Today in China

Any western visitor in China will be amazed about the number of small jobs in the streets, shops, restaurant, etc. Some might even think that the system is good for fighting unemployment rates. And it’s true, till a given extent.

A recent survey showed that 80% of the private enterprises in China have not signed contracts with their employees. 80 percents!!! This means that those employees can be fired without notice, do not benefit any right to medical treatment, and do not receive pension fund contribution from their employers.

And for the 20% remaining enterprises, some only state the obligations of the employee and the rights of the employer. Some even state that the enterprise will not be liable in case of illness or death of the employee, even when injuries occur in the workplace.

Besides contracts there are also other issues such as salaries lower than the minimum wages, late payment and employers refusing to provide an insurance.

This situation is due to the growing unemployment rate in the major cities and the 150 million surplus workers in countryside.

Do you need a last example to understand the situation better? The All-China Federation of Trade Unions shows that more than 100 billion Yuan (US$12.1 billion) was owed in unpaid wages to migrant laborers in China last year.

On a positive note, the Chinese Government knows that there are big issues in China and the media talk more and more about it. This news made the first page on China Daily.

Links
China Daily - 2005 12 29
The All-China Federation of Trade Unions and its work