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Shenzhen to raise minimum monthly pay

(Xinhua)

15:38, November 27, 2011

SHENZHEN, Nov. 27 (Xinhua) -- China's southern economic powerhouse Shenzhen is planning to raise the minimum monthly pay by 15 percent in January 2012 to attract more labor, local regulators said Sunday.

The city bureau of of human resources and social security said the plan would be subject to approval of the city government.

The proposed increase to 1,500 yuan (238 U.S. dollars) for each month is likely to be effective in January, the bureau said. The rise is aimed at attracting workers ahead of the lunar new year holidays when there is often more demand for workforce, the bureau said.

Shenzhen, which borders Hong Kong, raised the minimum monthly pay by 20 percent in April to 1,320 yuan, the highest nationwide.

Severe labor shortages and rising living costs in cities prompted a round of wage hikes last year in China and a new round this year.

Twenty-one provinces and municipalities had raised the minimum monthly pay by 21.7 percent on average by October 2011, Yin Chengji, spokesman of the Ministry of Human Resources and Social Security, said earlier.

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