Supply chain Assessments & Solutions - China Legislation Updates on social responsibility
Collecting and compliance with the legislation timely are keys to the supply chain assessment. Thereby, the relative updates will be displayed as below. Minimum wage is always one of the prevailing topics. Since October of 2017, minimum wages standard has been raised in 7 provinces and cities. In addition, there are updates on Regulation on Environmental Protection of Construction Projects, The Classification Directory of Discharge Permission for Regular Pollution Sources (2017 Edition) and etc.
1.The standard of minimum wages has been raised in seven provinces.
Since October 2017, the minimum wage standard has been raised in Jilin, Henan, Shanxi, Ningxia, Hubei, Zhejiang and Heilongjiang. After progressive increment, the monthly minimum wage of Zhejiang has exceeded CNY2000. For more information, please visit SGS Minimum Wages Map.
2.Interim Measures on managing the use of Work-related Injury Prevention Cost has been implemented on 1 September 2017
The Interim Measures on managing the use of Work-related Injury Prevention Cost, jointly issued by the Ministry of Human Resources, Social Security, the Ministry of Finance, National Health and Family Planning Commission of the People's Republic of China and State Administration of Work Safety, requires that Work-related Injury Prevention Cost shall be used for propaganda and training on prevention of work-related incidents and occupational diseases. Subject to guaranteeing the payment for medical treatment of work-related injury insurance and reserving the expenditure on work-related injury prevention, it shall not, in principle, exceed 3% of work-related injury insurance fund levied in the previous year in the coordinated region.
3.The new “Regulation on Environmental Protection of Construction Projects” has been implemented by 1 October 2017
The Administrative Regulation on Environmental Protection of Construction Projects was amended and adopted by the State Council on 16 July 2017, and it has come into force on 1 October 2017. Highlights of the amendment are as follows: 1) Items subject to administrative examination and approval are removed;2) The EIA procedure is simplified;3) The requirements of examination and approval of EIA is clarified; 4) In-process and subsequent supervisions are strengthened; 5) Penalties are increased; 6) Information disclosure and public participation are strengthened
4.The Ministry of Environmental Protection issued “The ClassificationDirectory of Discharge Permission for Regular Pollution Sources (2017 Edition)”
The Classification Directory of Discharge Permission for Regular Pollution Sources clearly defines that the scope of industry for the implementation of discharge permit management, implementation progress by industry, the deadline of the pollutant discharge unit to be certified and the requirements of waste discharge classification management. The directory covers 78 industries and 4 general processes. Enterprises identified as critical pollutants discharging entity and enterprises whose discharge amount reaching the prescribed quantity shall be included in the pollutants discharge permission management
5.“Notice on Promulgation of National Vocational Qualification Directory” was formulated and promulgated by the Ministry of Human Resources and Social Security
The Notice on Promulgation of National Vocational Qualification Directory (hereinafter referred to as Notice) has been announced by the Ministry of Human Resources and Social Security on 12 September 2017. Since 2013 year, 434 vocational qualification licensing and accreditation items (in 7 batches) have been removed successively in 7 batches, a reduction of more than 70%. In addition, the Notice provides that it is not allowed to impose license and recognition requirement on occupations beyond the catalogue; or to peg a qualification requirement with employment or entrepreneurship (save for the admittance category) for occupations listed in the catalogue, further lowering the minimum requirement of employment and entrepreneurship. As social responsibility audit concerns the eligibility items such as electricians, welders are still in the directory, the change of directory is currently no substantive impact on the audit.
Ms Alexis Shu
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