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Chinese investeerders overspoelen wereldmarkt

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Chinaworks.be: 16 juni 2010

We lezen op www.tijd.be:

 

Chinese investeerders overspoelen wereldmarkt

 


Enkel de allergrootste beleggers laten in hun kaarten kijken. De beheerders van de circa 2.000 miljard euro aan Chinese valutareserves maken allerminst een geheim van hun beleggingsstrategie. Zo veel mogelijk kopen, volgens het systeem van de schildpadeieren.
 
 

 

Neen, China is niet van plan Griekse overheidsobligaties te kopen’, zei een adviseur van de Chinese economische autoriteiten begin dit jaar. Hij ontkrachtte de berichten dat China klaar zou staan om voor 25 miljard euro Griekse schulden te kopen: ‘Waarom zouden we? Dat is toch idioot. Laat de Europese regeringen en de Europese Centrale Bank Griekenland maar redden.’

Gisteren streken de Chinezen dan toch neer in Griekenland, meldde Financial Times. Met honderden miljoenen euro’s, klaar om te investeren in scheepsbouw en vastgoed. Van gedacht veranderd? Zeker niet. China blijft weigeren zijn geld te steken in Grieks overheidspapier. Maar op andere terreinen zien de Chinezen nog heel wat mooie investeringskansen.

China zit boven op een hele hoop geld. De voorbije jaren heeft het land door massaal te exporteren een valutareserve van zo’n 2.000 miljard euro bij elkaar geraapt. En dat geld investeert het steeds vaker in het buitenland. Volgens recente cijfers hebben de Chinezen het voorbije decennium in meer dan 100 verschillende landen investeringen gedaan.

 

 

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No social stability without labor protections

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Chinaworks.be: 15 juni 2010

We lezen op www.cmp.hku.hk:

 

Column by Yu Jianrong

"No social stability without labor protections"

CMP FELLOW
COLUMN
Yu Jianrong
Yu Jianrong
Posted on 2010-06-15

On May 29, the All-China Federation of Trade Unions said in a policy “opinion” that it would further expand protection of the legal rights of workers and intensify development of “harmonious labor relationships” in order that China’s workers could live with greater dignity, and that the stability of labor teams and of society could be promoted more effectively.

This should be the first time that the ACFTU has linked together social stability and the protection of the legal rights of workers and the dignity of workers. And it should also be the first time the ACFTU has defined the idea of letting workers live with dignity as an important work objective of trade unions at various levels. This is a sign that China’s labor organizations and their leaders have finally admitted openly something that has become basic common knowledge — workers cannot have dignity without the protection of their legal rights; and when workers are allowed no dignity, there can be no guarantee of social stability.

 

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China's labour market

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Chinaworks.be: 15 juni 2010

We lezen in The Economist:

 

Socialist workers

Is China’s labour market at a turning-point?

 

ON JUNE 7th strikers at a rubber factory near Shanghai clashed with Chinese police. “The smell from the rubber is unbearable,” a migrant worker told the South China Morning Post, “but we don’t even get a toxic fumes subsidy.” On the same day Honda suffered a strike in a factory that makes its mufflers and exhaust parts, less than a week after it settled an earlier dispute by offering a 24% pay rise. On June 6th the owner of Foxconn, an electronics-maker, said that workers at its Shenzhen complex could earn 2,000 yuan ($293) a month from October if their work was up to scratch, about double the basic pay it previously offered, following a string of widely publicised suicides.

China is known for its plentiful, pliable workers. But these incidents have cast doubt on that caricature. In March Arthur Kroeber of GaveKal Dragonomics, a consultancy, declared the “end of surplus labour” in China. Three years earlier, Cai Fang of the Chinese Academy of Social Sciences argued that China, a country of 1.3 billion people, would soon run short of workers.

China’s labour supply is still growing. Its working-age population will increase from almost 977m in 2010 to about 993m in 2015, according to projections issued in December by the US census bureau (see left-hand chart). But the number of youngsters (15-24-year-olds) entering the labour force will fall by almost 30% over the next ten years. These projections reconcile the results of a full census in 2000 and a mini-census in 2005. They differ from the calculations reported in this newspaper on September 6th 2008 (“Reserve army of underemployed”), which suggested that the supply of twenty-somethings would not peak until after 2015.

 

 

The assumption goes back a long way. In 1954 Sir Arthur Lewis, a development economist, noted Asia’s overmanned farms, its surfeit of dockworkers and petty traders, and “the young men who rush forward asking to carry your bag”. He concluded that “over the greater part of Asia, labour is unlimited in supply.” Islands of capitalism existed amid a sea of subsistence labour. For as long as that were true, the capitalist enclaves could grow without wages rising: they only had to offer workers a little more than could be scraped together in the vast economic hinterland. But eventually, the economy would reach a turning-point. The capitalist enclaves would reach so deeply into the country’s pool of labour that the remaining supply of farmers, traders, dockworkers and bag-carriers would fall short of demand. At this point, the economy could not grow without wages rising.The ageing of China’s labour force matters, because older workers are less willing to move to the coastal factories that depend on migrant labour. Mr Cai has calculated that 24% of villagers aged 16-30 migrate, compared with only 11% of those in their 40s. “For years, businesses have simply assumed that China has an unlimited supply of young people who can be had for modest wages and replaced at will,” Mr Kroeber writes.

 

Mr Cai believes China has already reached this “Lewisian turning-point” and that its arrival can be seen in more assertive workers and wage rises. As Mr Cai and his colleagues wrote presciently last year, the turn “enhances the labourers’ right to speak in the labourer-employer negotiation because labourers can impose stress on employers through voting with [their] feet.” The pay hikes won by labourers at Honda and Foxconn are unusually big. Some cities, such as Beijing, have announced increases in their minimum wages of up to 20%. If wages continued to rise at this pace, it would mark a hairpin turn in China’s labour market.

