Yes, the enterprises shall follow the following requirements when they make the payments to employees.
(a) Enterprises must deduct personal income tax and various social insurance fees from their workers' wages and make payment for them.
(b) Enterprises may reduce workers' wages under the following rules and circumstances:
- Specific stipulations in China's laws and regulations;
- Specific stipulations in labour contract signed according to law;
- Specific stipulations provided in factory rules and disciplines formulated according to law by the enterprise and approved by workers' congress;
- Where the total payroll of the enterprise is linked with economic benefit, i.e. wages have to come down in tandem with falling economic benefit (but the wages for regular staff must not be lower than the local minimum wage);
(c) Enterprises may delay wage payment in the following circumstances:
l Enterprises cannot pay their workers on time because of force majeure such as natural disasters and wars;
l enterprises may temporarily delay paying their workers if they have cash flow problem due to difficulties in production and operation, but consent from the trade union is needed. The maximum grace period is subject to the regulations of the local provincial-level labor administrative department.