Shanghai Municipal Human Resources and Social Security Bureau: Revised the Measures of Shanghai Municipality on Salary Payments by Enterprise
On 1 August 2026, the revised Measures of Shanghai Municipality on Salary Payments by Enterprise (the “Measures”) took effect. The revision mainly updates the issuing authority and extends the validity period of the Measures to 31 July 2031, without making substantive adjustments to the existing salary payment rules in Shanghai. Employers should continue to review their salary payment practices to ensure compliance with applicable requirements.
On 15 July 2026, the Shanghai Municipal Human Resources and Social Security Bureau issued the revised Measures of Shanghai Municipality on Salary Payments by Enterprise (the “Measures”), which took effect on 1 August 2026. The Measures apply to enterprises and other organisations within Shanghai that establish employment relationships with employees.
This revision involves two adjustments, including adjusting the issuing authority of the Measures and extending the validity period of these Measures to 31 July 2031, without making substantive adjustments to the existing salary payment rules in Shanghai.
The Measures continue to regulate key aspects of salary payment, including the definition of salary, salary payment methods and timing, salary records, salary deductions, and salary payment obligations upon termination of employment relationships. Employers are required to pay salaries to employees in monetary form on time and in full, and shall not unlawfully withhold or reduce salary payments.
Key Action Points
Employers in Shanghai should review their existing salary payment policies and procedures to ensure continued compliance with the Measures. In particular, employers should pay attention to salary payment schedules, overtime salary payments, salary deduction practices, and salary records management. Employers should also ensure that employment agreements, employee handbooks, and internal salary policies remain consistent with the applicable salary payment requirements. Proper maintenance of salary records and timely correction of any non-compliant practices may help reduce potential employment dispute risks.
