Cabinet Lowers Firms' Pension Contributions as Part of 'Supply-Side Reforms'

(Beijing) – China will lower the amount of money that businesses have to contribute to their employees' pensions – a sign the government is moving forward with much-discussed "supply-side reforms."

The State Council said in a statement released after a routine meeting chaired by Premier Li Keqiang on April 13 that a company's contribution to an employee's pension account should not be more than 20 percent of his gross salary.