What types of enterprises have the qualifications and conditions to recruit foreign employees?

Which types of enterprises have the qualifications and conditions to recruit foreign employees?

In the context of globalization, the recruitment of foreign employees by Chinese companies has become an important way to expand international business and introduce high-end talents. However, not all enterprises can directly carry out foreign talent recruitment, which needs to meet the multi-dimensional conditions such as law, industry and operation. The following is a systematic review of the scope and key conditions of enterprises that can recruit foreign employees from the perspectives of enterprise types, qualification requirements, industry restrictions and operating procedures.

1. types of enterprises with recruitment qualifications

1. legally established enterprises with no major illegal records
   all enterprises recruiting foreign employees must have legal business qualifications, including business license, organization code certificate and other basic documents, and no serious illegal dishonesty record. For example, a technology company was included in the list of business anomalies due to its failure to report on time, resulting in the rejection of a work permit for foreign talents.
2. central-level employers and enterprises without industry authorities
   such enterprises can directly apply for employment permits from provincial labor administrative departments without prior approval from industry authorities. For example, the headquarters of central enterprises, state-owned enterprises or some multinational enterprises can directly handle the employment procedures of foreign employees.
3. foreign-invested enterprises
   according to regulations, foreign-invested enterprises (such as joint ventures and wholly-owned companies) may directly apply for a work permit for foreigners from the labor administrative department without the approval of the competent department of the industry, on the basis of the contract, articles of association, approval certificate and business license. For example, when Tesla's Shanghai factory recruits foreign engineers, it only needs to submit the basic documents and job requirements of the enterprise to complete the approval.
4. high-tech enterprises and enterprises in key fields
   high-tech enterprises, encouraged foreign-invested enterprises or units undertaking national key projects can enjoy simplified procedures when recruiting foreign employees. For example, a biomedical company was recognized as a high-tech enterprise, and its application for recruiting foreign researchers was given priority approval.

2. job demand and industry restrictions

1. jobs must conform to the principle of "domestic scarcity"
   foreign jobs recruited by enterprises must meet the conditions of "there is a temporary shortage of suitable candidates in the country" and "do not violate national regulations. For example:
   
• technical positions : artificial intelligence algorithm engineers, chip research and development experts, etc.;
• management positions : regional directors of multinational enterprises, international business leaders, etc;
• language and culture positions : minor language translation, foreign teachers in international schools, etc.

1. prohibited employment fields
   enterprises are not allowed to employ foreign personnel to engage in commercial theatrical performances (except those meeting specific regulations), pornography or other fields explicitly prohibited by the state. For example, an entertainment company was fined 100000 yuan for illegally employing foreign personnel to engage in performing arts activities.
2. approval requirements for special industries
   enterprises involving education, medical care, culture and other special industries must first pass the approval of the competent departments of the industry. For example, an international school recruiting foreign teachers must first submit a job requirement statement and candidate qualification certificate to the education department.

core conditions to be met by 3. enterprises

1. salary and welfare standard
   the salary paid by enterprises to foreign employees shall not be lower than the local minimum wage standard, it is also necessary to specify that the amount of the basic wage is at least equal to the local minimum wage. For example, when an enterprise in Beijing recruits foreign designers, the labor contract should indicate that the monthly salary is not less than 2420 yuan (Beijing minimum wage standard).
2. social security payment obligations
   enterprises must pay basic old-age insurance, medical insurance, work injury insurance, unemployment insurance and maternity insurance for foreign employees. For example, a technology company was ordered to pay high medical expenses and late fees for failing to pay social security for foreign employees.
3. labor contract term limit
   the maximum term of the labor contract signed by the enterprise and foreign employees shall not exceed 5 years, and no fixed term clause shall be agreed. For example, a 10-year contract between a company and a foreign executive was found to be invalid and had to be renegotiated.

4. the operation process of recruiting foreign employees

1. applying for employment permit
   enterprises need to register an account in the "management service system for foreigners coming to China, submit the business license, job requirement description, candidate qualification certificate and other materials, and obtain the" Foreigner Work Permit Notice "after the review and approval.
2. apply for z visa
   foreign candidates who apply for z visa at Chinese embassies and consulates abroad with the "work permit notice" must provide passports, photos, visa application forms and other materials.
3. post-entry procedures
   
• medical examination and work permit : foreigners are required to go to a designated hospital for medical examination after entering the country and apply for a work permit for foreigners based on the medical examination certificate.
• residence permit : enterprises are required to apply for a work-type residence permit for foreign employees within 30 days, which is usually valid for the same period as the contract period.

1. follow-up management
   
• annual inspection and change : enterprises need to handle annual inspection of employment permit for foreign employees every year, and re-apply for permission when changing positions and regions;
• resignation management : after the resignation of foreign employees, the enterprise shall report to the labor and public security department within 10 days and return the employment certificate and residence certificate.

5. typical enterprise case reference

1. technology and manufacturing enterprises
• Huawei, BYD : recruit foreign engineers to participate in 5G research and development and new energy vehicle technology research;
• Ningde era : introduce foreign battery experts to enhance core technology competitiveness.

1. educational and cultural institutions
• new oriental, good future : recruit foreign teachers to improve the teaching quality of international courses;
• Palace Museum : Introduce foreign experts to participate in the protection of cultural heritage.

1. Finance and trade enterprises
• Bank of China, China Merchants Bank : recruit foreign risk management experts to optimize cross-border financial business;
• COFCO : Introduce foreign supply chain experts to improve global procurement efficiency.

Conclusion

Enterprises should recruit foreign employees on the premise of compliance, by clarifying job requirements, strictly controlling qualification review, standardizing procedures and strengthening follow-up management, we will build an efficient and low-risk international talent team. It is recommended that companies consult professional institutions or lawyers during the operation to ensure that every step complies with legal requirements and lays a solid foundation for business globalization.