China: Shenzhen – Special Working Hours Systems can be implemented without Administrative Approval

The Standing Committee of Shenzhen Municipal People’s Congress voted to pass the Regulation of Shenzhen Special Economic Zone on Improving Business Environment (the “Regulation”). The Regulation specifies that if an employer, due to its production and business characteristic, is unable to implement statutory standard working hours systems, and falls under the applicable scope of a special working hours system, it may implement flexible or comprehensive working hours systems through notification to and commitment by employees, after consultation. Pursuant to the Regulation, to implement a special working hours system, employers in Shenzhen will no longer need approval from the local labour authority, which is different from the national regulation on special working hours systems. This new change is believed to increase flexibility for employers, save time regarding the administrative application to their local labour authority, and create a better business environment for employers in Shenzhen. The Regulation will come into effect as from 1 January 2021.

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