PRC Social Security Scheme  Major Characteristic of PRC Social Security Scheme - Only applicable to Chinese local employees - Local requirements may vary from locality to locality.  Structure of Social Security Scheme - Pension - Unemployment Insurance - Medical Insurance - Housing National Requirement - Pension  “Decisions of the State Council Concerning the Establishment of a Unified System of Basic Old-age Insurance for Staff and Workers of Enterprises”(July 16, 1997)  Structure of the Basic Pension Scheme …showed first 75 words of 517 total…

…showed last 75 words of 517 total…- Employer contribution – minimum contribution 5% of the total wages of the enterprises; - Employee contribution – minimum contribution 5% of the employee’s wage Local Requirements  Local requirements regarding contribution ratios may be different from national requirements, which vary from locality to locality based on the relevant regulations stipulated by local governments.  A Summary of contribution rations (expressed as a percentage of the employee gross wages) to social security funds in the following cities (as of July 1999)