Page 354 - 2022 White Paper on the Business Environment in China
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2 White Paper on the Business Environment in China

for grain due to population growth and external delivery deadlines and social insurance. Employers
uncertainties. The 32-clause law bans food vloggers should ensure that food delivery workers earn no
from making and distributing binge-eating videos less than the local minimum wage, according to the
online, threatening fines of up to 100,000 RMB guideline issued by seven departments including
(US$15,451). Some vloggers perform on short-video the State Administration for Market Regulation,
platforms pretending to be competitive eaters but the Cyberspace Administration of China, and the
in reality, they usually leave a lot of food uneaten National Development and Reform Commission.
and often vomit what they have consumed. The law The "strictest algorithm" should not be used as
also allows restaurants to charge diners an extra fee an assessment requirement and the delivery time
if they leave excessive amounts of food uneaten. requirements should be appropriately relaxed,
Food providers that induce or mislead consumers it said. Platforms should participate in social
into making excessive orders face fines of up to insurance programs for the food delivery personnel
10,000 RMB. A maximum fine of 50,000 RMB will they employ, and people working for other types
be given to food service operators that waste large of employers are encouraged to join also. The
amounts of food, the law stipulates. The legislation guideline also stressed the importance of efforts
was widely hailed on Chinese social media after its to ensure traffic safety for food couriers and called
approval, with many internet users showing their for more smart kiosks and the development of
empty plates on desks on Sina Weibo. However, smart helmets (Xinhua, “Chinese Market Regulator
some have expressed concerns as specific rules Improves Protection of Food Delivery Workers”).
have yet to come out to define what constitutes
food waste and how the law will be enforced. Legal China moves to protect food delivery drivers
experts reached by the Global Times said the main from digital exploitation, knocking stocks such as
role of this law is to spearhead the advocacy of a local services giant Meituan. The policy guidelines
resource-conserving and environmentally friendly come as China ramps up a campaign to rein in Big
society. Approximately 18 billion kilograms of food Tech, forcing the sector to put greater emphasis
is wasted every year in China's urban catering on consumer and worker rights. The guidelines are
industry, the Xinhua News Agency reported, citing designed to protect basic labor rights for riders,
nationwide field research carried out by NPC including a base income, work safety, food safety,
Congress deputies. The expert refuted claims that a decent working environment. Chinese regulators
China is suffering a food crisis, saying that is the have ordered online platforms to ensure food
interpretation and speculation of Western media delivery riders earn above the country’s minimum
seeking to promote the "Chinese collapse theory.” wage, be freed from unreasonable demands placed
Some observers said that the root of food security upon them by algorithms and have access to social
is agricultural security. The legislation complies security and a place in a union, in a likely financial
with the central government's policy of placing blow to Meituan and other big on-demand services
emphasis on cultivation of grain and poultry as providers in the country. The new guidelines,
part of efforts to ensure stable food supply. The published by the State Administration for Market
law encourages the continuation of the "Clear Your Regulation (SAMR) and six other government
Plate" campaign. Prior to the adoption of the law, agencies, are designed to protect basic labor rights
a nationwide "Clear Your Plate" campaign gained for riders, including a base income, work safety,
steam across the country, with anti-food waste food safety, a decent working environment and
posters and slogans posted on the walls of many access to insurance coverage. The guidelines come
restaurants, while schools and universities have as China ramps up a campaign to rein in Big Tech,
also joined the efforts to fight food waste (Caiyu). forcing the sector to put greater emphasis on
consumer and worker rights. The tighter regulatory
Protecting Service Workers scrutiny has seen Chinese tech stocks plunge
in Hong Kong in recent sessions with Meituan,
In July 2021, Chinese authorities issued a which employs about 3 million riders delivering
guideline to protect the rights and interests of an average of more than 27 million food orders
food delivery workers in terms of minimum wages, a day in 2020. The guidelines also come in the
wake of complaints by riders that they lack proper

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