Latest News:  
Beijing   Overcast/Cloudy    28 / 22 ℃  City Forecast

Home>>China Society

Wage growth slows amid economic uncertianty


08:18, June 26, 2012

More than one-third of China's provincial-level governments have released wage growth targets for workers this year, with most of them trimming salary increases as companies face decreasing profits amid a slowing economy.

Of the 12 local governments that have released wage plans, most have targeted 14-percent wage growth this year, the Economic Information Daily reported Monday.

However, the growth target was off the pace of wage increases earned by workers in many jurisdictions last year. The target set in Hebei and Shaanxi provinces and Shanghai this year were as much as 3 percentage points lower than last year, the report said.

Analysts say the downshift shows local regions are cautious in regulating wage growth as the economic outlook for this year remains uncertain.

Government data show that profits from the nation's state-owned enterprises fell 10.4 percent year on year to 830.13 billion yuan (133.56 billion U.S. dollars) in the first five months of this year.

"Overly fast wage increases will push up costs for enterprises, and may create challenges for the operation of small and medium-sized companies," said Yang Liming, a labor and wage researcher with the Ministry of Human Resources and Social Security.

Yuan Lei, an economist with the Chinese Academy of Social Sciences, said China's exports may slow further this year amid a weak global economic recovery, which will create even greater pressure on export-oriented companies to curb the pace of wage increases.


Leave your comment0 comments

  1. Name


Selections for you

  1. Flood hits S China

  2. The vanishing views

  3. "Running on high heels" race held in Romania

  4. Euro 2012: Italy beats England 4-2

Most Popular


  1. Property necessary pill for economy
  2. Chinese banks must go global
  3. Putin's visit to Israel more symbolic than strategic
  4. Syria's new government faces escalation of tension
  5. Trade is tool to fix global economy
  6. Skyscraper frenzy brings loan risks to new heights
  7. China to 'maintain 8% growth for over 20 years'
  8. Larger labor force not a panacea for pension woes
  9. "China Containment theory" has no market
  10. Benefits of direct yen-yuan may be few, far between

What's happening in China

Breathtaking glacial sceneries in Tibet

  1. China's oil production slightly down in May
  2. Heavy rains continue to wreak havoc
  3. Banks move to smart cards
  4. Man foils kidnapping attemp
  5. Digging for clues in ancient Qin

China Features

  1. Eurozone should move forward or it will fall over
  2. Food safety rumors have significant social impact
  3. Life in drug rehabilitation center in Hebei
  4. China's first private Perfume Museum
  5. Mengshan Mountain Giant Buddha

PD Online Data

  1. Spring Festival
  2. Chinese ethnic odyssey
  3. Yangge in Shaanxi
  4. Gaoqiao in Northern China
  5. The drum dance in Ansai