Legal basis: Measures of People's Republic of China (PRC) Municipality on Enterprise Annuities.
Article 2 The term "enterprise annuity" as mentioned in these Measures refers to the supplementary old-age insurance system independently established by enterprises and their employees on the basis of participating in the basic old-age insurance according to law. The state encourages enterprises to establish enterprise annuities. The establishment of enterprise annuity shall be implemented with reference to these measures.
Article 3 The expenses required for enterprise annuity shall be paid jointly by the enterprise and individual employees. The enterprise annuity fund shall be fully accumulated, and a personal account shall be established for each employee who participates in the enterprise annuity, and investment and operation shall be carried out in accordance with relevant state regulations. Income from investment and operation of enterprise annuity fund is merged into enterprise annuity fund.