Recruiting in China without a WFOE: the Employer of Record (EOR)
Setting up a WFOE takes time and capital, and many European companies prefer to wait until the market is validated. An Employer of Record solution lets you legally hire an employee in China without a local company. Our approved EOR partner becomes the official employer (employment contract, payroll, social contributions and Housing Fund), while you keep operational control of the role.
Common use cases
- Test a first position (sales, representative, country manager) before creating a WFOE;
- Secure a hire while the WFOE is being registered (often 2 to 4 months);
- Employ a single employee in a secondary market without setting up a dedicated structure.
What it costs to employ someone in China
Beyond gross salary, several items must be budgeted. They vary by city and by role. We detail them systematically before any mission starts.
- Employer social insurance and Housing Fund: Generally 25-40% of gross salary, depending on the city.
- Individual income tax (IIT): Progressive scale, with specific rules by tax residency status.
- 13th month / annual bonus: Common market practice. Budget for it in the offer.
- EOR fee: A percentage of gross monthly salary, quoted per hire.
Work authorisation for foreign hires
A foreign hire in China usually needs a Z visa, then a work permit and a residence permit. We check eligibility before the offer, so you do not lose a candidate at the last step. Local Chinese and bilingual candidates do not need this process.



