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    China'S Labor Market Ushers In Structural Change, The Report Said

    2011/2/23 16:52:00 261

    Labor Market Reform

     


      


     

     


     


     


      


     

     


    The Pearl River Delta is facing a new round of "labor shortage".

    Unlike previous years, this year, Chengdu, Chongqing, Wuhan and other central and western cities have planned to guide local migrant workers back home, which undoubtedly exacerbated the pressure of employment in the Pearl River Delta.

    Insiders pointed out that the current "labor shortage" in the Pearl River Delta actually reflects the structural imbalance between supply and demand in the labor market.


    Since 2004, the phenomenon of phased labor shortage has appeared in the Pearl River Delta, and has evolved into "labor shortage".

    There are signs that "labor shortage" is not a seasonal phenomenon at the beginning of the year. It may become a norm in the future. The Pearl River Delta has become a gateway to deep thinking and coping with change.


    "Dumbbell shaped" structural shortage


    "At present, the shortage of labor in Guangzhou this year is mainly structural and temporary."

    Zhang Baoying, director of Guangzhou human resources market center, told Nandu reporters.

    He said that the shortage of workers in Guangzhou's manufacturing industry is obvious, and the labor-intensive enterprises are the most serious.

    According to the sample survey conducted by the center on 343 representative enterprises involving more than 310 thousand migrant workers, the enterprises with the intention to recruit workers after the spring festival mainly focus on 5 industries, such as manufacturing, residential services, information dissemination and computer software, leasing and business services, as well as accommodation and catering industry. Over 5 of the 5 industries need recruitment after the festival, of which the proportion of manufacturing industry is as high as 97.27%.

    Zhang Baoying believes that, as a whole, the PRD is mainly a structural shortage of workers, and the recruitment of enterprises is characterized by "dumbbell shaped" between "two heavy and medium light", that is, the demand for skilled workers and general workers is large, while the demand for management and clerks in the middle is relatively small.


    Manufacturing enterprises that are undergoing pformation and upgrading have made a low salary but still lack of people.

    Shenzhen human resources and Social Security Bureau latest human resources market supply and demand analysis statistics show that: in January this year, Shenzhen's lack of labor reached 113 thousand people, animation design, landscape design, furniture design, engineering design, gardening technical workers most sought after.


    The Pearl River Delta is only a microcosm of the whole country.

    The latest research report released by China Samsung Economic Research Institute reveals that China's labor market is undergoing major structural changes. First, the problem of "labor shortage" first appeared in the Pearl River Delta region in 2004, and gradually spread from the economically developed areas in the east to the central and western provinces. Secondly, the cost of labor has risen substantially. According to the data of China's Ministry of human resources and social security, as of the end of September 2010, 30 provinces in the country have adjusted the minimum monthly wage level, and the average growth rate of the monthly minimum wage standard is 24%.

    The Institute believes that from 2010 to 2015, it will be an important period for the pformation of China's economic development mode, and the labour market will also usher in significant changes.


    Pearl River Delta manufacturing industry forced pformation


    Labour market

    change

    It will bring about a profound change in the PRD manufacturing industry.

    Li Daxiao, director of the British Securities Research Institute, believes that manufacturing enterprises will change at least two aspects: on the one hand, enterprises will migrate to cheaper labor areas.

    On the other hand, manufacturing enterprises will seek artificial substitution, gradually pform production lines, increase labor productivity and increase added value of products, so as to achieve the goal of pition from pure foundry enterprises to brand enterprises.


    Change is happening quietly.

    After the Spring Festival, most small and medium-sized enterprises in Shiling Town, known as the "leather goods capital of China", are facing "recruitment difficulties".

    A company official said that nearly half of leather goods factories were unable to start work because of insufficient recruitment. The Shiling leather industry with a good foundation is now in urgent need of abandoning the profit mode of cheap labor and low price, and pforming from "manufacturing capital" to "brand capital".


    In Dongguan, shoes, textiles and other industries are passing the industry.

    pfer

    The application of automated production lines and other measures to cope with "labor shortage" and labor costs rise.

    Chen Yaohua, President of Dongguan Textile Industry Association, told Nandu reporters that the wages of skilled workers and senior technicians in Dongguan textile industry rose by about 10% to 20%. The rise in human cost directly led to a 3% rise in the cost of enterprises.

    "For this part of the cost of rising, many enterprises can only increase investment in equipment, improve machinery automation, reduce manpower demand.

    Some enterprises will pfer costs to customers, which may be opposed by customers, or even cancel orders.

    Chen Yaohua said.

    {page_break}


    You can't just leave people on the increase.


    Dai Jinghua, vice chairman of the China Employment Promotion Association and chairman of Shenzhen three and Human Resources Co. Ltd., told reporters in Nandu that the so-called "labor shortage" is actually "

    Recruitment difficulties

    "This is mainly due to the difference between the wages offered by the enterprises and the psychological expectations of the migrant workers.


    Starting from March 1st this year, Guangdong will raise the minimum wage standards for workers and staff members and the part-time minimum wage for workers, of which the minimum wage in Guangzhou will be raised from 1100 yuan to 1300 yuan, with an increase of 18.2%.

    But other provinces and cities are also raising salaries to adjust the minimum wage standard.


    Relying solely on pay increases will not solve the problem of "labour shortage" in the Pearl River Delta.

    Dai Jinghua believes that, fundamentally speaking, recruitment difficulties are related to short-sighted behaviors of many middle and low end enterprises.

    In the rush season, a large number of workers are hired and dismissal in bulk in the off-season.

    Without stability, what safeguards are there? There is no guarantee. What career development is it? Enterprises regard labor workers as "migratory birds", and labor workers naturally do not regard enterprises as "homes".

    Dai Jinghua said that he suggested that the government should appropriately increase the amount of subsidy for enterprises to train labor workers, and introduce relevant supporting measures as soon as possible to improve the living status and environment of migrant workers.


    The adjustment of educational structure can not keep pace with the pace of industrial upgrading, which is another important reason for "labor shortage".

    Liu Zhengrang, director of the Technical Education Department of the Provincial Department of human resources and social security, believes that with the establishment of the modern industrial system in the PRD and the upgrading of Guangdong's industries, the advanced manufacturing and service industries will replace labor-intensive industries, and Guangdong will begin to pform from "skill era" to "high skill era". Skilled workers' education must actively adapt to this change, constantly promote the development of skilled workers' education to the high end, and cultivate a large number of highly skilled talents to meet the demand of employment in the Pearl River Delta, otherwise it will be plagued by "labor shortage" for a long time.


    At the national level, the Ministry of human resources and social security has deployed the Spring Festival employment survey, requiring all localities to submit information on talent demand from bottom to top, and intends to fully grasp the employment gap in major cities.

    Next, the relevant departments will also introduce a number of measures to solve the shortage of employment structure.


     
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