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Labor shortage expected to hit after Spring Festival (2)

By Zheng Caixiong in Guangzhou  (China Daily)

10:19, February 01, 2013

"The rise in minimum wage will help make Guangdong a more appealing destination for migrant workers from around the country," Ou said, declining to reveal details on the rise in minimum wages.

"We are conducting research and working out the plans (for the minimum monthly salary adjustments)," Ou said at a news conference this week during the annual session of the province's legislative body.

Insiders estimated the province's minimum wage hike will be around 10 percent this year.

Currently the minimum wage in Guangzhou, capital of the province, is around 1,300 yuan ($210) per month.

Jiang Jingfa, a senior executive from Guangzhou Genox Recycling Technological Corp, said he felt it was more difficult to recruit new staff this year.

"The average monthly salaries of my workers has reached about 4,500 yuan, but I will have to provide about a 10 percent raise in salaries to retain skillful workers this year," he said.

Yao Shiju, who runs a paperboard factory in Foshan's Nanhai district, said the increase in workers' wages and further improvement of their welfare and treatment are essential to recruit new employees and appease the old ones.

"I will adjust the workers' salaries after the Lunar New Year," he said.

"Many companies in Nanhai district that used to offer meager salaries to workers have closed down because they failed to recruit enough workers," Yao added.

Chen Xiaozhen, a migrant worker from Sichuan province, said the current minimum salary in Guangdong is not the highest on the mainland.

"Many migrant workers choose to leave Guangdong when they find it difficult to afford the rising cost of living because of their low incomes in the province," she said.

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