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EHS Expectations in China: An Overview

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A closer look at the various social, environmental, and health and safety issues facing organizations with operations in China, presented at the 2017 EHSxTech event by Antea Group and ESD China.

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EHS Expectations in China: An Overview

  1. 1. Michael Liang April 2017 EHS Expectations in China
  2. 2. 1. China Overview EHSxTech Workshop – April 2017 • Roughly the same size as US – 3 m sq miles • High Percentage of mountains and deserts • Arable Land – 7 % or ¼ of US arable land • 28 provinces, 4 central controlled municipalities, plus 2 special administrative regions • Languages: Mandarin plus 297 living languages for China's 56 ethnic groups. HK (Cantonese & English), Macau (Cantonese & Portuguese)
  3. 3. EHSxTech Workshop – April 2017 2 Demographics • Approximately 1.38 billion people; One child policy 1979-2016; • 70% of population located in south and east costal regions; • More than 200 million migrant workers, mostly rural migrants seeking work in cities or coastal regions • Han make up 94% of population – 55 different minorities
  4. 4. Public Holidays EHSxTech Workshop – April 2017 3 2017 Chinese Public Holiday Calendar Festival Date Legal Holidays Holidays of 2017 New Year's Day Jan 1 1 day Dec 31, 2016 – Jan 2, 2017 Spring Festival the 1st day of the 1st lunar month 3 days It falls on January 27, 2017. The holiday is from January 27 to February 2. Women's Day Mar 8 half day for women half day of Mar 8 Qingming Festival Apr 4 1 day It falls on Apr 4, 2017. The holiday is from Apr 2 to 4. May Day May 1 1 day April 29 - May 1, 2017 Youth Day May 4 half day for youth above 14 years old half day of May 4 Children's Day Jun 1 1 day for children under 13 years old Jun 1, 2017 Dragon Boat Festival the 5th day of the 5th lunar month 1 day It falls on May 30, 2017. The holiday is from May 28 to 30. Mid-Autumn Day the 15th day of the 8th lunar month 1 day It falls on Oct 4, 2017. The holiday is combined with the National Day holidays. National Day Oct 1 3 days Oct 1 - 8, 2017
  5. 5. 2. EHS Regulations in China EHSxTech Workshop – April 2017 4 Category Regulatory Citation Summary OHS Committees Work Safety Law 2014 The primary person in charge of a business entity shall be fully responsible for the business entity's work safety.  Entity with more than 100 employees require either a safety committee or appoints full-time safe production personnel.  Entity with less than 100 employees should appoint either a full-time or part-time safety production personnel. Fire Safety Fire Protection Law 2008 The legal representative or the principally responsible person is the fire safety responsibility person of the enterprise. Order No. 61 of the Ministry of Public Security 2001 Fire inspection should be conducted at least once per month. For fire safety priority facility, fire inspection should be conducted on daily basis.
  6. 6. Category Regulatory Citation Summary Emergency Response Fire Protection Law 2008 Establish fire safety operating procedure, develop firefighting and emergency evacuation preparedness plan. Order No. 61 of the Ministry of Public Security 2001 Fire drill: once a year for general facility; every six months for fire safety priority facility. Lighting Standard for Lighting Design of Buildings GB 50034-2013 This standard is applicable to the lighting design for the new construction, reconstruction, or expansion of residential, commercial and industrial buildings. Minimum 300 lx Noise Emission Standard for Community Noise GB 22337-2008 Boundary noise limits are 60 dB and 50dB at day time and night time, respectively. Occupational Exposure Limits for Hazardous Agents in the Workplace Part 2:Physical Agents GBZ 2.2-2007 Employees with a measured 8-hour Time Weighted Average (TWA) greater than 85 dBA averaged over an 8-hour shift, on any one day, must be included in a Hearing Conservation Program. 2. EHS Regulations in China EHSxTech Workshop – April 2017 5
  7. 7. 2. EHS Regulations in China EHSxTech Workshop – April 2017 6 Category Regulatory Citation Summary General EHS Training Work Safety Law 2014 Business entities shall provide their employees with work safety education and training to ensure that their employees have necessary work safety knowledge, are familiar with the relevant work safety policies and rules and safe operating procedures. Provisions on the Safety Training of Production and Operation Entities 2015 The main person in charge of the entity and the work safety management personnel thereof shall accept safety training organized by competent authorities. The time for preliminary safety training shall be no less than 32 teaching hours. And the retraining time each year shall be no less than 12 teaching hours. Safety orientation training time for newly hired employee shall be no less than 24 teaching hours, it could be implemented internally. Ergonomics - Currently there are no specific laws or regulations regarding ergonomics. A variety of national standards have been issued to provide recommendations of ergonomics considerations on the design of products, work environment, system etc.
  8. 8. 3. Enforcement Trends in China EHSxTech Workshop – April 2017 7  China punished 25,164 environmental offenders in the first half of last year, fining them more than Rmb230m and transferring 740 cases to the police for criminal investigations, according MEP  Over the last three years, the Chinese government has punished 33 multinational corporations for violating the nation’s environmental laws and regulations, according to Ma Jun, director of IPE  Multinational companies in China should be aware of increased enforcement of EHS laws, monitoring requirements and fraud, violations of Chinese EHS laws will be difficult to operate into China, they will face severely punishments, pulled into “Black List” and restricted in other business. (Fine is calculated on daily basis without ceiling)
  9. 9. 4. Cultural Nuances in China EHSxTech Workshop – April 2017 8
  10. 10. 4.1 Women in the Workplace EHSxTech Workshop – April 2017 9 • Private sector employers are reluctant to hire women because Chinese law requires that the employer cover maternity leave and childbirth costs; However, certain industries prefer female workers for assumed benefits. • According to national statistics, the ratio of male to female migrant workers averages 2:1, and an estimated 30-40 million of the migrant women work in the cities; • In China last year, women held 44 percent of senior management roles in companies, according to a report released by LinkedIn
  11. 11. 4.2 Maternity and Paternity Leave Policies EHSxTech Workshop – April 2017 10  “National Special Rules on the Labor Protection of Female Employees (2012)”, Order No. 619 of the State Council, stipulates that:  The maternity leave: 98 days. An extra 15 days in case of Cesarean. Twin birth granted an extra maternity leave 15 days.  Paternity leave for husband: from one to two weeks.
  12. 12. 4.3 Military Requirements EHSxTech Workshop – April 2017 11 “Military Service Law of the People's Republic of China (2011)”, Order No. 50 of the President, Oct 29, 2011, stipulates that: - The People's Republic of China practises a military service system which combines conscripts with volunteers and a militia with a reserve service.  Due to China's huge population, more volunteers than needed ones, universal military conscription has never been enforced.  Taiwan law provides for compulsory military service. Men between the ages of 18 and 36 who were born in Taiwan or who have ever held a Taiwan passport should be aware that they may be subject to compulsory military service in Taiwan, even if they are also U.S. citizens.
  13. 13. 5. Local Issues that May Affect Businesses EHSxTech Workshop – April 2017 12 • Government Affairs & Stakeholders; • Air Pollutions and Alerts; • Food Safety; • Typhoon; • Water Stress.
  14. 14. Thank you! EHSxTech Workshop – April 2017 13 Michael Liang, Ph.D. Executive Director, ESD China Limited mjliang@esdchina.com.cn Guangzhou, China Peylina Chu, PE Vice President, Antea Group Peylina.chu@anteagroup.com Boston, MA, USA

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