Newsletter
PROVISIONAL RULES ON JOINT-VENTURE PERSONNEL AGENCIES
On 4 September 2003, the PRC Ministry of Personnel, Ministry of Commerce, and State Administration for Industry and Commerce is-sued the Provisional Rules on the Administration of Sino-Foreign Equity Joint Ventures Engaging in Human Resource Services, which took effect on 1 November 2003.
Under the rules, foreign investors may enter the PRC personnel agency market by setting up joint-venture enterprises with Chinese partners. A Sino-foreign joint-venture human resources agency must have a registered capital of at least US$300,000, and the foreign partner's invest-ment must be not less than 25% of the total and not more than 49%. Before company registra-tion procedures can be carried out, its estab-lishment must be approved first by the personnel administration agency of the relevant province, autonomous region or special municipality, and then by the foreign economic and trade coop-eration committee at the same level.