E-business individual retailers have been excluded from social security fund

According to statistics, the trade volume of e-commerce in China hits 6 trillion yuan in 2011, accounting for 13 percent of GDP.

E-business is booming in China and more and more young people start to create their own business to open an online shop. When the shop need more labor force, such retailers may hire someone to help them to do some job, such as taking photos, uploading photos, managing the online store, answering questions from potential buyers, dispatching goods etc.

In this way, we can see e-business industry really create more job opportunities but such jobs are not the same as those traditional jobs since traditional corporate will pay social security for the employees, which can benefit both parties.

Young people aged between 20 and 35 are the mainstream to run online stores and they care about making more money but not about their pensions. They are not enthusiastic about joining the social security system.

Excluding from social security system may curb the e-business development and the employees’ lawful and reasonable rights are not protected.

It is surveyed that some self-employed individual stated that he would pay into the social security accounts if the payments were not that high and he would feel satisfied and reassured if he could enjoy social security benefits.

College graduates are prone to start online business and some are still waiting for government favorable policies for e-business sustainable development.

It is expected that the government could lower the threshold of social security fund payment for e-business self-employees.

IBUonline is still keeping an eye on e-business news and policies.

IBUonline is a B2B platform, which has helped many SMEs to complete foreign trade business and IBUonline now offers more service.

Please go to IBUonline homepage for more details.