Travel Reference
In-Depth Information
WHAT ADVICE WOULD YOU GIVE TO SOMEONE WANTING TO SET UP THEIR OWN
BUSINESS HERE?
Talk to as many folks who have successfully started and exited their business in
Beijing. Also, talk to folks who did not make it—the most valuable advice would
come from them.
Understand that the nuances of doing business vary significantly based on
provinces as well as your industry. Learn about the legal structure options for
foreign-owned businesses. Make your exit strategy plan part of your business plan.
There is no single place where you can go to learn about setting up a business in
China. What you learn today may not apply tomorrow. So, you always need to have
backup plans, and backups for your backup plans.
Finally, know that flexibility, speed, and honesty are valued traits in this city.
In some Beijing workplaces it can feel like labor laws don't exist. Workers can be expected
to slave away until 8pm or 9pm every night and come in on weekends without an ounce of
compensation or time in lieu, freelancers do work that they never get paid for, and people
lose their jobs overnight. Often, staff quietly accept it or quietly leave. I've never personally
heard of someone suing their company for unfair dismissal. The truth is, however, that in
many cases an employee could well win if they took their employer to court.
Dan Harris of the China Law Blog says, “Employers in China have to follow a whole
host of rules. Just because they often violate those rules does not mean they are not required
to follow them. It also does not mean they will get away with violating those rules if sued.
I'm not telling anyone to sue, but I am saying that it is our experience that the employee
in China who actually stands up for his or her rights in China (at least as against foreign
companies, which is all that we ever represent) usually prevails.”
The fundamental requirements of China's labor laws stipulate fair and equal treatment
of employees regardless of race or sex, that children under the age of 16 can not be em-
ployed, and that workers have the right to organize. The laws and regulations also establish
standards for working hours and conditions, leave, and minimum wages.
