Notice on Issuance of Measures on SPF Account Blocking Management
SHGJJG No. 1 (2014)
To Municipal Provident Fund Management Center:
This is to issue Measures on Shanghai Provident Fund Account Blocking Management, which has been reviewed and approved by Municipal Housing Provident Fund Management Committee's 40th plenary session on 26 January 2014, for your implementation accordingly.
Shanghai Housing Provident Fund Management Committee
29 January 2014
Measures on Shanghai Provident Fund Account Blocking Management
Article 1 Objectives and Criteria
We herein institute the Measures as per Regulations on Housing Provident Fund Administration of the State Council and Provisions of Shanghai Municipality on Housing Provident Fund Administration in combination with the actual situation of this Municipality in an aim to standardize and strengthen this Municipality’s HPF account (hereinafter abbreviated as “account”) blocking management and safeguard HPF paying employees’ legitimate rights and interests.
Article 2 Definition
The term “blocking” is used to refer to any employee provident fund account in the event that the payment is discontinued to be put under Municipal Provident Fund Management Center’s centralized management.
Article 3 Scope of Application
A unit should fulfill employee account blocking formalities upon the occurrence of any of the following events:
(1) The employee terminates employment relationship with the unit and fails to be reemployed;
(2) The employee fails to be reemployed in cases of units merged, divided, dismantled, dissolved or bankrupted.
Article 4 Management Responsibility
Municipal Provident Fund Management Center creates a special account to be conducive to centralized management of any blocked accounts in this Municipality.
Municipal Provident Fund Management Center’s management divisions in various districts/county (hereinafter abbreviated as “management division”) are in charge of formalities for account blocking services such as account blocking, blocked accounts’ transferring and information checking.
Article 5 Account Blocking
In cases where aforesaid item (1) under Article 3 arises, the unit should prepare necessary supporting materials relating to the employee employment relationship termination and proceed to go through account blocking formalities at the management division within 30 days from the date of employment relationship termination.
In cases where aforesaid item (2) under Article 3 arises, the unit or the liquidation organization should prepare relevant supporting materials and proceed to go through account blocking formalities prior to the unit’s termination or cancellation.
The unit or the liquidation organization should notify the employees prior to fulfillment of account blocking formalities.
Article 6 Blocked Accounts’ Transfer
In cases where an employee with blocked account is reemployed, the new employing unit should proceed to go through formalities for transfer of the blocked account at the management division or the entrusted bank within 30 days from the date of employment.
Alternatively, the employee may also prepare relevant supporting materials and fulfill formalities for transfer of his or her blocked account at the management division.
Article 7 Information Checking
In cases where missing information relating to the account is identified in the account blocking process, the management division should require the unit to check and complete relevant information.
An employee, upon discovery of discrepancy between Municipal Provident Fund Management Center’s record and the actual personal information relating to his or her blocked account, may carry valid testimonial materials and fulfill the formalities for account information changes.
Article 8 Blocked Account Holder’s Rights and Interests
An employee holding a blocked account is entitled to such rights and interests as withdrawal, account consultation and filing a complaint or offering an advice, except that he or she is not eligible for home purchase loan application.
The balance of a blocked account is owned by the account holder, with interest calculated as per relevant regulations.
Article 9 Suspending Payment
In cases where an account does not measure up to a blocking situation and yet is actually under any of the following occurrences of discontinued payment, the unit may proceed to fulfill formalities for suspending payment.
(1) The employee is already hired by a new unit, with the account remaining in the previous unit pending transfer;
(2) The employee’s account status measures up to a withdrawal due to account closure situation without fulfillment of formalities for withdrawal.
(3) The employee and the unit retains employment relationship with pay-performance relationship temporarily suspended.
In cases where item (1) arises, the time limit for suspending payment is six months. At maturity, normal payment status of the account is automatically restored. In cases where item (3) occurs, the unit should propose a maturity for suspending payment in light of actual situation, and normal payment status of the account is automatically restored at maturity.
Article 10 Surveillance and Management
Municipal Provident Fund Management Center should fulfill the duty to audit account blocking, enact concrete service working instructions, improve account information management system, establish a warning mechanism on account-related changes and ensure standard and orderly operation of account blocking services.
Article 11 Additional Housing Provident Fund
The employee’s additional housing provident fund account blocking shall observe the Measures for reference.
Article 12 Implementation Organization
Implementation of the Measures shall be organized by Municipal Provident Fund Management Center.
Article 13 Date of Enforcement
The Measures shall take effect on 1 July 2014 with a maturity of 5 years. Measures on Shanghai Provident Fund Blocking Management [SHGJJF No. 54ги1999)] shall be abrogated simultaneously.
