Source: NYT (8/29/25)
China Is Trying to Expand Its Social Safety Net. Yet Many Chinese Are Worried.
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A move to force employers to pay into benefits for their employees has left people worrying that small businesses will close and jobs will be lost.
By Vivian Wang, Reporting from Beijing

Outside a maternity hospital in Beijing last year. As of Sept. 1, all employers in China must contribute to benefits for their employees, to support their pensions, medical care, maternity leave and more. Credit…Andrea Verdelli for The New York Times
As of Sept. 1, all employers in China must contribute to benefits for their employees, to support their pensions, medical care, maternity leave and more.
That should come as good news to many ordinary Chinese, given how threadbare China’s social safety net has been. But rather than celebrating, many in China have reacted with worry and frustration.
Small business owners have said that their labor costs will skyrocket. Workers have speculated that their bosses will lay them off or lower their salaries. Economists have warned that the policy could push more people into the gig economy, possibly lowering the formal employment rate and stripping workers of protections.
“If they force us to pay, we’ll have to close up shop and go home,” said Yan Xuejiao, whose family runs a rice noodle shop in Beijing.
“Especially the way business is going this year, ask around — which business owner is able?” she continued, gesturing at the empty restaurants, hers included, on the downtown street. “We’re all about to give up our leases and quit.” Continue reading China tries to expand social safety net