Rules on the Employment of Disabled People

Order of the State Council [2007] No. 488

February 25, 2007

The Rules on the Employment of Disabled People, which were adopted at the 169th session of the State Council on February 14, 2007, are hereby issued and shall come into effect as of May 1, 2007.

Attachment: Rules on the Employment of Disabled People

Chapter I General Provisions

Article 1 These Rules have been formulated in accordance with the Law of the People's Republic of China on the Protection of Disabled Persons to promote the employment of disabled people and guarantee their employment rights.

Article 2 The state shall, through the implementation of policy on the employment of disabled people at both the individual and collective levels, promote the employment of disabled people.
The people's governments at the county level and above shall incorporate the employment of disabled people into their respective national economic and social development plans, and shall formulate preferential policies and specific assistance and protection measures in order to create favourable conditions for the employment of disabled people.

Article 3 Government authorities, organizations, enterprises, institutions and non-commercial local people's work units (hereinafter collectively referred to as "employers") shall, in accordance with the provisions of applicable laws, these Rules and other applicable administrative regulations, meet their responsibilities and obligations relating to support for the employment of disabled people.

Article 4 The state shall encourage social organizations and individuals to assist and support the employment of disabled people through various channels and by various means, and shall encourage disabled people to obtain employment using various methods. Discrimination against disabled people in the course of employment is strictly prohibited.
Disabled people should take steps to enhance their personal attributes and become more employable.

Article 5 The people's governments at all levels shall strengthen the overall planning and coordination of their work to promote the employment of disabled people. The people's governments at the county level and above shall be responsible for disabled people's work institutions and for organizing, coordinating, leading and procuring the assistance of the relevant departments in their work for the employment of disabled people. The labor security, civil affairs and other relevant departments of the people's governments at the county level and above shall advance the employment of disabled people within the scope of their respective responsibilities.

Article 6 The Chinese United Association of Disabled People and its local branches shall, in accordance with laws and regulations or after receiving government instructions, be responsible for organizing and supervising specific work programs to realize the employment of disabled people.
Labor unions, Communist Youth Leagues and United Women's Associations shall advance the employment of disabled people within the scope of their respective responsibilities.

Article 7 The people's governments at all levels shall give commendations and awards to units and individuals who realize outstanding achievements in the course of their work for the employment of disabled people.

Chapter II Employers' Responsibilities

Article 8 Employers shall employ a certain proportion of disabled people and provide them with appropriate types of work and positions.
The proportion of disabled people on the staff of any employer shall be no lower than 1.5% of total staff. The people's governments of the various provinces, autonomous regions and municipalities directly under the central government shall determine the specific proportion of disabled people to be employed by each employer on the basis of local circumstances.
Any employer that recruits disabled people from other districts shall include such employees in the total number of disabled people it employs.

Article 9 Any employer that fails to employ the proportion of disabled employees required by the people's government of its province, autonomous region or municipality directly under the central government shall be liable to pay a disabled employee surcharge.

Article 10 Government and community disabled people's welfare enterprises, blind masseurs' organizations and other welfare units established in accordance with the law (hereinafter collectively referred to as high disabled person ratio employers) shall arrange for the concentrated employment of disabled people.
The qualifications and recognition of high disabled employee ratio employers shall be determined in accordance with state provisions.

Article 11 Full-time disabled employees of high disabled employee ratio employers shall account for no less than 25% of total staff.

Article 12 High disabled employee ratio employers shall, in recruiting disabled staff, execute employment contracts or service agreements in accordance with the law.

Article 13 Employers shall provide disabled staff with working conditions and labor protections appropriate for their physical capabilities, and are prohibited from discriminating against disabled staff in terms of their promotion, upgrading, appointment to official posts, remuneration, social security, welfare benefits, etc.

Article 14 Employers shall provide disabled employees with induction training, ongoing training, retraining, etc., according to the actual circumstances of their disabled staff.

Chapter III Protection Measures

Article 15 The people's governments at the county level and above shall adopt measures to expand channels for the employment of disabled people, develop public service positions suitable for disabled people, and safeguard the employment of disabled people.
With respect to the development of community service undertakings, the people's government at and above county level shall consider the employment of disabled people in first priority.

Article 16 Disabled employee surcharges levied in accordance with the law shall form part of the financial budget and shall be used to provide career training for and provide employment services and support to disabled people. No organization or individual shall embezzle, misappropriate, withhold or divert any such surcharge for personal gain. Specific provisions on the levying, use, and administration of disabled employee surcharges shall be formulated by the finance department and other relevant departments of the State Council.
Finance departments and audit authorities shall strengthen their supervision and inspection of the use of disabled employee surcharges in accordance with the law.

