BEIJING: China’s procuratorial authorities have strengthened oversight in the social security sector, targeting issues such as unpaid insurance contributions and inadequate coverage, as part of broader efforts to protect workers’ rights.
The Supreme People’s Procuratorate launched a nationwide campaign in April 2025 to supervise administrative non-litigation enforcement in the social security field, focusing on problems such as nonpayment or underpayment of insurance contributions.
By March, procuratorial organs nationwide had handled 4,058 related cases and issued 3,121 procuratorial recommendations, helping resolve a number of urgent concerns among workers and effectively protecting their lawful rights and interests, the SPP said.
Procurators found that some enterprises, particularly in construction and other high-risk sectors, had failed to pay or had underpaid social insurance contributions, violating mandatory legal requirements.
In one case in Zhejiang province, prosecutors identified unpaid work-related injury insurance contributions in multiple construction projects. In coordination with relevant authorities, they urged 24 projects to make overdue payments totaling over 760,000 yuan ($111,711), benefiting over 1,200 workers.
Prosecutors also highlighted gaps in social security coverage among workers in new forms of employment, including those in transport and logistics, whose numbers have grown rapidly in recent years.
The top procuratorate noted that some small and medium-sized enterprises with flexible employment practices have attempted to reduce labor costs by purchasing commercial insurance, such as employer liability insurance or group accident insurance, instead of paying social insurance contributions for employees, especially work-related injury insurance. As a result, workers are unable to enjoy social security benefits.
Some companies have even used “shell companies” to create nominal labor relationships with workers in order to evade the legal responsibilities of the actual employer and disrupt the order of social insurance collection, it said.
A machinery company, in one case, purchased accident insurance for an employee through a shell company instead of enrolling him in work-related injury insurance. After the employee was injured in what was declared a work-related injury, he was unable to obtain compensation because of a lack of enforceable assets as the insurer could not verify the actual company he worked for. –The Daily Mail-China Daily news exchange item
