Special hardship industries can defer payment of three social insurances, and flexible employees can voluntarily defer payment.

On May 12, the State Council held a regular briefing on the State Council's policy on unemployment insurance funds to keep jobs stable and improve skills to prevent unemployment. At the meeting, Yu Jiadong, Vice Minister of Ministry of Human Resources and Social Security, said that he would focus on helping the industries in the hardest hit areas, and on the basis of continuing to implement the policy of reducing unemployment insurance and industrial injury insurance rates by stages for one year, he would implement phased deferral of social insurance premiums for newly-added enterprises in five extremely poor industries, such as catering, retail, tourism, civil aviation, highway, waterway and railway transportation, in different periods to ease the financial pressure on enterprises.

It is understood that recently, Ministry of Human Resources and Social Security and State Taxation Administration of The People's Republic of China jointly issued the Notice on Implementing the Policy of Deferred Payment of Social Insurance Fees for Enterprises in Poor Industries by Stages (hereinafter referred to as the Notice), which clearly defined the phased implementation of deferred payment of basic old-age insurance premiums, unemployment insurance premiums and work-related injury insurance premiums for enterprise employees (hereinafter referred to as the "three social insurance premiums").

According to the notice, the payment of three social security fees applicable to catering, retail, tourism, civil aviation, highway, waterway and railway transportation enterprises was postponed. Individual industrial and commercial households and other units with employees who participate in social insurance in the above-mentioned industries in the form of units shall defer payment with reference to enterprise measures. For the part that employees should pay, the enterprise shall fulfill the obligation of withholding and remitting according to law.

At the same time, individual industrial and commercial households and all kinds of flexible employees who participate in the basic old-age insurance for enterprise employees in their personal capacity may voluntarily suspend their payment if they have difficulties in paying fees in 2022, and they can pay back the unpaid months in 2022 before the end of 2023. The payment base will be selected independently within the upper and lower limits of the local individual payment base in 2023, and the payment period will be calculated cumulatively.

In terms of the implementation period, the Notice clarifies that the deferred payment of the basic old-age insurance premium for enterprise employees is from April to June 2022. The period for deferred payment of unemployment insurance premium and work-related injury insurance premium is from April 2022 to March 2023. During this period, enterprises can apply for deferred payment for different periods. Enterprises that have paid the fees in April 2022 can apply for an extension from May, and the extension month will be extended by one month accordingly, or they can apply for a refund of the fees in April. During the holdover period, the late payment fee will be exempted.

Zheng, director of the Social Insurance Department of State Taxation Administration of The People's Republic of China, said that the above deferred payment policy is expected to increase the cash flow of enterprises and individuals by more than 80 billion yuan, which plays an important supporting role in alleviating the financial pressure of these industries, especially small and medium-sized enterprises and individual industrial and commercial households, stabilizing employment and tide over difficulties.

Gui Zhen, director of the Unemployment Insurance Department of Ministry of Human Resources and Social Security, further stated that delaying the payment of social insurance premiums will not affect the social security rights and interests of employees. During the period of delaying payment of unemployment insurance premium, it will not affect enterprises to enjoy the policy of reducing unemployment insurance rate in stages and returning to work stably; Does not affect the insured workers to enjoy the skills upgrading subsidy policy; Does not affect the insured unemployed people to enjoy unemployment insurance and unemployment relief and other related benefits. During the holdover period of work-related injury insurance premium, it will not affect the enterprise's policy of reducing the rate of work-related injury insurance and the treatment of workers' work-related injury insurance. During the holdover period, if employees apply for pension insurance benefits, the pension insurance benefits of employees will not be affected after the enterprise makes up the holdover pension insurance premium.