Yuxi company registration: how important is it for enterprises to buy social security for employees?

Many enterprises, especially small and medium-sized enterprises, do not buy insurance for their employees in order to save costs, or employees do not experience the benefits of buying social insurance for themselves in a short time, so many employees sign a written statement agreement with enterprises to give up their right to buy social insurance for them, expressing their willingness to bear all the consequences of the failure of enterprises to buy social insurance for them. At the same time, the enterprise also believes that with this written statement agreement, the funds that should have been paid to employees through wages will not bear any responsibility.

I believe that many enterprises will encounter the above situation when employing workers, so as an employer, can they sit back and relax?

The answer is no, of course. The following Mande enterprises are taking the road of legal risks faced by the above enterprises:

One,

Article 72 of the Labor Law clearly stipulates that employers and workers must participate in social insurance and pay social insurance premiums according to law.

In other words, it is a mandatory legal obligation for enterprises to buy social insurance for employees. In other words, employees make a written commitment to enterprises not to buy social insurance, and such a commitment has no legal effect.

Often, once employees go back on their word, they file a labor arbitration with the Labor Arbitration Committee on the grounds that the enterprise has not paid social insurance for them, demanding that the enterprise pay economic compensation. At that time, the enterprise was really bitter and couldn't tell.

Second,

Social insurance includes endowment insurance, medical insurance, industrial injury insurance, maternity insurance and unemployment insurance (note: some areas have implemented the policy of four insurances and one gold).

Among them, industrial injury insurance is often closely related to the interests of enterprises. Article 41 of the Social Insurance Law of People's Republic of China (PRC) stipulates the treatment of employees in uninsured units who suffer from work-related injuries: if the employer where the employee works fails to pay the work-related injury insurance premium according to law, the employer shall pay the work-related injury insurance benefits when the employee suffers from work-related injuries.

If the employer does not pay, it shall pay in advance from the industrial injury insurance fund. The industrial injury insurance benefits paid in advance from the industrial injury insurance fund shall be repaid by the employer.

If the employer fails to repay the loan within the time limit, the social insurance fund handling agency may recover the compensation in accordance with the provisions of Article 36 of this Law.

The reason why the state has incorporated social insurance for employees into the law is also out of a kind of protection for enterprises.

When the degree of employee injury reaches a high level, enterprises may have to bear hundreds of thousands or even millions of expenses. These expenses include one-time disability subsidy, one-time employment subsidy, one-time medical subsidy, wages and benefits during paid shutdown, medical expenses, assistive devices, living care expenses, and hospitalization food subsidies.

This is undoubtedly a huge expense for small and medium-sized enterprises, and even some enterprises may face bankruptcy because of this expense.

Third,

There is also a point that Mande enterprise service should remind employers not to think that enterprises can buy social insurance for regular employees casually.

Considering the stability of employees, many enterprises do not buy social security for employees during the probation period, and then buy social security for employees after the probation period expires. In fact, this kind of behavior of enterprises is also illegal.

According to the relevant provisions of the Social Insurance Law, the employer shall, within 30 days from the date of employment, apply to the social insurance agency for social insurance registration for its employees.

In other words, it is the legal obligation of enterprises to buy social insurance for employees on probation.

Mande Enterprise Service analyzes the three major risks faced by enterprises in view of the above situation, and enterprises should know the importance of purchasing social insurance for employees according to law.

Don't be penny wise and pound foolish, try to avoid unnecessary risks.

Please click: Kunming company registration, Hangzhou company registration and Ningbo company registration to inquire about the business in various regions.

Open a company to find Mande enterprise service, the company is safe and efficient, and the tax consultant is professional. Mande enterprise service is a one-stop service expert.