Annual Leave and Public Holidays in China: A Comprehensive Guide for Employers and HR Professionals

Kristina Coluccia
Jan 24
3 min read

Understanding annual leave entitlements and public holiday regulations in China is essential for businesses operating in the country. Adhering to local labor laws not only ensures legal compliance but also promotes employee satisfaction and operational efficiency. This article provides an expert overview of the statutory requirements around paid leave and national holidays in China, ideal for human resources professionals, business owners, and corporate compliance teams.

Annual Leave in China

According to the "Regulations on Paid Annual Leave for Employees" issued by the State Council, full-time employees in China are entitled to paid annual leave based on their cumulative working years:

Less than 1 year of service: No statutory entitlement to paid leave.
1 to 10 years of cumulative work: 5 days of paid annual leave.
10 to 20 years of cumulative work: 10 days of paid annual leave.
More than 20 years of cumulative work: 15 days of paid annual leave.

Cumulative work years include all years worked for any employer, not just the current one. Employers are required to arrange annual leave in accordance with production and operational needs, but they must also consider employees' preferences where feasible. If an employer fails to provide the statutory leave, they are obligated to compensate the employee at 300% of the employee's daily wage for each unused day.

Public Holidays in China

China observes seven official public holidays, which are uniform nationwide:

New Year's Day (January 1)
Spring Festival (Chinese New Year) (usually in late January or February)
Qingming Festival (early April)
Labor Day (May 1)
Dragon Boat Festival (usually in June)
Mid-Autumn Festival (September or October)
National Day (October 1)

The General Office of the State Council typically publishes the official holiday calendar for the following year in December. These holidays often involve "make-up" workdays, where weekends are rescheduled to create longer consecutive holiday periods. This system can create logistical challenges for international businesses, particularly when planning global operations or coordinating with overseas teams.

Additional Leave Considerations

Besides statutory annual leave and public holidays, employees may be entitled to other types of leave, including:

Marriage leave
Maternity and paternity leave
Bereavement leave
Sick leave

The specific duration and conditions for these leaves can vary based on local government regulations and company policies. Therefore, companies are advised to consult local authorities or legal professionals to ensure compliance.

Compliance and Best Practices

Employers must track and document leave balances, usage, and compensation carefully. Robust internal HR systems and clear employment contracts are vital for managing leave entitlements. It's also important to stay updated with any changes in national labor laws or regional policies that might affect holiday schedules or leave entitlements.

How Woodburn Can Help

At Woodburn Accountants & Advisors, we specialize in guiding international companies through the complexities of human resource compliance in China. From drafting employment contracts to managing annual leave policies and public holiday schedules, our experts ensure that your business remains fully compliant with Chinese labor laws. Contact us today to learn how we can streamline your HR operations and support your business expansion in China.

Woodburn Accountants & Advisors is one of China and Hong Kong’s most trusted business setup advisory firms.

Woodburn Accountants & Advisors is specialized in inbound investment to China and Hong Kong. We focus on eliminating the complexities of corporate services and compliance administration. We help clients with services ranging from trademark registration and company incorporation to the full outsourcing solution for accounting, tax, and human resource services. Our advisory services can be tailor-made based on the companies’ objectives, goals and needs which vary depending on the stage they are at on their journey.