CHINA – The Pitfalls and Practicalities of Obtaining a Chinese Work Permit

During these times of recession and austerity China’s economy has remained one of the strongest in the world, and it is a country which continues to draw multinational companies and their employees from across the globe. Being an understandably attractive country to work in, we are receiving more requests for assistance with Chinese work permit applications than ever before.

However, the Chinese are notoriously strict when it comes to immigration rules and regulations, and applying for work authorisation can be a difficult and lengthy procedure. This process is further complicated by the fact that requirements vary depending on the location of the regional Labour Bureau where the assignee will be posted.

This article will focus on those areas which are likely to be a challenge for any HR professional, but with careful planning delays and refusals of work permit applications to China can be prevented. Often Global Mobility departments put issues such as assignment package, relocation and tax related matters at the forefront of any proposed assignment overseas. However, it should be noted that without meeting the immigration requirements, the assignee cannot even consider relocating or taking up the assignment in the first place. The assignee will need to secure a single-entry Z visa before arrival in China, and then apply for residence and employment permits post-entry. Therefore, we wish to highlight some of the important issues that HR should consider before deciding on an assignment to China.

1) Health Check

The assignee and any accompanying dependants (aged over 18 years old) will need to undergo a complete medical check at an authorised facility before it is possible to apply for an Employment Licence or Invitation letter.

The medical can be undertaken in the person’s country of residency. However, there are strict requirements which must be adhered to when deciding where and when the health check should take place, and what each applicant must be tested for. Original copies of certain detailed scans and x-rays will need to be gathered and forwarded to China as part of the report. Frequently this element of the process is neglected and in our experience, assignees are left to deal with this issue at the very last minute which often creates unnecessary anxiety.

We believe HR and assignees should seek professional advice from an expert before proceeding with medical checks to ensure that the tests will comply with Chinese regulations.

2) Qualifications

Ultimately, it is left to the discretion of each local Labour Bureau to determine whether an assignee meets the high standard of qualifications required from candidates for a Chinese work permit. HR must check that an assignee is capable of providing evidence of relevant education or experience, and holds as complete a professional record as possible. An original university degree in itself will not prevent Chinese officials from exercising their discretion to refuse an assignee’s application.

Furthermore, HR should be aware that only ‘highly-skilled’ assignees will be granted a Z visa, and take advice on whether each individual is likely to meet the requirements of the regional Labour Bureau where the assignee is being posted.

3) Language

Once HR and the assignee have received notification of a successful health check, an application will need to be submitted for the Employment Licence and Invitation letter. However, we have dealt with an unfortunately high number of instances where an assignee’s application has been denied due to failure to satisfy language requirements. HR should note that it is imperative all applications forms and accompanying documents must be in formal, correct Chinese, or they will be rejected and the whole process delayed.

4) Company Requirements

It is important for HR to be aware that Chinese immigration rules vary depending upon the type of Host Company seeking to sponsor the foreign assignee. For example, represented offices may sponsor only 4 foreign nationals per year, whereas foreign invested companies have no such cap. Evidential requirements also differ, with the need for authentication of certain documents in the case of represented offices. HR must check that the correct procedure has been adopted and the appropriate supporting documents are submitted with the work permit application. Where necessary, HR should seek further guidance on specific company requirements to ensure no errors are made on the assignee’s application.

5) Arrival in China – Next Steps

Upon receipt of the Employment Licence and Invitation letter, the assignee must submit them at the Chinese embassy or consulate in the employee’s country of residence.

The assignee should travel to China within 90 days of the date of issue of the single-entry Z visa, before it expires. However, HR must be advised that the assignee cannot commence work on any projects in China until other administrative hurdles have been dealt with. Many of the official appointments will be carried out in Chinese and we have found that this can be a very worrying and stressful experience for assignees who speak no Chinese. Therefore, we would advise HR to arrange for a local agent to accompany the assignee to these appointments and ensure the whole process runs smoothly.

6) Dependants

HR will be aware that often, a great concern for assignees being posted to China is whether their family members will be able to travel with them. Dependants are able to enter China on a tourist ‘L’ visa and then apply for residence permits in line with the main applicant. However, documentary requirements are still extremely strict and proof of the relationship between the assignee and accompanying dependants must be provided. HR must also note that should the assignee’s spouse wish to seek employment in China, a separate work permit application would need to be submitted on their behalf.

For further information and guidance please contact your local immigration provider.