Article 17 The state shall give preferential tax treatment to high disabled employee ratio employers in accordance with the law and shall provide assistance to such units in their production and operating activities and for their technical, funding, material, and premises needs, etc.

Article 18 The people's governments at the county level and above and the relevant departments thereof shall define products and projects the production and management of which is suitable for disabled people, shall give priority to high disabled employee ratio employers in the production and management of such products and projects and, in accordance with the production capabilities of high disabled employee ratio employers, define certain products to be produced exclusively by such employers.
Government procurement shall, under the same condition, purchase the products or services of enterprises which employ the disabled.

Article 19 The state shall encourage and assist disabled people to choose their own vocations and create their own job opportunities. Tax incentives shall be extended to disabled people who engage in individual business operations in accordance with the law, and the relevant departments shall assist such people with business premises and other aspects of their businesses and shall refrain from charging institutional fees for administrative, registration or certification services in accordance with applicable provisions.
The state shall, for a limited period of time, extend small-scale credit facilities and similar assistance to disabled people who choose their own vocations or create their own job opportunities.

Article 20 The local people's governments at all levels shall use various means to raise funds for, organize and support disabled people in rural areas who engage in the horticultural, aquatic breeding and handicraft industries or in other types of productive work.
The relevant departments shall provide assistance to disabled people in rural areas who engage in productive agricultural work by providing production services and technical guidance, supplying agricultural goods and materials, purchasing agricultural by-products, and providing credit facilities, etc.

Chapter IV Employment Services

Article 21 The people's governments at all levels and the relevant departments shall provide disabled people who encounter difficulties in finding employment with targeted employment assistance services, encourage and assist occupational training institutions to provide occupational training, and organize disabled people to hold regular employment skills competitions.

Article 22 Disabled person employment service institutions that are part of The Chinese United Association of Disabled People and its local branches shall provide the following services for the employment of disabled people free of charge:
1. Publicizing information on the employment of disabled people;
2. Organizing and holding training programs for disabled people;
3. Occupational counselling, occupational adaptation assessment services, career recovery training, careers guidance, employment agency services, etc.;
4. Necessary assistance to disabled people who choose their own vocations or create their own job opportunities; and
5. Necessary support to employers that employ disabled people.
The state shall encourage other employment service institutions to provide free services for the employment of disabled people.

Article 23 Disabled person employment service institutions appointed by the labor security department may register unemployed disabled people and maintain statistics on the employment of disabled people and unemployed disabled people. Subject to the approval of the local labor security department, disabled person employment service institutions may also provide occupational skill appraisal services.

Article 24 In the event of any dispute between a disabled employee and an employer, the local legal aid institution shall provide legal assistance in accordance with the law, and all levels of the United Association of Disabled People shall provide their assistance and support.

Chapter V Legal Liability

Article 25 Where any relevant administrative department or any staff member thereof, in violation of these Rules, is guilty of any abuse of power or dereliction of duty or engages in malpractice for personal gain, and the violation constitutes a crime, criminal liability shall be pursued in accordance with the law. Where the violation does not constitute a crime, the relevant party or parties shall be subject to an administrative penalty.

Article 26 Where any person embezzles, misappropriates, withholds or diverts for personal gain any disabled employee surcharge in violation of these Rules, and the violation constitutes a crime, criminal liability shall be pursued in accordance with the law. Where the violation does not constitute a crime, the supervisor(s) responsible and any other individual directly responsible within the relevant work unit shall be subject to an administrative penalty or fined in accordance with the law.

Article 27 Any employer that, in violation of these Rules, fails to pay a disabled employee surcharge in accordance with the applicable provisions, shall be issued with a warning by the finance department and ordered to pay the relevant surcharge within a specified period of time. Where the employer fails to pay the surcharge within the specified period of time, in addition to the amount of the surcharge due, the finance department shall charge a penalty fee of 5% per day from the date on which the surcharge becomes overdue.

Article 28 Where any employer, in violation of these Rules, fraudulently reports the number of disabled people it has employed, and wrongfully obtains any tax incentive designed for high disabled employee ratio employers, the appropriate tax authority shall deal with the matter.

Chapter VI Supplementary Provisions

Article 29 The term "employment of disabled people" as used in these Rules refers to disabled people who meet the applicable employment age criteria and seek employment for remuneration.

Article 30 These Rules shall come into effect on May 1, 2007.