Source: Department of Pension Insurance

Opinions of the Ministry of Human Resources and Social Security and the Ministry of Finance on Further Improving the Administration of Corporate Pension Plans

To the Departments (Bureaus) of Human Resources and Social Security and the Departments (Bureaus) of Finance of all provinces, autonomous regions, and municipalities directly under the Central Government, as well as the Xinjiang Production and Construction Corps:

To thoroughly implement the spirit of the 20th National Congress of the Communist Party of China and the subsequent plenary sessions of the 20th Central Committee, accelerate the development of a multi-tiered, multi-pillar pension system, and better leverage the important role of enterprise annuities in raising the income levels of retirees, actively addressing population aging, and promoting common prosperity, the following opinions are hereby put forward regarding further improving the administration of enterprise annuities.

I. Expanding Coverage. We encourage and guide all types of enterprises, social organizations, foundations, private non-enterprise entities, and other eligible employers and their employees to establish enterprise annuities in accordance with the *Measures for Enterprise Annuities*, thereby expanding the coverage of the enterprise annuity system and fully leveraging its role in improving the distribution mechanism, attracting and retaining talent, enhancing benefit levels, and promoting enterprise development.

II. Simplify the Establishment Process. For employers that have established a system of employee representative assemblies, the enterprise annuity plan shall be submitted to the assembly for discussion and approval; for those that have not established such a system, the enterprise annuity plan may be approved through other democratic procedures, such as discussion by all employees and public notice. A simplified template for enterprise annuity plans shall be implemented, and localities with the necessary conditions are encouraged to gradually implement online filing. The date on which an employer establishes an enterprise annuity plan shall not precede the date on which the employer began participating in the basic old-age insurance program for enterprise employees.

III. Flexible Selection of Contribution Rates. Enterprise annuities are funded through joint contributions by employers and employees. The employer’s annual contribution shall not exceed 8% of the total wages of the employees participating in the enterprise annuity at that employer, and the combined annual contributions from the employer and employees shall not exceed 12% of the total wages of the employees participating in the enterprise annuity at that employer. Employers and their employees may flexibly choose contribution rates or amounts within the prescribed limits. Employers and employees with stronger financial capacity are encouraged to contribute to the enterprise pension plan at higher rates or in larger amounts. Those with limited financial capacity may start with lower contribution rates or amounts and gradually increase them. If an employer lacks the capacity to continue making contributions, it may reduce the contribution rate or suspend contributions. If back payments are required due to a suspension of contributions, such payments may be made in accordance with relevant regulations.

IV. Flexibility in Choosing the Establishment Method. Employers may, based on their specific circumstances, establish a single corporate pension plan or choose to participate in a corporate pension pooled plan initiated by a legal entity trustee. Small, medium, and micro-sized enterprises should give priority to participating in corporate pension pooled plans. Efforts should be made to explore the implementation of simplified procedures through pooled plans to facilitate the establishment of corporate pension plans for small, medium, and micro-sized enterprises.

V. Explore the Implementation of Innovative Pilot Programs. Select certain eligible parks (industrial parks, industrial estates, reform pilot zones, economic and technological development zones, science and technology entrepreneurship parks, etc.) to conduct pilot programs aimed at expanding the coverage of enterprise annuities. Focus on exploring enrollment methods, management models, and organizational mechanisms to develop best practices that can be replicated and scaled up. Pilot programs in local parks shall be implemented after their plans have been filed with the Ministry of Human Resources and Social Security and the Ministry of Finance for the record.

VI. Promote the Safe and Compliant Operation of Enterprise Annuity Funds. Strengthen the supervision of enterprise annuity funds, guide enterprise annuity fund management institutions to enhance compliance awareness, improve long-term performance evaluation mechanisms, prevent and mitigate risks, and promote the safe and compliant investment and operation of enterprise annuity funds to ensure the preservation and appreciation of their value. Actively promote innovation in the management model of enterprise annuity pooled plans, diversify the types of pooled plans available, streamline operational processes, enhance information disclosure, and strengthen standardized management.

VII. Enhancing Management and Service Levels. Accelerate the development and application of information technology and standardization in enterprise annuity systems; expedite the construction of a national enterprise annuity information platform and database to achieve data interoperability and information sharing; and enhance management and service levels through the use of social security cards, providing convenient services for employees to inquire about their information, transfer and continue their annuity coverage, apply for benefits, and for employers to file their enterprise annuity plans. Strengthen cooperation with financial institutions and fully leverage their role in expanding the coverage of enterprise annuities.

VIII. Deepen Public Awareness and Guidance. Coordinate resources from all sectors of society to establish and improve mechanisms for public outreach and promotion. Through various channels—including government websites, news media, and on-site briefings at employers—actively promote the functions and benefits of enterprise annuities, as well as best practices for enhancing corporate competitiveness, to continuously raise awareness of the policy. Emphasize one-on-one and face-to-face outreach to strengthen employers’ willingness to establish enterprise annuity plans. Consider the establishment and promotion of enterprise annuity plans as a factor in recommending and selecting advanced units and individuals for initiatives such as the creation of harmonious labor relations.

All localities should attach great importance to this matter, fully recognize the significance of promoting the development of enterprise annuities, formulate plans to further improve enterprise annuity work in light of local conditions, strengthen organizational leadership, improve working mechanisms, refine policy measures, optimize management and services, and steadily and effectively expand the coverage of enterprise annuities.

Ministry of Human Resources and Social Security Ministry of Finance

  December 31, 2025