Social Insurance Law of PRC Effective

The Social Insurance Law of People's Republic of China was enacted by the National People's Congress on 28 October 2010 and has come into force on 1 July 2011. According to this law, the employers are obligated to pay the social insurances for their employees. If employers do not fulfill their obligations to pay the social insurances for their employees, the authorities are entitled to take measures to search their bank accounts, transfer funds from their bank accounts, or detain, seal or auction their properties to pay the social insurances.