Why don't some companies pay social security?

Because some companies do not pay social security in order to reduce the cost of enterprises. However, according to the requirements, the employer must pay social security for employees after they join the company, otherwise it is illegal.

According to the provisions of Article 86 of the Social Insurance Law of People's Republic of China (PRC), if the employer fails to pay social insurance premiums in full and on time, the social insurance premium collection agency shall order it to pay within a time limit or make up for it, and from the date of default, an overdue fine of 5/10000 will be charged on a daily basis; Failing to pay within the time limit, the relevant administrative departments shall impose a fine of more than one time and less than three times the amount owed.

Extended data:

Article 63 of the Social Insurance Law of People's Republic of China (PRC), if an employer fails to pay social insurance premiums in full and on time, the social insurance premium collection agency shall order it to pay or make up within a time limit. If the employer fails to pay or repay the social insurance premium within the time limit, the social insurance premium collection agency may inquire about its deposit account in banks and other financial institutions;

And can apply to the relevant administrative departments at or above the county level to make a decision on the allocation of social insurance premiums, and notify their bank or other financial institutions in writing to allocate social insurance premiums. If the balance of the employer's account is less than the social insurance premium that should be paid, the social insurance premium collection agency may require the employer to provide guarantee and sign a deferred payment agreement.

China People's Congress Network-People's Republic of China (PRC) Social Insurance Law