China: new measures to beef up employment

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China is offering new incentives for companies to keep people in work, for startups and small businesses and for job training.

The measures are contained in a document issued on Wednesday by the State Council which said they are aimed at helping to stabilize corporate development.

The document said that insured enterprises with no or few layoffs can get back 50 percent of unemployment insurance premiums that they paid in the previous year. For those with temporary production difficulties but with space to recover, the proportion will be bigger.

Small and micro enterprises will have easier access to loans. The state financing guarantee fund, which aims to provide support for financing guarantee projects backed by local governments, will play an active role in supporting small and micro businesses.

China continues to support startups as the guarantee fund for startups will be also fully employed. Eligible individuals and small businesses are allowed to apply for a loan of up to 150,000 yuan and three million yuan respectively.

Job training is also highlighted in the document. The country encourages the local governments to establish startup incubators and to provide free venues for unemployed people in regions with high employment pressure to start businesses. Also, the unemployed aged from 16 to 24 can get training subsidies.

Laid-off workers will get job training supported by government subsidies and enjoy job-related services and preferential policies by registering applications at their permanent residences. Those eligible will be included in the subsistence allowance and temporary-assistance scheme.