State Council meeting stresses implementation of social insurance contribution cut

BEIJING -- China should take measures to ensure the social insurance contributions of enterprises are reduced, according to a State Council executive meeting Wednesday chaired by Premier Li Keqiang.

China has announced measures to cut the social insurance contribution of businesses as part of its efforts to reduce the burden of companies and boost market vitality.

Authorities should conduct on-site investigations in companies to find out problems during the implementation process, according to a statement issued after the meeting.

In the first half of this year, employers have seen more than 128 billion yuan ($18.59 billion) less paid in basic aged-care insurance contributions, unemployment insurance and work injury compensation insurance premiums, according to the meeting.

While making sure of the cut in corporate burden, authorities should also ensure that the basic pension be paid on time and in full.

To improve the sustainability of social security funds, the meeting decided to push for the transfer of some state assets including shares of State-owned companies and financial institutions to the country's social security funds this year.

The assets will be transferred to the National Council for Social Security Fund and relevant local entities, with transfer ratio of 10 percent of the state-owned equity.