China has issued the Interim Provisions on the Protection of Basic Rights and Interests of Over-Age Workers (《超龄劳动者基本权益保障暂行规定》) (the “Provisions”). The Provisions establish the country’s first national framework governing the engagement and protection of individuals who continue working after reaching the statutory retirement age / after retirement.
The Provisions were jointly issued by the Ministry of Human Resources and Social Security, the National Health Commission, the Ministry of Emergency Management, the State Taxation Administration, and the National Healthcare Security Administration on May 10, 2026 and will take effect on July 1, 2026.
The new rules provide greater legal certainty for employers engaging retirees and other over-age workers, while introducing specific obligations concerning written agreements, remuneration payment, working conditions, occupational safety, social insurance participation, and dispute resolution.
For many employers, the Provisions represent a significant shift in the legal landscape. Although they stop short of characterizing engagements with over-age workers as ordinary labor relationships, they incorporate a number of protections traditionally associated with labor law and are likely to increase compliance obligations and litigation exposure.
Companies in China that engage retirees, rehire former employees after retirement, or maintain a significant aging workforce should review their employment practices ahead of the implementation date.
I. Scope of Application
The Provisions apply to individuals who
- have reached the applicable statutory retirement age, and
- continue to perform work for an employer located in China under its management and direction
- in exchange for remuneration.
The Provisions also expressly apply to individuals who retired early in accordance with applicable laws and regulations and later return to work. Accordingly, the scope of the Provisions extends not only to workers who continue working after reaching retirement age, but also to certain lawfully retired early retirees who re-enter the workforce following retirement.
The Provisions establish an important exception. Employees who postpone retirement (i.e., after reaching of the statutory retirement age) pursuant to China’s national flexible delayed retirement policy remain subject to the ordinary labor law framework during the delayed retirement period. Such individuals continue to be governed by the Chinese Labor Contract Law, the Regulations on Personnel Management of Public Institutions, and other applicable laws and regulations. Accordingly, labor contracts, working hours, leave entitlements, social insurance contributions, termination rights, severance obligations, and labor dispute resolution continue to be governed by the ordinary labor law regime.
For employers, this distinction is particularly important because not every individual working beyond the statutory retirement age qualifies as an “over-age worker” under the Provisions.
II. Written Agreements
The Provisions require employers and over-age workers to clearly define their respective rights and obligations through written agreements.
Such agreements should address matters including:
- term of the agreement;
- job duties;
- work location;
- working hours;
- rest and leave,
- remuneration;
- social insurance,
- occupational health and safety,
- working conditions, and
- protection against occupational hazards.
Employers should review and update existing templates used for retirees and post-retirement hires to ensure compliance with the new framework.
III. Remuneration and Payment Obligations
The Provisions strengthen protections relating to remuneration.
Employers are required to:
- pay remuneration in legal tender;
- pay remuneration in full and on time;
- pay remuneration at least once per month; and
- ensure remuneration is not lower than the applicable local minimum wage standard.
These requirements reflect a policy objective of ensuring that over-age workers receive basic economic protection comparable to that enjoyed by ordinary employees.
Employers should review current compensation arrangements involving retired personnel, particularly where consulting-style, project-based, or irregular payment arrangements are used.
IV. Working Hours, Overtime and Leave
The Provisions require employers to comply with applicable national rules concerning working hours, rest periods, and public holidays.
Employers should establish reasonable working schedules for over-age workers, considering their physical condition and health status, and should avoid assigning excessive workloads.
The Provisions make clear that employers should generally avoid arranging overtime work for over-age workers.
Where overtime is required due to operational needs, employers must comply with the relevant provisions of the Chinese Labor Law. Significantly, the Provisions expressly reference Article 44 of the Chinese Labor Law, which requires employers to pay statutory overtime compensation for:
- extended working hours;
- work performed on rest days where compensatory time off cannot be arranged; and
- work performed on statutory holidays.
Accordingly, statutory overtime pay requirements should apply where overtime work is arranged for over-age workers.
The Provisions do not address whether over-age workers may be engaged under:
- a flexible working hour system; or
- a comprehensive working hour system.
Nor do the Provisions clarify whether governmental approvals already obtained for such arrangements may be extended to over-age workers.
Pending further guidance, employers should consult local authorities before applying special working-hour systems to over-age workers and should not assume that approvals applicable to ordinary employees automatically extend to this category of workers.
The Provisions require employers to protect over-age workers’ rights to rest and leave. However, unlike the provisions governing overtime pay, the Provisions do not expressly incorporate the Regulation on Paid Annual Leave for Employees or otherwise clarify whether over-age workers are entitled to statutory paid annual leave on the same basis as employees in a standard labor relationship.
Accordingly, uncertainty remains regarding:
- whether statutory paid annual leave applies;
- how any leave entitlement should be calculated;
- whether unused leave must be compensated upon termination; and
- the interaction between contractual leave arrangements and any statutory protections.
Until further guidance is issued, employers should expressly address leave arrangements in written agreements with over-age workers.
In particular, employers may wish to specify:
- working schedules and rest days;
- entitlement to paid or unpaid leave;
- procedures for requesting leave;
- treatment of unused leave upon termination; and
- any company-specific leave benefits that will or will not apply.
Clear contractual arrangements may help reduce uncertainty and mitigate the risk of future claims concerning leave entitlements.
V. Occupational Health and Safety
The Provisions place significant emphasis on workplace health and safety.
