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| Shanghai Work Permit |
Effective immediately, additional background checks will be conducted prior to approval of Alien Employment (work permit) applications in Shanghai, causing a possible increase in processing time.
Pursuant to the Administrative License Law of the People's Republic of China, the Shanghai Labor Bureau will undertake additional background checks for Alien Employment (work permit) applications. The application process and required documents remain the same; however, the additional check performed by the Labor Bureau may increase the work permit processing time from 5 working days to up to 20 working days.
The background checks also apply to foreign employees who apply for work permit changes due to changing employers within Shanghai.
Effective immediately, all foreigners in Shanghai are required to update their work and residence permits with new address information within 10 days of the change. Most public security bureaus require foreigners to report their new address and to obtain a Form of Temporary Residence within 24 hours upon arriving at the new address. Effective immediately, foreign employees have to obtain a Z visa for the work permit and residence permit application prior to arrival in China if their employer!ˉs actual business capital is below 3 million USD. The high level management (e.g., general manager, director etc.) no longer has a benefit; they should obtain a Z visa too. Both Shanghai Labor Bureau and Public Security Bureau have tightened its regulations pertaining to the issuance, renewal and alteration of permits and visas.
Foreign employees working in Shanghai for more than 90 cumulative days in the calendar year are required to obtain a work permit. Foreign employees found to be noncompliant face possible fines, detainment, or deportation. Noncompliant companies may subject to the penalty from
RMB 5,000 to RMB 50,000, and put on a "black list" with possible scrutiny or refusal of future visa or work permit applications.
Public Security Bureaus in Shanghai have contacted the HR departments of multinational companies in the past few weeks to request details of foreign nationals working at the company, including:
the number of foreign employees working in Shanghai; how many foreign employees have been present in Shanghai for over 90 cumulative days, and whether those employees have a valid work permit; if the foreign employees' current residential address matches that listed on their work and residence permits.
The Public Security Bureaus in various Shanghai districts have also made visits to foreign nationals' personal residences to check on immigration paperwork. Some Public Security Bureaus have conducted immigration checks at popular expatriate housing compounds by requesting to view passports and ask routine questions of foreigners as they entered and exited the compound.
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