The Status Reviewand Trend Study Of Old-age Insurance Plan In Foreign Invested Enterprise

In 21st century the most important resource is talent, while foreign invested enterprise is the place to gather various types of talent in China. By facing current high turnover in human resource market, the importance of human resource management in foreign invested enterprise is increasingly prominent. Blindly raising wage levels will definitely increase the labor cost in the enterprise, which should not be the only way to retain talented employees. To establish a multi-directional and multi-level employee welfare plan, emphasize long-term incentive mechanism, make employees comfortably live and work, and conform to current major policy– construction of'harmonious society', will be the main theme in future human resource management. Pension insurance scheme as an important component in employee welfare plan to focus on employee's post-retirement income, has its special significance and role.The thesis summarizes the development and the status quo of China's social insurance system for old-age, introduces the external macro environment and policy background which foreign invested enterprise is facing. Additionally, towards high income group in foreign invested enterprise, the thesis identifies some objective problems, for example, the impact towards individual social insurance account of high income group due to social insurance policy change; too low replacement ratio from social insurance system for old-age.Furthermore, through introducing those mature old-age insurance system in developed countries, the paper points out the development trend of pension insurance scheme in foreign invested enterprise, and the constraints coming from existing system, regulation and policy.Based on status quo and trend analysis of pension insurance scheme in foreign invested company, one specific case study from one foreign invested company on design and implementation of pension insurance scheme is introduced to demonstrate the characteristics of pension insurance scheme development in foreign invested company, and its significance towards total compensation and benefit for employees.Last but not least, the thesis makes some recommendation for policy together with corresponding measures, to improve the external environment for foreign invested enterprise to develop company pension insurance scheme.