Employers are required to:
- consider the physical condition and health status of over-age workers;
- assign suitable positions and workloads;
- provide occupational safety training;
- conduct workplace safety education;
- identify and mitigate workplace hazards; and
- implement measures to prevent work-related injuries and accidents.
Particular attention should be paid in manufacturing, logistics, warehousing, construction, and other higher-risk industries.
VI. Work Injury Insurance
One of the most significant developments under the Provisions is the express requirement concerning work injury insurance.
Employers must participate in work injury insurance programs for eligible over-age workers in accordance with applicable national and local regulations.
This obligation reflects China’s broader policy objective of extending occupational injury protection to individuals who continue working after retirement or reaching retirement age.
Given the potentially significant liabilities arising from workplace accidents, employers should review current coverage arrangements and confirm compliance with local implementation requirements.
VII. Termination of Engagement
In contrast to the strict termination protection under the Chinese Labor Contract Law, the Provisions permit employers and over-age workers to agree on circumstances under which an engagement may be terminated.
Therefore, employers may consider clearly addressing in their written agreements with over-age workers:
- expiration of the agreed term;
- mutual termination;
- termination by following a notice period;
- termination for cause;
- inability to perform work due to health conditions;
- operational or business changes; and
- other agreed termination circumstances consistent with applicable law.
VIII. Dispute Resolution
The Provisions establish a bifurcated dispute resolution framework based on the nature of the claim.
Article 19 of the Provisions expressly provides that disputes concerning rights specifically protected under the Provisions must be handled in accordance with the Chinese Labor Dispute Mediation and Arbitration Law.
These include disputes relating to:
- remuneration;
- rest and leave;
- occupational safety and health; and
- work injury protection.
Accordingly, disputes concerning these matters fall within China’s labor dispute resolution system and are generally subject to labor arbitration procedures before court litigation may be pursued.
This is a significant development because it grants over-age workers access to labor dispute resolution mechanisms for certain statutory claims, even though their engagement may not constitute a standard labor relationship under the Chinese Labor Contract Law.
Article 19 further provides that disputes concerning matters other than those expressly identified above may be brought directly before the People’s Courts in accordance with law.
These may include disputes concerning such as:
- interpretation of engagement agreements;
- agreed termination arrangements;
- confidentiality obligations;
- reimbursement claims; and
- other contractual rights and obligations not specifically covered by the Provisions.
The Provisions therefore create a dual-track dispute resolution mechanism. Employers should carefully maintain employment and contractual records and ensure that written agreements clearly address matters that may ultimately be litigated before either forum. Employers should also adopt a conservative compliance approach and closely monitor future guidance from the Ministry of Human Resources and Social Security, local authorities, labor arbitration commissions, and the courts.
IX. Our Observations
The Provisions represent a significant development in China’s evolving approach to workforce participation among older individuals.
Although the Provisions stop short of characterizing engagements with over-age workers as ordinary labor relationships, they incorporate many protections traditionally associated with labor law, including:
- mandatory written agreements;
- minimum remuneration standards;
- monthly payment requirements;
- overtime compensation protections;
- occupational health and safety obligations;
- work injury insurance participation requirements; and
- statutory access to labor arbitration procedures for disputes concerning remuneration, rest and leave, occupational safety and health, and work injury protection.
Taken together, these measures suggest a legislative trend toward providing over-age workers with basic protection increasingly comparable to those enjoyed by employees in standard labor relationships.
At the same time, the Provisions leave several important questions unanswered, particularly regarding annual leave entitlements and the application of special working-hour systems. Until further guidance is issued, employers should seek to reduce uncertainty through carefully drafted written agreements and robust workforce management practices.
For employers, the most immediate compliance priorities are likely to be:
- reviewing arrangements involving retirees and post-retirement hires;
- ensuring written agreements comply with the Provisions;
- confirming work injury insurance coverage;
- reviewing overtime management practices and payment arrangements;
- clearly defining rest and leave arrangements as well as termination circumstances;
- strengthening occupational health and safety procedures for older workers; and
- reassessing dispute resolution and litigation risk associated with an aging workforce.
X. Key Takeaways
- The Provisions take effect on July 1, 2026 and establish China’s first dedicated national framework protecting over-age workers.
- The rules apply to individuals who continue working after reaching retirement age and to individuals who have lawfully retired (including lawful early retirees) and are subsequently re-employed after retirement.
- Employees working under China’s flexible delayed retirement regime are expressly excluded from the scope of the Provisions and remain subject to the ordinary labor law framework.
- Employers should enter into clear written agreements with over-age workers covering key terms of engagement.
- Remuneration must generally be paid in legal tender, in full, at least monthly, and no less than the applicable local minimum wage standard.
- Participation in work injury insurance for eligible over-age workers is a key compliance obligation.
- Employers should generally avoid arranging over-age workers to conduct overtime work; where overtime is required, statutory overtime compensation should be paid unless the implementation of alternative working hours systems has been approved by the local competent authorities.
- Particular attention should be given to defining rest and leave arrangements contractually, as disputes concerning rest and leave fall within the labor arbitration framework even though the scope of leave entitlements remains uncertain.
- Important issues remain unsettled, including the applicability of statutory paid annual leave and the use of special working-hour systems.
- HR and legal teams should review retirement, rehire, social insurance, compensation, working time, leave management, and workforce planning policies before the Provisions take effect.
