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Chinese Government Issued Nationwide Guidance on New Labor and Banking Rules

Well-known Chinese news site Sina recently reported that the Ministry of Human Resources and Social Security just released new regulations to relax certain labor laws for the period when the nation is combating the coronavirus. The new regulations prohibit laying off workers or stopping their pay if the workers are not able to work due to government bans. Companies should provide a minimum living payment to those who are not able to perform work. For the same cause, if one who is involved in the rescue activities of the epidemic temporarily loses income and is not able to pay off credit card debts or a mortgage, this will not be recognized as a breach of contract. Delayed payments should be allowed. The State Grid for electricity also issued announcements that allow customers to continue to use electricity even if their payment is past due. In the meantime, the Grid will provide capabilities for customers to do business remotely online without visiting local offices.

Source: Sina, January 27, 2020