Govt to punish firms that withhold wages
Shanghai government officials have begun a new crackdown on employers who illegally withhold wages from workers.
After 16 separate cases came to light in Shanghai in the first half of 2017 alone, the government said it is determined to punish companies who refuse to pay staff or who unjustly delay payments.
The Minhang District Human Resources and Social Security Bureau revealed a real estate firm called Hua Feng hadn’t paid any salaries to 102 workers between June and September 2016. The figure withheld amounted to 1.87 million yuan ($283,846).
When the company’s legal representative Huang Xiao failed to show up at a hearing at the labor security supervision department, the case was reported to district police who arrested Huang on April 28. The case is ongoing, with Huang expected to face a lawsuit from workers to recover the lost wages.
In 2016, the labor department publicly named 24 firms that had withheld staff salaries.