The present study aimed to evaluate the development of benefit schemes in China since the commencement of economic reforms in 1978 and to examine whether the current provision of employee benefits was associated with organizational outcomes. Based on the results of interviews with 16 HR managers/directors from different firms across China's industries, this study concluded that the present benefit types in China have become more varied and more attractive to employees compared to those in the planned economy period. The reasons were identified (e.g. employee stock ownership plans (ESOPs)), profit sharing, travel incentive and flexible benefit plans being adopted). In addition, this study found that provision of employee benefits was generally perceived to have an impact on organizational outcomes. Keywords China, employee benefits, organizational outcomes