China’s companies cut back on year-end bonuses as profit margins narrow

South China Morning PostEN 1 min read 100% complete by He HuifengFebruary 17, 2026 at 03:00 AM

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Chinese companies are reducing year-end bonuses for 2025 due to slowing economic growth, narrowed profit margins, and external uncertainties. This contrasts with previous years when larger bonuses were common, particularly during the tech and real estate boom. A recent report indicates that over a quarter of employees will receive no bonus, and nearly half will receive the equivalent of one to two months' salary. Many companies are also discouraging employees from publicly discussing bonus details. Outside of a few high-growth AI and internet companies, limited or no bonuses are expected across most industries. This trend reflects a broader shift in China's workplace landscape, with hiring freezes in many departments.

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year-end bonuses 100% profit margins 80% china 70% economic slowdown 70% salary report 60% corporate prospects 50% hiring freeze 50% workplace landscape 40%