Must a business purchase social security for its employees

Enterprises must buy social security for their employees.

Employers must buy social insurance for their employees according to law, which is an obligation stipulated by law. According to the Labor Law, both enterprises and workers should participate in social insurance and pay the corresponding fees. Social insurance includes pension insurance, medical insurance, unemployment insurance, work injury insurance and maternity insurance. It is illegal for enterprises to fail to pay social insurance for their employees. Employers should register their employees for social insurance within thirty days from the date of employment and pay social insurance premiums in full and on time. For employees with a work unit, medical insurance is usually paid by both the unit and the employee***.

Types of social security and their roles:

1. Pension insurance: to provide basic livelihood protection after retirement;

2. Medical insurance: to reduce the financial burden of medical treatment due to illness;

3. Work injury insurance: to provide medical expenses and living allowance for work-related accidents;

4. Unemployment insurance: to provide basic living expense during unemployment and Vocational training;

5. Maternity insurance: protects the basic income and medical expenses of female employees during maternity.

In summary, enterprises must purchase social security for their employees according to the law, including pension insurance, medical insurance, unemployment insurance, work injury insurance and maternity insurance, or they will be violating the law. Employers should register their employees for social security within 30 days of joining the company and pay the social security fees in full and on time. For employees with a work unit, medical insurance is usually paid by both the unit and the employee***.

Legal basis:

The Social Insurance Law of the People's Republic of China

Article 58

An employer shall, within 30 days from the date of employment, apply for social insurance registration with the social insurance agency for its employees and workers. If it fails to apply for social insurance registration, the social insurance administration organization shall approve the social insurance premiums it shall pay.