1.       Concept of Medical Period

The “Medical Period” refers to the period that the company cannot terminate the labor contract and need to pay the sickness allowances to employees who need to stop working for medical treatment due to sickness or non-work-related injury.

2.      Calculation of Medical Period

(1)     Medical Period

When an employee is sick or needs to stop work for treatment due to a non-work-related injury, the company shall provide a medical treatment period of 3 months to 36 months according to the actual total working years of the employees and the working years in current company. The specific regulations are as follows:

Total Working Years	Working Years in Current Company	Medical Period
No more than 10 years	No more than 5 years	3 months
	Over 5 years	6 months
Over 10 years	No more than 5 years	6 months
	5 years to 10 years (incl. 10 years)	9 months
	10 years to 15 years (incl. 15 years)	12 months
	15 years to 20 years (incl. 20 years)	18 months
	20 years to 30 years (incl. 30 years)	24 months
	Over 30 years	36 months

For employees who suffering from cancer, severe mental illness, and paralysis (muscle strength, muscle tension, etc. that meet the disability requirements of grade 5 to 7) and need to stop work for treatment within 6 to 24 months, the company shall appropriately extend the medical period.

(2)      Accumulation Period

The accumulation period refers to the statistical period of the medical period. The employee’s actual off-work treatment time accumulated within the specified accumulation period does not reach the specified medical period. If the employees need to stop work for medical treatment, they must re-accumulate the medical period.

The extention period of medical period enjoyed by employees will no longer be accumulated. After the accumulation period has expired, it will be accumulated on the basis of the corresponding medical period enjoyed in accordance with the regulations.

After the company signs the labor contract with the employee, if the employee has been suspended for treatment for more than 3 consecutive days, the medical period will be calculated, which will be accumulated from the first day of the suspension. In case of a half-day off, two half-days are counted as one day for sick leave: public holidays, holidays and legal holidays are included in sick leave.  

The requirements for the accumulation period are as follows:

Total Working Years	Working Years  in Current Company	Medical Period	Accumulation Period
No more than 10 years	No more than 5 years	3 months	6 months
	Over 5 years	6 months	12 months
Over 10 years	No more than 5 years	6 months	12 months
	5 years to 10 years (incl. 10 years)	9 months	15 months
	10 years to 15 years (incl.15 years)	12 months	18 months
	15 years to 20 years (incl.20 years)	18 months	24 months
	20 years to 30 years (incl.30 years)	24 months	30 months

[Example] Mr. Li joined a company on January 1, 2013 and worked in the company for more than 5 years and less than 10 years on December 31, 2020. He enjoyed a 6-month medical period with an accumulation period of 12 months. Assuming that Mr. Li’s first sick leave is on February 1, 2019 for one month and back to work on March 1. After a relapse on November 1, 2019, he was hospitalized. The accumulation period should be calculated as follows:

Step 1: Calculate the medical period from the date of first sick leave. Mr. Li’s first sick leave is on February 1, 2019, the he medical period should be accumulated between February 1, 2019 and January 31, 2020. During this period, 6 months of sick leave is the medical period.
 

Step 2: Mr. Li’s sick had total 4 months of sick leave from February 1, 2019 to January 31, 2020 which are less than 6 months, and the medical period has not expired.

Step 3: Mr. Li's first accumulation period ends on January 31, 2020. From February 1, 2020, the second accumulation period begins. Since Mr. Li's working years is still within the scope of the original gear, the medical period is still 6 months, and the accumuation period is still 12 months. It is calculated between February 1, 2020 and January 31, 2021.

3.       Medical Treatment during Medical Period

When a employee stops working for treatment due to illness or non-work-related injury, the employer shall pay sick leave wages in accordance with the provisions of the labor contract or relevant State regulations during the medical treatment period prescribed by the State. The sick leave wage paid by the employer shall not be less than 80% of the local minimum wage standard.

Reference List：

Notice on Management of Medical Period for Employees’Sickness or Non-Work Related Injury

Guangdong Province Wage Payment Regulations

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