On The Operation Of Private Enterprise Endowment Insurance Arrangements In China

As an emerging force taking place since China's opening up and reform, the private enterprises have been experiencing profound progress, and the unpublic sector is and important component of the national economy. However, their participation in the endowment insurance arrangements seems not to acquire proportional development, though the allocation of labor force, workers' benefits and enterprises' going-ahead may profit from it. As we all know, generally, private enterprises hold a negative vision to participate endowment insurance arrangements, and contributions evasion and arrears usually take place even for the firms which attend the arrangements. What is the reason? It is what the paper attempts to discuss.The paper is organized as follows: First, we discuss theoretically why it is necessary for private enterprises to attend the endowment insurance arrangements, then exhibit the situation of the unpubic sector of the country and their attendance to the pension system. Second, we explore the reasons behind the miserable performance of endowment insurance arrangements from several levels. Then, we discuss how the country would be affected by lack of private enterprises' attendance to the arrangements. Finally, given the status of the unpubic sector and the pension insurance system, we put up some sound and reasonable policy proposals as to improve the private enterprise endowment insurance arrangements.