The interplay of (in)formality: a process-oriented analysis of work–life balance policy enactment in Chinese organisations

Purpose This study examines how formal work–life balance (WLB) policies are translated into lived experience in Chinese organisations using state-owned enterprises (SOEs) as case study. Moving beyond static accounts of the WLB policy–practice gap, we develop a process explanation of how formal policy authority interacts with informal relational systems to shape access, use and WLB outcomes. Design/methodology/approach Using a sequential, qualitative-led mixed-methods design, we draw primarily on 23 semi-structured interviews, supplemented by a survey (n = 312) and documentary analysis. This design establishes the “policy-as-intended” baseline and then traces how policies are enacted in everyday work. Findings Documentary and survey evidence confirms a clear WLB policy–practice gap. Primarily, interview data show that WLB implementation is a socially negotiated enactment rather than a linear roll-out. We identify a self-reinforcing three-stage process: (1) formal WLB policies are rendered largely symbolic when subordinated to operational KPIs and political/campaign logics; (2) authority shifts to an informal interface where supervisor–subordinate Guanxi channels managerial discretion, turning entitlements into relationship-contingent privileges and segmenting access; and (3) employees manage risk through performative compliance and reciprocal intensification, absorbing hidden costs that stabilise informal governance and reproduce the gap. Originality/value The study contributes a process model of the formal–informal interface in WLB implementation. It reframes human resource management (HRM) process strength as relationally produced in enactment, specifies supervisor–subordinate Guanxi (SSG) as a mechanism that channels discretion and embeds reciprocity costs and shows how employee risk management can inadvertently sustain policy–practice gaps in relationally governed settings.