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Author Topic: Chinese industrial wages start to rise
Doug
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Babbler # 44

posted 01 May 2006 06:30 PM      Profile for Doug   Author's Homepage     Send New Private Message      Edit/Delete Post  Reply With Quote 
It seems that migration into China's cities can't keep up with the demand for labour - so wages and benefits are rising. A nice, positive story for this May Day.

quote:
Those workers that remain in coastal cities like Dongguan, whose sprawl of tile-roof factories belch into a jaundiced sky, are demanding higher wages — and getting their voices heard. Minimum wages are on the rise as authorities respond to the labor shortage, setting a new floor for private employers. This pressure on factory payrolls, coupled with rising cost of materials and energy, is starting to bite.

http://www.cbsnews.com/stories/2006/05/01/business/main1563311.shtml?source=RSS&attr=World_1563311


From: Toronto, Canada | Registered: Apr 2001  |  IP: Logged
virge47
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posted 04 May 2006 02:16 PM      Profile for virge47        Edit/Delete Post  Reply With Quote 
It will be a very long time if ever, that China's workers will earn anything close to what the west generally pays for jobs of equal value.
From: U.S. | Registered: Apr 2006  |  IP: Logged
Jacob Two-Two
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posted 04 May 2006 06:47 PM      Profile for Jacob Two-Two     Send New Private Message      Edit/Delete Post  Reply With Quote 
Ha ha! You're assuming that all the movement would be in China. We could equalise very fast by the bottom dropping right out of our wages here in the western world. The coming energy crisis could easily precipitate such a catastrophe.
From: There is but one Gord and Moolah is his profit | Registered: Jan 2002  |  IP: Logged
Doug
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Babbler # 44

posted 06 May 2006 02:24 PM      Profile for Doug   Author's Homepage     Send New Private Message      Edit/Delete Post  Reply With Quote 
Some combination of both, in real terms, is probably what's going to happen. Thank you, factor price equalization.
From: Toronto, Canada | Registered: Apr 2001  |  IP: Logged
abnormal
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posted 10 May 2006 07:34 AM      Profile for abnormal   Author's Homepage     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
It will be a very long time if ever, that China's workers will earn anything close to what the west generally pays for jobs of equal value.

Depends what you mean by "close" - if you mean equal nominal amounts after exchange, you're probably right. If you mean equal purchasing power, I'm not so sure. The latter is the measure that I'd employ if I were considering living someplace [i.e., if I walk into a store with 100 local currency units what do I walk out with and how many of those units do I get in my pay packet]. In other words, how does the local "cost of living" bucket compare to local wages.


From: far, far away | Registered: Aug 2001  |  IP: Logged
Fidel
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Babbler # 5594

posted 10 May 2006 03:28 PM      Profile for Fidel     Send New Private Message      Edit/Delete Post  Reply With Quote 
I think China has one of the strongest PPP indexes in the world. China's middle class is now as large as the population of the United States.

The Chinese state demands controlling interest, or a large minority interest in all foreign corporations doing business in China. That's further to the left than democratic socialism. China's economy has grown at rates of six to ten percent for the last 21 years in a row. That's unprecedented.

China needs more unions and worker's rights to complement market socialism. And then they need to develop full scale socialism in order to avoid environmental catastrophe, which would mean dropping the consumption based capitalism component altogether.


From: Viva La Revolución | Registered: Apr 2004  |  IP: Logged
otter
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posted 10 May 2006 09:36 PM      Profile for otter        Edit/Delete Post  Reply With Quote 
is there any word on what the labour movement is doing in China? I found this link but cannot verify its accuracy. china labour conference
From: agent provocateur inc. | Registered: Feb 2006  |  IP: Logged
Fidel
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posted 11 May 2006 12:50 AM      Profile for Fidel     Send New Private Message      Edit/Delete Post  Reply With Quote 
Yes, here's something.

Grappling With the Dragon of Labour Unrest - April

I can certainly understand the concerns of International Confederation of Free Trade Unions for workers rights in China. I think there are some horrific human rights abuses happening in China, ie. workers losing limbs in factory machines and hung out to dry by employers and all the worst kinds of violations imaginable.

On the other hand, the ICFTU says the Chinese competitiveness is based solely on the low wage advantage, which also appears to be obvious. I don;t think that's true anymore. We have to look at the kinds of companies that are doing business over there recently, and what kind of skills are being used. The Chinese now have a few companies that are being compared to the beginnings of Samsung and Sony. The Chinese are becoming, not just a manufacturing nation powered by low wages, but they're turning their attention to high technology. They currently leasing a lot of technology from parent companies abroad, but there seems to be attention toward purchasing technology, and with thay comes innovation and the chance to climb above being just another sweatshop economy like Hong Kong was/is.

The Chinese are sinking money into education and infrastructure to support a future high tech economy in some ways similar to the way social democrats did in Singapore from 1965 to 1990's.
Bob Rae says China is building 12 new M.I.T.-style engineering universities. And if we know anything about how the USian economy became such an economic powerhouse post WWII, it was driven by high technology.

The need for unions in China is paramount for workers there, yes. But I don't agree that taking advantage of low wages is ALL of what's driving the Chinese economy right now. I think they're working towards something bigger down the road.

Deng Xio Ping said, "Poverty is not socialism." They certainly still do have there share of poverty, but the middle class in China is growing. Of course, most of us lefties don't believe widget based consumerism is nearly the answer, but that's another thing altogether ...


From: Viva La Revolución | Registered: Apr 2004  |  IP: Logged
Fidel
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posted 11 May 2006 01:04 AM      Profile for Fidel     Send New Private Message      Edit/Delete Post  Reply With Quote 
quote:
Originally posted by virge47:
It will be a very long time if ever, that China's workers will earn anything close to what the west generally pays for jobs of equal value.

It will be a long time, if ever, that Canada produces the prosperous full-time job growth that existed here before Brian Mulroney's sellout of Canada in 1989, and the Chretien sellout to the Yanks in 1994.


From: Viva La Revolución | Registered: Apr 2004  |  IP: Logged

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