Will the outsourcing company pay social security for its employees? Do you understand?

Enterprises are obliged to pay social security for their employees. Today, many businesses outsource some tasks to outside labor. For example, a car 4S store outsources cleaning work to a human resources company with unlimited space to recruit and record cleaning staff contract signing, salary payment, etc. All are hosted by Space Infinite Human Resources Company. Because after the labor relationship is established, if the contractor wants to buy social security, which company needs to buy social security for the workers?

After labor outsourcing, who will pay for workers’ social security? Generally speaking, enterprises (actual employers) do not need to purchase social security for outsourced employees. Because usually when an enterprise signs an agreement with an outsourcing service, the company (the actual employer) will stipulate that the labor outsourcing company will purchase social security for the outsourced employees, so the enterprise does not need to purchase social security for the workers. Of course, if there is no clear agreement between the two parties when signing the outsourcing contract, the actual employer must provide social security for its employees.

How much should labor outsourcers pay for social security? The social security for outsourced employees shall be paid jointly by the employees and the outsourcing company. If the personal share is deducted from the wages of the workers by the employer, the employer shall also pay according to the It is stipulated to pay a corresponding proportion of social insurance premiums. How much an individual has to pay and how much an employer has to pay depends on the local wage level and the wages of workers. In Guangzhou, after Guangzhou’s social security adjustment in 2017, the personal social security expenses for units and labor outsourcing personnel were 1,203.22 yuan/month. Among them, the social security fee paid by an individual should be 325.37 yuan/month, and the monthly social security payment should be 877.85 yuan/month.

The social insurance, payment amount, and payment method of labor outsourcing workers shall be agreed upon by the labor outsourcing company and the employer. Both parties may be responsible for payment matters, but it is generally agreed that the labor outsourcing unit shall be responsible for handling the matter. The reason is that the outsourcing company signs a labor contract with the outsourced workers, so the outsourcing company should be responsible for the social security payments of the outsourced employees. Article 72 of the Labor Law stipulates that employers and workers must participate in social insurance and pay social insurance premiums in accordance with the law. Article 100 stipulates that if an employer fails to pay social insurance premiums without any reason, the labor administrative department shall order it to pay within a time limit. If the employer fails to pay within the time limit, a late payment fee may be imposed. Therefore, whether it is labor outsourcing or formal employment, it is illegal to fail to pay social security for employees on time as required.