Compared with stable government employment, xiahai means big risks. For the 1,339 cadres in Yushu City of Jilin Province, however, it turns out to be a frolic in the surf thanks to the "life buoy" thrown to them.

It is courtesy of a new municipal government policy. Early last month, the cadres, including 44 municipal-level government officials, left their positions and were transferred to the business sector.

They were sent to the front line of economic development -- as local decision-makers claimed -- to accumulate experience in developing the market economy, according to a China Youth Daily article.

But while doing their own business, they still get paid by the government -- their positions and welfare packages are kept intact.

If they prove to be skilled in business, they can choose to stay in the "sea." Those who cannot survive in business can go back to their original posting after a one-year term.

For whatever purpose, the first result of the policy is the withdrawal of cadres on a big scale, about 30 percent of the total.

This surely leaves people in doubt -- is the government's daily operation being affected? Local decision-makers say "no." They have enough potential staff members to fill any vacancies.

But it exposes a serious problem: swollen government bodies, which are, in fact, the real reason behind the xiahai move, as admitted by local decision-makers.

Yushu is not unique in having redundant government employees. Over the past five years, there have been several rounds of institutional restructuring.

The result is not satisfactory, although great achievements have been made.

The pressure is acute for further government restructuring.

The well-intentioned policy in Yushu, however, is likely to create negative results.

The biggest worry is that some officials-turned-business people may use their influence to expand their own interests.

Local decision-makers argue that they will work on supervision measures, but the efficiency of supervision is in serious doubt since there are so many loopholes and they are so big. The principle of cutting redundant government employees is to keep the most competitive ones, but Yushu's practice cannot achieve that goal.

How will local decision-makers deal with the situation when their workers return from the "sea" and the replacements are in their positions?

Furthermore, it is ridiculous for State revenue, partly coming from tax-payers' money, to be used to pay for people who are not even working for the government.

(China Daily April 11, 2003)