Company: GLXG
Filing Date: 2025-10-24
Form Type: 20-F
Source: 0001213900-25-102144
Chunk: 113

Company: Galaxy Payroll Group Ltd
Filing Date: 2025-10-24
Form: 20-F
Item: Item 4
Chunk 113
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 enterprises except those engaged in industries on the 2020 Negative List
(as amended).

Regulations Relating to Human Resources Services

On June 29, 2018, the State
Council promulgated the Interim Regulations on Human Resources Market, which became effective on October 1, 2018. Human resources service
institutions are classified into two categories, namely, public human resources service institutions and commercial human resources service
institutions. Public human resources service institutions shall refer to the public employment and talent services institutions established
by the People’s governments at or above county level. Commercial human resources service institutions shall refer to the institutions
legally established and engaging in business activities in human resources services. Our subsidiary in the PRC, Galaxy HR (SZ), falls
within the definition of commercial human resources service institution. To engage in employment intermediary activities, a commercial
human resources service institution shall apply to the administrative department of human resources and social security for an administrative
permit in accordance with the law and obtain a human resources service license. Where a commercial human resources service institution
engages in the business of human resources services such as collection and release of the information on supply and demand of human resources,
guidance of employment and entrepreneurship, consultation on human resources management, assessment of human resources, training on human
resources and acceptance of outsourcing of human resources services, it shall complete record-filing formalities with the administrative
department of human resources and social security within 15 days from the date of commencement of the business. In addition, the Ministry
of Human Resources and Social Security of the PRC (the “ MOHRSS”) promulgated the Interim Provisions concerning the Management
of Foreign-invested Job Intermediaries and the Interim Provisions on Administration of Establishment of Foreign-funded Employment Agencies
on December 31, 2019, which emphasizes on the management and supervision of foreign-invested entities engaging in employment intermediary
businesses and require foreign-invested entities to obtain a human resources service license for foreign-invested entities prior to conducting
employment intermediary businesses. Galaxy HR (SZ) has completed the record-filing formalities with the human resources and social security
administrative authorities with its business scope limited to acceptance of outsourcing of human resources services. Since Galaxy HR (SZ)
does not provide employment intermediary services, we do not believe human resources service license is required for the acceptance of
outsourcing of human resources services and the labor dispatch businesses conducted by Galaxy HR (SZ).

According to the