In the Implementation Opinions on Inspiring the Vitality of Focus Group and Increasing the Income of Urban and Rural Residents issued by the State Council recently, it is raised that the statistical caliber of social insurance contribution base will cover the average wage of the active employees of private enterprises in cities and towns in the future, in order to form a reasonable contribution base of social insurance and housing found and to avoid the institutional squash-out caused to low-income groups.
It is believed by some experts that after the widening of statistical caliber, the expected contribution base will decrease by about 10 percent, which may relieve the contribution burden of low-income groups, and then more low-income people may be able to afford the social insurance contribution and be entitled to the benefits of social security accordingly. Meanwhile, the burden of enterprises to pay the social insurance contribution may also be relieved by some extent as well.
China