Job Discussion Forums

samhouston · Joined: 17 Jan 2007 Posts: 418 Location: LA

I've been working at my school in Shanghai for three years. Only now are they getting around to (maybe) issuing proper work permits. Until recently, salaries quoted have been after tax. Rumor has it that once the real visas are issued, salaries will be before tax, and I'll be making less than when I first began working here.

For example, in 2007, I was hired at 14,000 net. 140 bills in hand every payday. Now, I'm making 15,000 net. They say when the new rules begin, my gross will be 15,000, meaning I'll be taking home about 13,335rmb.

They say the new rules (pay cuts) are to offset the cost of the work visas the school will be providing. But if they are paying me 2000rmb less each month, (since the original taxable salary is around 17,000), over the course of a year, that's 24,000rmb they would have saved.

That seems a bit excessive, to say the least. I could be totally wrong, but I don't think it costs that much per foreigner. Does anyone have the real figures on how much it costs an employer to hire FTs? And what are the company's costs to get the license to issue the visas?

kev7161 · Joined: 06 Feb 2004 Posts: 5880 Location: Suzhou, China

Don't know the actual costs, but why not offer to cover the costs yourself if you can keep your original net salary that you've been enjoying?

frenchfrydoggy · Joined: 16 Nov 2010 Posts: 53

And you are perfectly willing to work for a school that alters your salary thus forcing YOU to pay for your working credentials ?

HAHAHAAAAAAAAAAAAAaaaaaaaaaaaaaaaa

Talk about gullible

samhouston · Joined: 17 Jan 2007 Posts: 418 Location: LA

wangdaning · Joined: 22 Jan 2008 Posts: 3154

Step off the battle ground if you have no reason to enter. Frenchie Dogs got the answers, and Sam is asking for them.

To be more on topic, what do you mean by proper "work permits."

drrjon · Joined: 09 Oct 2010 Posts: 35 Location: Chongqing

Perhaps your school is just deducting the tax if they are becoming legit. Tax is due on anything you make over 4800rmb. There is no real cost for the school to hire you. The foreign experts permit is free, the residence permit is around 800rmb for a full year and less for less than one year, The medical is a bit over 340rmb...these are the costs where I am at. If you have never had a Z visa to enter China you may need to do this by making a Hong Kong run. The visa costs vary depending on where you are from.

samhouston · Joined: 17 Jan 2007 Posts: 418 Location: LA

samhouston · Joined: 17 Jan 2007 Posts: 418 Location: LA

Kiwi303 · Posted: Fri Dec 31, 2010 11:17 pm Post subject:

The Great Wall of Whiner · Joined: 29 Jan 2003 Posts: 4946 Location: Blabbing

Usually I ignore the posters who go out of their way to belittle and/or insult people. But he has a point (although making that point without being rude seems difficult for some).

Unless you are really keen on subsidizing your boss's school, I'd look elsewhere for work.

Here is exactly what I would say:

"There are a trillion ESL jobs in Shanghai that pay the same if not more than what you pay and there is no reason for me to take a salary cut. No matter the outcome, the bottom line is, I will be earning less than before. This is a backwards step for me and my future and I will not accept a reduction in salary."

LanGuTou · Joined: 23 Mar 2009 Posts: 621 Location: Shandong

samhouston · Joined: 17 Jan 2007 Posts: 418 Location: LA

Teatime of Soul · Joined: 12 Apr 2007 Posts: 905

The incidental costs provided by a poster above are fairly accurate, a few hundred RMB for the paperwork.

Now, in order to be able to legally hire you, your school probably spent a couple hundred hours or so on paperwork, inspections, and meetings with officials over a couple year period. No idea what the labor costs would be for that.

As for direct costs, like buying insurance, etc., maybe thirty or fifty thousand for local licenses and other fees and unknown spent gratuities. I've heard anywhere from fifty to 300,000 spent for acquiring all the licenses needed to hire FTs.

I don't know what the pretax amount would total to, as I guess it would depend upon the tax structure and situation of the school, but, obviously it would raise the total.

Cheers

The Great Wall of Whiner · Joined: 29 Jan 2003 Posts: 4946 Location: Blabbing

OK well, again I will state that I disagree with the tone of the .. I don't even know if we can call it advice... post from the person who called you gullible. but if what you state even has a small chance of being remotely true, I'd try and confirm it as soon as possible.

Teatime is right that the process (depending on jurisdiction) can be costly for a school. My school tried (and failed) several times to get all that paperwork even though they had the money and were qualified. Different places have different ways of doing things, according to who is in charge and the level of corruption involved.

But at the end of the day, if they want to pass down that cost to you... I'd say heed your own words and fly the coop.