Such an abrupt change is hard to explain by demography alone, however. The supply of mobile youngsters may be about to fall but it is still higher than it was five or ten years ago, when the cohort of youngsters was unusually small. This baby bust was a demographic echo of the rural famines that haunted China from 1958 to 1961, reducing the size of the cohort that would have been their parents (see right-hand chart).

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Labor unrest

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Chinaworks.be: 15 juni 2010

We lezen op www.peopledaily.com.cn:

 

Labor unrest in China reflects changing demographics, more awareness of rights

China has been hit with a recent wave of labor unrest, including strikes and partial shutdowns of factories, underscoring what experts call one of the most dramatic effects of three decades of startling growth: A seemingly endless supply of cheap labor is drying up, and workers are no longer willing to endure sweatshop-like conditions. 

 

China's export-driven growth has long been linked to its abundance of workers -- mostly migrants from the impoverished countryside who jumped at the chance to escape a hardscrabble rural life to toil long hours in factories for meager wages. 

If they were unhappy, they rarely expressed it through action, and if they did, they were quickly fired and replaced from among the hundreds of others waiting outside the factory gates. Now all of that has started to change. 

Shifting demographics, including years of effective population control through the government's "one child" policy, have left China short of younger workers, particularly in the crucial 15-25 age group that many factories rely on most. These young workers don't have to travel far from home like their parents did to find work. They are more aware of their rights. And having grown up in a more prosperous China, they are demanding a fairer share. 

"The first generation of migrant workers made a lot of money compared with their poor life before," said Cai He, dean of sociology at Sun Yat-sen University. "But right now the majority of migrant workers are in their 20s. They were born in the 1980s. Most of them have no farming experience" and "are more sensitive to the disparity between the wealth of the city and their own poverty." 

Cai added: "The younger people received a better education. They surf the Internet, use mobile phones and watch TV. Their awareness of their rights is much stronger than the older migrant workers." 

These young workers are asserting those rights in the form of work stoppages, slowdowns and demands for higher wages and shorter hours. The unrest was highlighted by a strike that began May 17 at Honda's transmission factory in the city of Foshan, where hundreds of workers walked off the job. The Japanese carmaker had to shut its four assembly plants in China. Around the same time, the Taiwanese-owned Foxconn electronics plant in Shenzhen, which assembles Apple iPhones and iPads, was struck by 10 suicides among its workers and three suicide attempts, which labor activists blamed on the stress of long overtime hours. Bus and taxi drivers also have staged strikes this year, affecting tens of thousands of passengers. The recent cases -- particularly the Honda strike -- are also noteworthy for receiving extensive coverage in the Chinese media. While labor unrest has become increasingly common across China in the past two years, experts said, most incidents typically go unreported. "We're having major problems with labor unrest right now," said Sunil Balani, a Hong Kong-based businessman who exports garments to Europe from Chinese factories. "Some of our factories are running 30, maybe 40 percent empty at times." Although the Honda and Foxconn plants are in southern China, Balani said that most of the five plants he subcontracts are in the north and that "they're still facing the same problem," indicating widespread unrest . In mid-2008, China introduced a labor law that allows workers with grievances to file complaints and opens a new mechanism for mediation. Publication of the law probably made workers more aware of their rights, experts said. Since the law went into effect, the number of known complaints has doubled to about 700,000, and they "are going up even faster now," said Mary Gallagher of the University of Michigan, an expert on Chinese labor. Businessmen and academics predict that the wave of unrest would probably increase, mainly because of China's shifting population trends. 

"This is the thin end of a very long wedge," said Arthur Kroeber, managing director of GaveKal-Dragonomics, a research firm. He said the number of 15- to 24-year-olds in China is set to fall by one-third over the next dozen years, from 225 million today to 150 million in 2022. 

Kroeber noted that as the number of young workers declines, the number of factories needing laborers has increased rapidly. "This is the beginning of a long process in which bargaining power is going to shift from the company to the workers," he said. The labor unrest poses an acute challenge to China's ruling Communist Party and a dilemma for the All-China Federation of Trade Unions. That group, China's only officially sanctioned union, is supposed to represent workers but in practice has worked more as a partner with the government to enforce labor discipline and keep production high. 

Zhang Jianguo, a top official with the federation, said the reason for the current unrest is the huge income disparity in China. He said the portion of the country's gross domestic product that has gone to wages has declined by almost 20 percent in the past two decades. But some say China's official union is itself part of the problem. "The labor union should promote fairness in society instead of promoting economic development," said Lin Yanling, a professor at the China Institute of Industrial Relations. "But in China, the labor union doesn't do that." 

Source: Washington Post

 

 

Wen Jiabao: better living conditions for migrant workers

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Chinaworks.be: 15 juni 2010

We lezen op www.xinhuanet.com:

 

Chinese Premier calls for improving migrant workers' living conditions in cities

 
 

BEIJING, June 14 (Xinhua) -- Chinese Premier Wen Jiabao has called for improving the urban living conditions for migrant workers who left their rural hometowns and are significantly contributing to the country's urbanization.Wen made the his remarks at the start of the three-day holiday for the Chinese traditional Dragon Boat Festival on Monday during his visit to a local community and a construction site on Beijing's line 6 subway.

 

Wen noted that government officials, as well as all members of society, should treat young migrant workers as their own children, adding that the migrant workers' contribution to the growth of the country's wealth and the building of urban skyscrapers should be respected, Wen said when meeting migrant workers at the subway construction site.

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