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Caixin Global
Caixin Global
Business
Guo Yingzhe and Zhang Erchi

Labor Union in Shanghai Asks for Clarity on Covid Sick Leave

What’s new: The Shanghai branch of China’s official labor union has asked the government to issue detailed guidelines for sick leave policy now that “zero Covid” has ended, raising questions about companies’ obligations to workers who fall ill with the virus going forward.

Some workers worry that their wages or bonuses could be cut if they take sick leave due to a Covid infection, leading to disputes with their employers, the local representative of the All-China Federation of Trade Unions said at the annual meeting of city’s main political advisory body this week.

The context: The All-China Federation of Trade Unions oversees all other labor organizations in the country. However, unlike labor unions in many other parts of the world, it answers to the state.

On Sunday, the central government downgraded the infectious disease response to Covid-19, marking an official end to the “zero-Covid” policy.

During the “zero-Covid” period, the government instructed employers to keep paying workers normal wages when they got sick with Covid, though not all companies complied. However, after the downgrade, it is unclear whether workers will get docked if they take sick leave.

Many Chinese companies pay workers lower than normal wages when they are on sick leave. In addition, some companies base their monthly or yearly bonuses partly on attendance, which could lead them to cut the bonuses of workers who take time off if they are ill.

Related: Cover Story: Covid Chaos at China’s Hospitals as Stringent Control Policy Eases

Contact reporter Guo Yingzhe (yingzheguo@caixin.com) and editor Michael Bellart (michaelbellart@caixin.com)

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