BEIJING, May 19 -- China signed a bilateral social security agreement with Spain, according to a statement released Friday by the Ministry of Human Resources and Social Security.

The agreement was signed by Yin Weimin, Minister of Human Resources and Social Security, and Spanish Minister of Employment and Social Security Maria Fatima Banez Garcia, during the G20 meeting of labor and employment ministers in Germany.

Under the agreement, employees of Chinese companies working in Spain will be exempt from mandatory social security contributions including pension and unemployment insurance contributions in Spain. Spanish companies and employees will enjoy the same treatment in China.

The agreement will take effect after going through necessary legal procedures in each country.