Staff at all local enterprises, including those companies making losses, should enjoy salary rises this year, according to the Shanghai Labor and Social Security Bureau's latest policy released over the weekend.

The policy suggests the average salary increase will be 11 percent, 2 percent more than last year. The maximum rise will be 16 percent, and the minimum will be 5 percent.

For the first time, the labor authority said companies running at a loss can also increase salaries for their staff members, by 5 percent. The labor bureau said the policy was made in view of economic growth, the consumer price index, labor costs this year and last year's salary levels.

People in public welfare positions, such as those working in communities, are expected to enjoy a salary rise of 100 yuan (US14) each month, from the first half of the year.

A Shanghai Women's Federation survey of 2,000 people working in public welfare sector showed that their average monthly salary was about 859 yuan, only 18 yuan higher than the city's lowest income level announced last September. Among the workers, women earn less than men.

The average annual wage of the people surveyed was about 35 percent of Shanghai's average annual wage.

The city has developed many public welfare positions since 1997, covering the fields of public-area cleaning, green maintenance and public security. More than 260,000 people are now working in these posts.

The labor bureau is considering linking the income growth of such posts with the growth of average social income.

Along with the Shanghai Economy Committee, the bureau released another policy that all industrial enterprises should stagger their holidays from May to October to deal with the power peak during the summer period. Companies whose growth of power consumption is much higher than production growth will be the first to stagger holidays.

(Shanghai Daily April 28, 2008)