Beijing cuts companies' insurance costs worth 50b yuan

Beijing municipal authorities have announced they will exempt or reduce the insurance premiums paid by employers amid the outbreak of the novel coronavirus, reducing companies' burden by more than 50 billion yuan ($7.2 billion) this year.

Medium-sized, small and micro enterprises do not have to pay the basic pension, unemployment and work-related injury insurances for their employees from February to June, said a circular jointly released by the city's administrations of human resources and social security, finance and taxation.

Such insurance items that should be covered by large companies, private non-enterprise organizations and social groups will be cut by half from February to April, said the circular issued on March 8.

The premium part that should be paid by the employees will not be exempted, according to the circular.

To help companies tide over difficulties arising from the novel coronavirus epidemic, the Beijing municipal government has announced a series of measures including rental reduction or exemption and financial support for small and medium-sized firms.