Imperfect insurance causes labor shortfall
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With 900 million farmers and surplus labor force of 150 million in rural areas, China has once again suffered from a labor shortage despite the fact that the financial crisis has not yet dissipated. In fact, officials in Sichuan, Guizhou and Chongqing are still concerned about how to arrange the return of jobless migrant workers due to the economic downturn at the beginning of this year. However, Chinese employers in the eastern areas seem to be unable to recruit enough new hands to accommodate the increasing demand for labor.
From the shortage of labor force in the eastern region, we can see that the Chinese economy is beginning to recover. In addition, we can also see that the farmer-turned-workers have become more focused on their basic rights and requirements instead of just working for money.
Farmer-turned-workers began to appeal for their rights
In the first half of this year, the Chinese economy had a good recovery. However, the labor shortage soon emerged in the eastern coastal areas, including Guangdong and Zhejiang. Instead of technical and skilled staff, a common farmer-turned-labor force became urgently needed.
Why did the migrant workers leave Guangdong and where did they go? Sichuan is one of the major sources of migrant workers in China, and we can find reasons from the experiences of the returned workers there.
Mo Yong and Mo Jun are brothers, both born in the 1990s. They went to Shenzhen, Guangdong in October 2008 and found jobs there, with a monthly salary of 1,400 yuan (US$205). But the two young men left for Sichuan half a year later. They looked for a job in Chengdu, the capital city of Sichuan Province, hoping to learn some practical techniques for their jobs. "Shenzhen is too far away from our home. We can not find the feeling of home although we can earn more there," said Mo Yong.
Luo Shibin, from Jintang County of Sichuan, will not go back to work in Dongguan of Guangdong even though he has not yet found a job in his hometown. "I had been working at a small factory for more than two years and was paid 1,200 yuan (US$176) each month, but I still had no insurance there. I never got a raise and enjoyed no subsidies or welfare," said Luo.
Western development has opened up fresh ground for migrant workers
The western regions have a new look after ten years of development. The GDP of these areas has increased by 11.42 percent annually in the past 10 years, 2 percent higher than the national average.
Domestic and overseas investors believe that the western economy should pick up soon. Industries have been transferring from the east and middle areas to the west and migrant workers that had traditionally traveled eastward can now be locally employed.
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