Local employers have started to register their foreign employees to make social insurance payments through local human resources companies,  however businesses and foreigners alike are still waiting for authorities to release concrete information about payment levels and benefits.

For foreigners working in China and those who employ them, a draft regulation of Social Insurance Law requires "social insurance contributions," including to a basic pension fund, and for medical, unemployment, work-related injury and maternity insurances.

Beijing Youth Daily reported that the maximum end of the sliding scale is capped at three times the average wage of the area people work in, which is 12,603 yuan ($1,985) in Beijing. Foreigners earning more than this every month would be considered to earn a high salary.

Contributions to the social security fund are paid by both employers and employees, and when added together, could equal 40 to 60 percent of the monthly salary. 

"Most foreign employees in town make a monthly salary above 12,603 yuan," said Liang Chao, director of the social insurance service center of China International Intellectech Corporation (CIIC), an HR company.

"There's actually no articles in the national law nor local regulation being launched officially to regulate and fix the percentages for the insurance payments," Liang said.

Liang explained that foreigners could not receive certain benefits, even though they must pay for them as a whole package.

"Maternity insurance coverage is associated with China's family planning policy, while unemployment is linked with hukou (household registration) location. Foreigners can't apply for either of them. We're waiting for supplementary regulations to solve these things, and to tell us how foreigners can get payments back when they leave China," Liang noted.

It is unclear what percentage of the payments could be returned if foreigners leave China, and how they would go about claiming it.

South Korean and German employees will not have to pay, if they can provide proof of their payments at home, as they have a bilateral social insurance agreement with China. Belgium, France and Japan are in the process of discussing an agreement.

Beijing Human Resources and Social Security Bureau refused to comment, saying that the details are still under discussion, and they are not ready to be publicized.

"The law only regulates how to pay the contributions without saying how the benefits will be paid, which doesn't make sense now," said a director surnamed Chen from the social insurance center of Beijing Foreign Enterprise Human Resource Service Company (FESCO).

"During the time that people start to register and pay for the insurance, we can only hope that no foreigners show up wanting to get benefits. We have no proper way to address this now," said Chen.

Copies of the law in Chinese and English have been sent to HR companies, but so far only provide details about how to register employees.

"The procedure to register for the insurance is not easy at all and requires employees to hand in original copies of documents, including passports, so we are expecting a long application process," Liang said.

"Since there has been no explanation or publicity since the law was issued, foreigners will definitely have many questions," he said.

Michelle Andre, from France, is a sales manager in Beijing, and has received no official information.

"I think the biggest problem here is the lack of transparency. No one told me about this until I learnt about it online, and no one has informed us about how to get a better understanding of the rules, like if the insurance covers expenses at all hospitals, including international ones," she said.

"There's 'global fairness' involved, because Chinese people working abroad pay tax and insurance there," Liang said, "but there will be doubts and questions about this new policy, so it will be better when the supplementary regulations come out."