Paid Annual Leave in China
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What is the statutory rules on paid annual leave in China?
Answer: According to the Regulation on Paid Annual Leave for Employees of the PRC, employees are entitled to statutory paid annual leave when they have worked one consecutive year or more. The number of annual leave days an employee is entitled to is based on the employee's cumulative working years.
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How many days of paid annual leave can employees in China have?
Answer: Employees in China can have 5, 10 or 15 days of paid annual leave depending on their cumulative working years. The detailed rules are as follows:
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Cumulative Working Years
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Statutory Paid Annual Leave
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1 to <10 years
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5 days
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10 to <20 years
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10 days
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≥20 years
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15 days
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Can a newly joined employee have paid annual leave?
Answer: The paid annual leave for newly joined employees is calculated based on the following formula: (remaining calendar days in the year ÷ 365) × the employee’s total statutory annual leave entitlement in the same year. If the result is less than one full day, then no paid annual leave will be granted.
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How should untaken annual leave be treated?
Answer: If an employer does not grant annual leave with the employee's consent, they must pay the employee 300% of the daily wage for each day of untaken leave, which includes the regular wage.
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Public holidays are included in paid annual leave or not?
Answer: Paid annual leave does not include statutory public holidays and weekly rest days.
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Is it legal for the employer to regulate that untaken paid annual leave will become invalid automatically after December 31 each year?
Answer: In judicial practice, the court usually rules that the employer's provision of automatic invalidation of untaken paid annual leave violates mandatory legal provisions, thus has no legal effect on the employee.
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