghai staff I do. Social Security adds about 1/3rd of their salaries on top of existing salary. That said, you have to do things legally, otherwise you can get screwed as in the case above. This year will see more of this kind of unhappy employee retribution, as employee contracts have become stronger now in some ways, and weaker in others. See China Law Blogs post here: http://www.chinalawblog.com/2007/11/chinas_new_labor_law_its_a_hug.html I made my employee's all sign new contracts prior to 1/1/08 to cover ourselves. On the positive side, I wrote in specific's for being late, and holiday / sick days, so I also have a leg to stand on if there are issues. Social security payments here *are* expensive (for Shanghainese). I don’t have to pay as much for out of town staff – ie waidiren, but for Shanghai staff I do. Social Security adds about 1/3rd of their salaries on top of existing salary.

That said, you have to do things legally, otherwise you can get screwed as in the case above.

This year will see more of this kind of unhappy employee retribution, as employee contracts have become stronger now in some ways, and weaker in others.

See China Law Blogs post here:
http://www.chinalawblog.com/2007/11/chinas_new_labor_law_its_a_hug.html

I made my employee’s all sign new contracts prior to 1/1/08 to cover ourselves. On the positive side, I wrote in specific’s for being late, and holiday / sick days, so I also have a leg to stand on if there are issues.

]]> By: Luke http://tofflerann.com/2008/03/04/doing-business-in-china-is-even-harder-than-you-can-imagine/comment-page-1/#comment-8212 Luke Sun, 09 Mar 2008 00:35:28 +0000 http://tofflerann.com/2008/03/04/doing-business-in-china-is-even-harder-than-you-can-imagine/#comment-8212 Employees can screw you over (or just be a pain in the neck) anywhere in the world. I'm growing fast enough that I'll have to hire a receptionist and associate hypnotist by the end of the year, and I almost want to slow my growth to avoid having to hire help. I can't think of many people I would trust with my clients. Employees can screw you over (or just be a pain in the neck) anywhere in the world. I’m growing fast enough that I’ll have to hire a receptionist and associate hypnotist by the end of the year, and I almost want to slow my growth to avoid having to hire help. I can’t think of many people I would trust with my clients.

]]> By: China Law Blog http://tofflerann.com/2008/03/04/doing-business-in-china-is-even-harder-than-you-can-imagine/comment-page-1/#comment-8094 China Law Blog Wed, 05 Mar 2008 09:25:28 +0000 http://tofflerann.com/2008/03/04/doing-business-in-china-is-even-harder-than-you-can-imagine/#comment-8094 Come on. I don't know what this company was expecting by failing to pay its employee taxes. This is a basic business mistake anywhere in the world. This is a company problem, not a China problem. Come on. I don’t know what this company was expecting by failing to pay its employee taxes. This is a basic business mistake anywhere in the world. This is a company problem, not a China problem.

]]> By: mjbphx http://tofflerann.com/2008/03/04/doing-business-in-china-is-even-harder-than-you-can-imagine/comment-page-1/#comment-8078 mjbphx Wed, 05 Mar 2008 04:42:36 +0000 http://tofflerann.com/2008/03/04/doing-business-in-china-is-even-harder-than-you-can-imagine/#comment-8078 What a story. Very sad and very frustrating. Things like that can happen in the US, too, though. Employees can report what they think are 'labor' violations with the Labor Board or EEOC, Osha violations with Osha, Americans with Disabilities claims and wistleblower claims in court (and recover a percentage of what ever is recovered), etc etc. Even trying to treat people right is no guaranty that somebody won't be disgruntled anyways. That's why owners/ CEOs make the big bucks. There are big risks with no guaranties, and they have to be paid for that. What a story. Very sad and very frustrating. Things like that can happen in the US, too, though. Employees can report what they think are ‘labor’ violations with the Labor Board or EEOC, Osha violations with Osha, Americans with Disabilities claims and wistleblower claims in court (and recover a percentage of what ever is recovered), etc etc. Even trying to treat people right is no guaranty that somebody won’t be disgruntled anyways. That’s why owners/ CEOs make the big bucks. There are big risks with no guaranties, and they have to be paid for that.

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