Policy Interpretation of Yunnan Province Industrial Injury Insurance Payment Base and Rate Management Measures

Policy Interpretation of Yunnan Province Industrial Injury Insurance Payment Base and Rate Management Measures

In order to implement the national work-related injury insurance at the provincial level, fully implement the work requirements of the unified income and expenditure goal, improve and improve the work-related injury insurance system in our province, and realize the unification of the province's payment base and rate policy, according to the "Regulations on Work Injury Insurance" (State Council Order No. 586), "Notice of the Ministry of Human Resources and Social Security and the Ministry of Finance on Adjusting Work Injury Insurance Rate Policies" (Ministry of Human Resources and Social Security [2015] No. 71), "Ministry of Human Resources and Social Security Notice of the Ministry of Finance and the State Administration of Taxation on Further Promoting and Improving the Provincial Overall Planning System of Work Injury Insurance" (Ministry of Human Resources and Social Security [2022] No. 86) and other relevant regulations, the Yunnan Provincial Department of Human Resources and Social Security, the Yunnan Provincial Department of Finance, and the Yunnan Provincial Taxation Bureau of the State Administration of Taxation issued the "Measures for the Management of the Payment Base and Rate of Work Injury Insurance in Yunnan Province" (hereinafter referred to as the "Measures"). The "Measures" are now interpreted as follows.

1. on the employer's payment base

The "Measures" have refined the rules for the approval of the employer's payment base. The monthly payment base of the employer's work injury insurance is the sum of the average monthly wages of all employees of the unit in the previous year. If the average monthly salary of employees in the previous year is lower than 60% of the average monthly salary of employees in all-caliber urban units in the province in the previous year, the monthly payment base of employees in the current year shall be determined according to 60%; If the average monthly salary of employees in the previous year is 300 higher than the average monthly salary of employees in all-caliber urban units in the province in the previous year, the monthly payment base of employees in the current year shall be determined according to 300.

2. About Industry Benchmark Rates

The Measures specify that the industry benchmark rate standards corresponding to one to eight types of work-related injury risk categories are 0.2 per cent, 0.4 per cent, 0.7 per cent, 0.9 per cent, 1.1 per cent, 1.3 per cent, 1.6 per cent and 1.9 per cent, and the benchmark rate for work-related injury insurance for construction projects is 1 per 1,000, which is consistent with the national standard.

When the cumulative balance of the province's work-related injury insurance fund at the end of the previous year is less than the 9-month payment capacity, the provincial human resources and social security department will adjust the specific standards of the industry benchmark rate in conjunction with the provincial finance and taxation departments, and report to the provincial people's government for approval before implementation.

3. on Floating Rates and Floating Methods

The Measures clarify that the first category of industries is divided into three grades, that is, on the basis of the benchmark rate, it can float up to 120 and 150, and the second to eighth categories of industries are divided into five grades, that is, on the basis of the benchmark rate, it can float up to 120 and 150 or down to 80% and 50% respectively, which is consistent with the national standard. The social insurance agency shall determine the payment rate of the unit on an annual basis according to the payment rate of the employer's work-related injury insurance in the previous year, and shall apply the corresponding rate grade in the industry to which it belongs.

The floating of the contribution rate of the construction project is based on the ratio of income and expenditure of the industrial injury insurance fund of the construction project in the previous year as an indicator, and the whole province can float up to 150 per cent, 200 per cent or down to 90 per cent of the benchmark rate, with an annual floating adjustment.

Considering the timeliness of policy effects, the "Measures" determine that the payment rates of employers and construction projects are adjusted once a year.

4. on the contribution rate of labor dispatch units.

According to the "Guiding Opinions of the Ministry of Human Resources and Social Security and the Ministry of Finance on Doing a Good Job in the Adjustment of Work Injury Insurance Rates and Further Strengthening Fund Management" (Ministry of Human Resources and Social Security [2015] No. 72), the "Measures" clarify that labor dispatch companies can be based on The industry in which the actual employer of the dispatched workers is located, or the industry in which most of the dispatched workers are actually employed, determine their work injury risk categories. In order to prevent risks and urge labor dispatch units to declare truthfully, the Measures also clarify that if the labor dispatch unit fails to declare the industry of the actual employer of the dispatched laborer in accordance with the regulations, it is temporarily determined to be the eighth type of industry; the labor dispatch unit declares in accordance with the regulations After that, the social insurance agency will adjust its work injury risk category from the following month.

According to the relevant provisions of the Interim Provisions on Labor Dispatch (Order No. 22 of the Ministry of Human Resources and Social Security of the the People's Republic of China of Human Resources and Social Security), the Measures clarify that the labor dispatch unit shall participate in work-related injury insurance for the dispatched workers at the location of the employing unit. Regulations to pay work-related injury insurance premiums.

5. About Policy Implementation Time

The measures will be implemented from January 1, 2024. In 2024, the province will implement a unified industry benchmark rate and a benchmark rate for construction projects, without floating management.

Circular of the Yunnan Provincial Department of Human Resources and Social Security, the Yunnan Provincial Department of Finance, the State Administration of Taxation, and the Yunnan Provincial Taxation Bureau on Printing and Issuing the Measures for the Administration of the Payment Base and Rate of Industrial Injury Insurance in Yunnan Province