The Wage Surge Has Increased The Bargaining Power Of The Pearl River Delta Industry In A Delicate Way.

In July, the human resources manager of the Pearl River Delta manufacturing industry is a good place.

First in early June, Foxconn announced

Subsequently, the minimum wage standards across the country rushed out before July 1st, and became another straw that aggravated the new round of labor shortage.

"7, 8 two months originally was the off-season in recruiting off-season."

Mr. Ren sighed that raising salary is already the trend of the times.

However, the terrible thing is not raising salaries, but the difficulty of obtaining employment after raising salaries.

Employers of many enterprises have said that the tide of migrant workers returning to work after the Spring Festival is far from expected, and it looks like "the situation will be even worse next spring festival".

Around China's two competitive factors, abundant labor force and cheap labor cost, it is moving to a key turning point.

"China may be experiencing Lewis turning point. After that, the disappearance of surplus labor will promote real wages and raise the share of wages in income.

This is of profound significance for China and even for the global economy.

Barclays Capital China Economic Research Director and chief economist Peng Wensheng told this reporter.

Spontaneous collective bargaining

Shenzhen Foxconn's raise action has caused Shenzhen and even

In the early July, Houjie Town and other towns in Dongguan, migrant workers from all over the country volunteered to form a delegation of more than ten people, dozens of people and hundreds of people. A representative was chosen to stand in the aisle of the talent market, or on the roadside of the street, waiting for the "competition speech" that the head of the employment enterprise took turns.

Then it collectively analyzes the pros and cons and truthfulness of various conditions thrown by the speaker, and then carries on "questioning" by the representative for the enterprise, and raises the price of his "team".

After a haggle, the last decision was made to decide who to go with the team.

The scene is often very confusing, on the one hand is the successful recruitment of people's enterprises, it is urgent to open up vehicles to pull people away, while a temporary loser continues to shout to the crowd.

Most of the time, the recruitment lecturers of a company are unable to harvest all day.

The arrival of the wage surge has increased the bargaining power of the people looking for jobs.

A similar scene has become a common sight in the large scale talent market of Pearl River Delta in Baoan and Dongguan in Shenzhen this year.

Mr. Ren recently won 70 workers who had been recruited for the company.

Mr. Ren told reporters with a slight sense of accomplishment. At that time, there were also Foxconn, SKYWORTH and other "big companies" at the time of recruitment.

"I didn't think so much at that time. The first one came up to speak, and the 70 group with the most result followed me.

At that time, the recruitment of other workers was urgent because there were not many opportunities to find so many people recently.

Mr. Ren smiled bitterly and said, "we all have a lot of pressure to recruit workers."

In June 8th, Shenzhen announced the "minimum wage standard adjustment plan". The plan announced that the minimum wage in Shenzhen will be raised to 1100 yuan / month from July, and the external and external gains will reach 11.4% and 22% respectively.

This has also set the highest level of minimum wage adjustment in Shenzhen over the years.

"The minimum wage is not the same as real wages. The minimum wage in Dongguan is 770 yuan per person per month. The actual wage (including overtime) paid by the enterprise to the employees is definitely higher than the minimum working standard set by the city."

A person in charge of human resources at a Taiwan funded enterprise in Dongguan told reporters that the salary of 770 yuan per month in the Pearl River Delta will not be able to recruit workers.

At the same time, the labor cost is becoming a new attraction for local governments to attract investment.

Not only is Foxconn, Foxconn's biggest rival, Flextronics, but also the strategic shift layout.

This reporter learned from Ganzhou, Jiangxi, Flextronics will invest in Ganzhou to build a power plant of 10 thousand people, the main reason is that the cost of local labor is about 500 yuan per month lower than the Pearl River Delta, while at the same time, the traditional labor force output.

Bob Roohparvar, chairman of Flextronics power, said that the layout of China's factory in Flextronics is moving inland.

Foxconn spokesman Liu Kun told our reporter that 84% of Foxconn's 450 thousand employees in Shenzhen were in line with pay adjustment requirements.

According to this estimate, after the implementation of the salary increase in October 2010, the basic salary of the Shenzhen factory area increased by 415 million 800 thousand yuan per month and nearly 5 billion yuan per year.

But this amount will be sharply reduced with the withdrawal of Foxconn.

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Foxconn insiders say it is a fact that Foxconn withdrew parts of its business from Shenzhen, such as the mobile phone division moved to Tianjin and the computer division to Chengdu and Wuhan.

But for the outgoing new factory in Zhengzhou, it is true that there is no 300 thousand people.

Intelbras (Brazil Intel Blass terminals) is the largest producer of telephone and switchboards in Brazil. 70% of its products come from the Greater China region, 45% of which are directly purchased from the mainland market, and the amount of procurement in China in 2009 reached US $150 million.

Huang An Carrill, who originally planned to increase 10% purchases in China this year, found that the new 10% purchases might be digested in the generally rising order price of Intelbras Juan.

"If prices do not come down, we have two measures: we have been looking for new suppliers in other markets such as Vietnam, and we are also considering purchasing only spare parts and returning to Brazil for finished products."

In the face of the general trend of salary increase, Peng Wensheng analyzed that in view of the vast area of China and the different stages of economic development in different regions of China, the turning point may be a gradual process or a turning point that has lasted for many years, rather than a sudden change.