Cross-Province Social Security Transfer and Continuation and Enterprise Employment Compliance

When employees move across provinces for work, social security relationship transfer and continuation concerns both enterprise HR and employees. Proper operation avoids gaps in employee social security and impaired benefits.

1. Pension Insurance Transfer

For insured persons moving across provinces, the original social security agency issues a "Basic Pension Insurance Payment Certificate." After review by the new location, a transfer acceptance letter is sent to the original location, which processes the transfer (12% of pooled fund transferred, full personal account transferred). Currently, applications can be submitted online through the National Social Insurance Public Service Platform or the "Palm 12333" app, with no in-person visits required.

2. Medical Insurance Transfer

For cross-province transfer of employee basic medical insurance, personal account balance may be transferred (cash withdrawal available in some regions), and payment years are accumulated. The process is similar to pension insurance, requiring application after establishing a medical insurance account in the new location. Note: medical insurance transfer may have a 3-month benefit waiting period (in some regions), during which medical expenses may not be reimbursable; advance planning is recommended.

3. Enterprise HR Operational Essentials

At new employee onboarding: verify social security payment status, confirm whether transfer is needed; process social security addition in the onboarding month or following month; remind employee to stop coverage at original location. At employee departure: promptly process social security reduction (avoid overpayment); issue departure certificate; inform employee of social security transfer methods. Social security paid in multiple locations is ultimately consolidated at the retirement location, with payment years accumulated.

4. Compliance Risk Advisory

Enterprises must not require employees to waive social security (agreement invalid); must not withhold social security during probation; must not pay at minimum base (should pay based on actual wage); must not distribute social security costs as subsidies without actual payment. Since social security collection was transferred to tax authorities, tax authorities can detect underpayment through IIT data comparison. Enterprises are advised to pay social security in full and on time, maintain social security ledgers, and conduct regular reconciliation.