Jan. 28 – As different parts of the country have very different living standards, China does not have a unified minimum wage level for the entire nation. Instead, the task of setting minimum wages falls on the shoulders of local governments. Each province, municipality, autonomous region, and even each district sets its own minimum wage level according to local conditions.
Typically how it works is the provincial government sets out multiple minimum wage “classes” for the region as a whole, and each city and county within the region chooses the appropriate minimum wage level based on local economic conditions and living standards. For example, in its latest round of minimum wage increases, Zhejiang set out four minimum wage “classes” across the province, with some top-tier cities such as Hangzhou, Ningbo and Wenzhou choosing the highest minimum wage standard (“Class A”), while other cities, including Jiaxin, Jinhua and Taizhou, settled on the next-highest minimum wage level (“Class B”). However, for cities like Shaoxin and Yiwu, the local governments have not yet decided on which minimum wage level is most suitable for their respective region.
Twenty-three regions across China adjusted their minimum wage levels in 2012, including: Beijing, Sichuan, Jiangxi, Shaanxi, Shenzhen, Shangdong, Shanghai, Tianjin, Guangxi, Ningxia, Gansu, Shanxi, Yunnan, Chongqing, Jiangsu, Xinjiang, Fujian, Hainan, Qinghai, Hunan, Hebei, Inner Mongolia and Heilongjiang.
Moreover, four regions – Zhejiang, Beijing, Henan and Shaanxi – have improved their minimum wage levels since January 1, 2013. With these latest updates now in effect, Zhejiang’s “Class A” cities now rank second in the nation at RMB1,470 per month, behind only Shenzhen (which stands apart from Guangdong Province for purposes of minimum wage calculations). However, Beijing still has the nation’s highest minimum hourly wage rate at RMB15.2, followed by Xinjiang and Shenzhen at RMB13.4 and RMB13.3, respectively.
Minimum wages across China’s various regions are required to be raised at least once every two years as a matter of State policy – Guangdong Province, for example, last updated its minimum wage levels in 2011, and is expected to release new figures around April of this year. Furthermore, according to the country’s Employment Promotion Plan, minimum wage levels in China should grow by at least 13 percent annually through to 2015, and the minimum wage levels in most areas should not be lower than 40 percent of the average local salary. Under such policies, minimum wage levels across the country have registered an average 12.6 percent annual growth rate from 2008-2012.
Monthly and hourly minimum wage levels across all municipalities and provinces in China can be found in the charts and graphics below.
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Which “Class” Does My City Fall Under?
Anhui
Class A District
Class B District
Class C District
- Wuhu
- Huainan
- Huaibei
- Tongling
Class D District
Class E District
Class F District
- Feidong County
- Wuhu County
- Fengtai County
Chongqing
Class A District
- Wanzhou District
- Yuzhong District
- Fuling District
- Dadukou District
- Jiangbei District
Class B District
- Liangping County
- Chengkou County
- Fengdu County
Fujian
Class A District
Class B District
- Fuzhou
- Fuqing
- Changle
- Jinjiang
Class C District
- Wuyishan
- Jianyang
- Zhangping
Class D District
- Ninghua County
- Jianning County
- Taining County
- Mingxi County
Gansu
Class A District
- Lanzhou
- Jiayuguan
- Yumen
- Dunhuang
Class B District
- Hezuo
- Yuzhong County
- Guazhou County
- Yongdeng County
Class C District
- Linxia
- Huining County
- Lingtai County
- Xiahe County
Class D District
- Taian County
- Gangu County
- Shandan County
- Wushan County
Guangdong
Class A District
Class B District
- Zhuhai
- Foshan
- Dongguan
- Zhongshan
Class C District
Class D District
Guangxi
Class A District
- Nanning
- Liuzhou
- Guilin
- Wuzhou
- Beihai
Class B District
- Fangchenggang
- Qinzhou
- Guigang
- Yulin
- Baise
Class C District
Class D District
- Counties and autonomous counties
Guizhou
Class A District
- Guiyang
- Liupanshui
- Zunyi
- Anshun
Class B District
- Tongren
- Fuquan
- Kaiyang County
Class C District
- Xiuwen County
- Xifeng County
- Fenggang County
Hainan
