Your Inside Guide to China EOR Companies

Fifteen providers scored on who holds the licence, which entity signs, how payroll is run city by city and what a hire really costs.

Licences and entities checkedNo paid placementsFree and independent
DaysTo a compliant hire with an EOR
$150Lowest published rate per employee per month
33.8%Employer contributions on gross, Shanghai 2026
15Providers scored on published criteria
2026 comparison

The top three, at a glance

See all 15 providers →
1

RemotePeople

Own Chinese company · Shanghai HQ · from $199
9.3

Recruit, employ and incorporate from one provider, with offices in five Chinese cities and the strongest ratings in the ranking.

Published priceOwn entity
Read our review
2

MSA Asia

Shanghai advisory · own entity · from $199
9.0

Company incorporation, payroll outsourcing and EOR in equal measure from a Shanghai boutique, with accounting under the same roof.

Published priceIncorporation
Read our review
3

China Payroll

Shanghai · 13 cities · from $150
8.7

The lowest published rate in China for payroll or EOR, across twelve mainland cities and Hong Kong; verify the employing entity.

Lowest priceEntity to confirm
Read our review

One guide for every route into hiring in China

Whether you need one Shanghai hire next month, payroll for an entity you already own, or a clear explanation of what FESCO actually is — start here.

EOR

Best China EOR providers

Fifteen providers ranked on licence, structure, Mandarin capability and real loaded cost. RemotePeople, MSA Asia and China Payroll lead.

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PEO

Best China PEO providers

The same providers, scored for payroll outsourcing and labour dispatch when you already have a Chinese entity.

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F

What is FESCO?

China’s original route to employing local staff since 1979, when you must use one, and how it compares with an EOR.

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¥

Employee benefits in China

The five insurances and one fund, city-level rates, leave, the 13th month and what a hire really costs.

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§

China labour law

Contracts, probation, working hours, N+1 severance, non-competes and work permits — the rules that catch foreign employers.

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Not sure which route fits?

Tell us the shape of the hire — how many people, which city, entity or not — and we will point you at the right material.

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Why China rewards getting the structure right

None of these are obstacles once you know them. They are simply the places where China works differently, and where a good provider earns its fee.

1

There is no “EOR” in Chinese law

A provider employs your people as a licensed labour dispatch agency, a service outsourcer, or a FESCO. Ask which, and who holds the licence.

2

Everything is priced by city

Social insurance rates, contribution caps, minimum wages and housing fund rules are set locally and reset each year. Shanghai is the benchmark, not the rule.

3

Contracts bind in Chinese

A written labour contract within a month, in Chinese, is mandatory. The English version is for you; the Chinese one is what a court reads.

How it works

From signed order to first day, in about a week

An Employer of Record with its own Chinese entity can move fast because nothing needs incorporating. The steps are the same every time.

  1. Scoping and quoteCity, role, salary and start date. A good provider quotes the loaded cost — salary plus employer contributions plus fee — not just the fee.
  2. Offer and Chinese labour contractDrafted bilingually, signed within the statutory one-month window, with probation set to the contract term.
  3. RegistrationsSocial insurance and housing fund enrolment in the employee’s city, personnel file transfer, and work permit sponsorship if the hire is a foreign national.
  4. Payroll liveMonthly payroll with IIT withheld on the cumulative method, contributions declared on the correct base, and an itemised payslip.
Typical timeline

5working days

From signed order to a compliant employee on payroll, for a Chinese national in a first-tier city. Foreign hires add the work-permit process.

  • Order signed, scoping callDay 1
  • Bilingual labour contract issuedDay 2
  • Contract signed, onboarding packDay 3
  • Social insurance and housing fund enrolmentDay 4
  • Employee starts; first payroll cycle scheduledDay 5

Why companies choose China

  • The world’s second-largest economy and its deepest manufacturing base. Being present — even with one person — changes how suppliers, distributors and customers treat you.
  • Exceptional talent in the first-tier cities. Shanghai, Beijing, Shenzhen, Guangzhou and Hangzhou produce engineers, product managers and commercial leads at a depth few markets match.
  • A clear legal framework. Chinese employment law is detailed and procedural, but it is written down, applied consistently in the major cities, and entirely manageable with a provider who reads it in the original.
  • A low-risk way to test the market. An EOR hire can be scaled up into a WFOE when the business case is proven, or wound down with statutory notice and severance if it is not — without an entity to dissolve.
Liede Bridge, GuangzhouGuangzhou — the Pearl River Delta’s commercial hub

How we write these guides

Every ranking is scored against published criteria, and where a lower-ranked provider beats a higher-ranked one on a specific criterion we say so rather than smoothing it over. Where something could not be verified from public sources we say it is unverified. Figures are dated and sourced to Chinese government bodies wherever one publishes in English, and to primary Chinese sources otherwise. Nothing here is legal or tax advice.

Ready to hire in China?

Start with the provider comparison. Ten providers scored on structure, licence, Mandarin capability and loaded cost, with published rates from $199 per employee per month.

Compare China EOR providers

Common questions

Is an Employer of Record legal in China?

Yes, through recognised structures: licensed labour dispatch, service outsourcing, or FESCO for representative offices. The provider must hold the relevant licence itself or disclose whose it is using. Our ranking explains how to check.

What does a China employee actually cost?

Gross salary plus roughly a third in employer social insurance and housing fund in the first-tier cities — 33.8 per cent in Shanghai for 2026, on a base capped at about three times the local average wage — plus a customary 13th month, plus the provider fee. Full breakdown.

Can I hire in China without a company there?

Yes. That is what an Employer of Record is for: the provider is the legal employer through its own Chinese entity, and you direct the work. Setting up a WFOE typically takes several months and becomes worthwhile at around ten to fifteen employees or when you need to invoice locally.

Do I need FESCO?

Only if you operate a representative office, which cannot employ Chinese nationals directly. Otherwise FESCO is one type of licensed agency among several, and an EOR with its own licence performs the same function. More here.