Employee welfare fund refers to the funds used by state-owned enterprises to improve employees' living facilities, public consumption and medical insurance. The specific use scope of employee welfare fund includes: (1) medical expenses and medical facilities for employees and their families; (2) Subsidies for workers' living difficulties; (3) Employees' washing and child care facilities, employees' salary subsidies, canteen cookware purchase and maintenance costs, etc. ; (4) Expenditure on staff education, clubs and children's primary and secondary schools; (5) In order to improve the life of employees, enterprises handle the start-up expenses and loss subsidies for agricultural and sideline production; (six) other expenses paid by the employee welfare fund in accordance with the provisions of the state. The welfare fund system for employees of state-owned enterprises in China has gone through different historical development stages.

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