Class A District
Class B District
Class C District
- Other cities and counties
Hebei
Class A District
- Shijiazhuang
- Baoding
- Langfang
- Tangshan
- Qinghuangdao
Class B District
- Handan
- Xintai
- Hengshui
- Zhangjiakou
- Chengde
Class C District
Class D District
- Zanhuang County
- Shunping County
- Tang County
- Pingxiang County
Heilongjiang
Class A District
Class B District
- Qiqihar
- Mudanjiang
- Jiamusi
- Jixi
- Hegang
- Shuangyashan
- Qitaihe
- Suihua
- Suifenhe
- Fuyuan County
Class C District
- Heihe
- Yinchun
- Jidong County
- Daxinganling Region
- County-level cities
Class D District
- Other cities and counties
Henan
Class A District
- Zhengzhou
- Luoyang
- Pingdingshan
- Anyang
- Hebi
- Jiaozuo
Class B District
- Kaifeng
- Puyang
- Nanyang
- Shangqiu
- Xinyang
- Zhoukou
Class C District
- Weihui
- Kaifeng County
- Lankao County
- Luoshan County
Hubei
Class A District
Class B District
- Huangshi
- Xiangyang
- Yichang
- Jingzhou
- Shiyan
- Huanggang
Class C District
- Yicheng
- Danjiangkou
- Guangshui
- Yangxin County
Hunan
Class A District
Class B District
Class C District
- Zhangjiajie
- Yongzhou
- Yiyang
Class D District
Inner Mongolia
Class A District
Class B District
Class C District
Class D District
Jiangsu
Class A District
- Nanjing
- Suzhou
- Zhenjiang
- Changzhou
- Wuxi
Class B District
- Yangzhou
- Nantong
- Liangyungang
Class C District
Jiangxi
Class A District
Class B District
- Jiujiang
- Shangrao
- Ji’an
- Pingxiang
Class C District
- Yichun
- Jinggangshan
- Ruijin
Class D District
- Xingzi County
- Wuning County
- Waizai County
Class E District
- Duchang County
- Xiushui County
- Lianhua County
Jilin
Class A District
Class B District
- Siping
- Liaoyuan
- Tonghua
- Baishan
- Songyuan
- Yanji
- Huichun
- Qianguo County
Class C District
- Baicheng
- Other cities and areas
Liaoning
Class A District
Class B District
- Anshan
- Fushun
- Benxi
- Dandong
- Jinzhou
- Yingkou
- Liaoyang
- Panjin
Class C District
- Fuxin
- Tieling
- Chaoyang
- Huludao
Ningxia
Class A District
Class B District
- Wuzhong
- Qingtongxia
- Zhongwei
Class C District
- Guyuan
- Xiji County
- Longde County
- Pengyang County
Qinghai
Class A District
Class B District
Class C District
Shaanxi
Class A District
Class B District
- Tongchuan
- Weinan
- Yanan
- Baoji
Class C District
Class D District
- Lantian County
- Shiquan County
- Yijun County
Shandong
Class A District
- Jinan
- Qingdao
- Zibo
- Yantai
- Weifang
- Weihai
Class B District
- Zaozhuang
- Jining
- Taian
- Rizhao
- Linyi
- Binzhou
Class C District
Shanxi
Class A District
- Taiyuan
- Jincheng
- Datong
- Changzhi
Class B District
- Gaoping
- Linfen
- Houma
- Qingxu County
Class C District
- Yangqu County
- Zuoyun County
- Datong County
- Changzhi County
Class D District
- Loufan County
- Daning County
- Yonghe County
- Yanggao County
Sichuan
Class A District
Class B District
- Zigong
- Panzhihua
- Deyang
- Mianyang
- Yibing
Class C District
- Guangyuan
- Luzhou
- Nanchong
Class D District
Tibet
Class A District
- Lhasa
- Shannan
- Linzhi
- Changdu
- Naqu
- Ali
Class B District
Xinjiang
Class A District
- Karamay
- Taxkorgan Tajik Autonomous County
Class B District
- Urumqi
- Fukang
- Shihezi
- Hutubi County
- Manas County
Class C District
- Turpan
- Hami
- Kashgar
- Korla
Class D District
- Yining
- Toksun County
- Barkol Kazak Autonomous County
- Jeminay County
Yunan
Class A District
Class B District
- Yulong County
- Counties under Kunming Jurisdiction
Class C District
Zhejiang
Class A District
Class B District
Class C District
- Linan (2011)
- Jiande (2011)
- Zhoushan(2011)
- Quzhou (2011)
Class D District
- Pingyang County (2011)
- Cangnan County (2011)
- Wencheng County (2011)
- Shuntai County (2011)
Dezan Shira & Associates is a specialist foreign direct investment practice, providing corporate establishment, business advisory, tax advisory and compliance, accounting, payroll, due diligence and financial review services to multinationals investing in emerging Asia. Since its establishment in 1992, the firm has grown into one of Asia’s most versatile full-service consultancies with operational offices across China, Hong Kong, India, Singapore and Vietnam as well as liaison offices in Italy and the United States.
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