Business China

All You Need To Know About Hiring a Foreigner in China

+86-020-2917 9715
Businesses that are categorized as “qualified’ are typically allowed to hire employees in China. These businesses may include Wholly-Foreign Owned Enterprises (WFOE), Joint Ventures (JV) and Representative Office (RO).


WFOEs and JVs are allowed to hire employees via traditional means, but ROs require a seconding domestic company, or say, outsourcing company to hire employees for them.

WFOEs and Joint Ventures in China are also allowed to hire foreign employees but there are various laws and regulations that make the entire process a little complicated.

These businesses need to comply with various employment laws of China—Employment Contract Law of China, labor Law of China, 2013 Administration of the Entry and Exit of Foreigners in China, State Administration of Foreign Affairs and 1996 Administration rules for hiring foreigners in China.

It is extremely difficult to comply with all these regulations without seeking services from a legal professional. To avoid the higher costs of legal professionals companies, opt for Professional Employment Organization (PEO).

What is a Professional Employment Organization?

PEO acts as a human resource outsourcing for its clients that are usually small and medium sized enterprises. They perform various administrative tasks and act as their as co-recruiter, which is why they’re legally liable for their employees

Some businesses, who don’t hire PEOs, go through a long process. Here’s an in-depth guide on hiring a foreigner in China:

Know who you're hiring

The suitable candidates to work in WFEOs and JVs in China can be divided into three categories:

  • Local Foreigners with Chinese work experience are the most suitable candidates—easier visa processing & easier relocations,
  • Foreigners with Chinese work experience (currently not residing in China) are more difficult to deal with—long interview & Visa processes,
  • Foreigner with international work experience but not in China are the most difficult candidates to hire due to long visa processes, interviews and cultural differences.

Potential challenges to face

Working full time in China can be difficult for a foreigner and can bring along various challenges like language and cultural barriers. The lack of knowledge about the Chinese work culture can be a source of distress for both, the employee and employer.

Compensation and benefits for foreign employees


The compensation and benefits vary from employee to employee based on their rank and performance in the organization. It usually includes a base salary, bonuses, health insurance, transport allowances, business expenses, travel expenses, international insurance for the whole family, educational expenses for kids, housing allowances, round trip home flights as well as stock benefits. The hiring company also covers travel-related expenses including Visa.

Who is Eligible?

According to the 1996 Administration Rules of Employment of
Foreigners in China, the foreign candidate must be meeting the following requirements to be eligible to work in China;
  • Must be 18 years old or older in a good medical state;
  • Must have job required qualification and skills;
  • Must have no criminal record;
  • The Employer has a clear record and is classified as “qualified”;
  • Must have a valid passport or other international documents of travel.

If the foreign candidate is an employee at the United Nations, Embassy or international organizations, not meeting these requirements won’t make him or her ineligible.

Employees can cultivate great benefits from foreign employees through their diversified knowledge, skill set, flexibility and determination.

Setting up a new company and recruiting foreign candidates can be difficult. With Business China’s services you don’t have to worry about the recruitment of foreigners. We facilitate our clients every step of the way. Just email us your business plan and let the process begin. Reach out to us at +86-020-2917 9715 for more details!

  • James Oliver "True professionals, very helpful and dedicated. Your support team is fantastic."
  • Robert Gatti "Our advisor was brilliant and we were given more help that we knew we needed. What I liked most about Business China's service was the prompt and businesslike approach.It helped us dramatically. At a...
  • Vivian Belfanti "Quality work and friendliness is why I chose to work with Business China. Business China is organized very easy to work with."
  • Tim Orchard "Thanks to Business China’s professional guiding and efficient processing about company incorporation and VAT refunding, our new entity in Guangzhou already step into a virtuous circle. I have to say...
  • Victor Declety "Business China allows us to focus on our customers instead of being tangled into enterprise level business incorporation and maintance."
  • Ben Hunter "Business China is helping people who don't necessarily know how to connect your current business with the booming Chinese market and how to lay out your 'China Dream' here specifically. It has been...
  • Daniel Wong "A great customer experience! The flexability and speed of response from the account manager, as well as the quality of the service process was exceptional."
  • Stacey Morris "Businesss China has been superb. Their customer service is great. The guys there respond very quickly and go above and beyond that help."
  • M. Salem Having real-time information allows us to deal with issues immediately before they become problems.We are satisfy with Business China.
Request a Proposal

Drop Business China a quick message to let us know about your incorporation needs.