China News

Labor Department: Increase the speed and the scope of Minimum Wage standard adjustment

The National Labor and Social Security Department of China pointed out on People's Daily News today that, in the recent years, State Council's branches as well as other local government have been raising low-income workers' average income in Central government and State Council's spirit. The approach further stabilized minimum wage standard, increased the minimum wage and helped to promote the continuous increase of workers' average income.

Minimum wage standard is stipulated by the government for enterprises in distributing wages, it is an important strategy, especially for low-income workers to receive a reasonable salary.

The article introduced the perfection development of minimum wage standard in four aspects-----

• Standard will continue to perfect. In March 2004, Labor and Social Security Departments focused on the existing problems in <1993 Enterprise minimum wage regulations>, summarized practice experience, revised and issued <Minimum Wage regulations>.

• Ensure the comprehensive development in all area, including development of regions and human resource.

• Increase the speed and the scope of Minimum Wage standard adjustment. The recent years are China 's fastest and widest development in terms of minimum wage standard. From 1994 to March 2004, the number of minimum wage adjustment in the whole China (districts and cities) is 117. Each province's average number of adjustment is approximately 3.8. As the number of adjustments increases, the standard has been rising as well. In 2006, the minimum wage standard's adjustment in all provinces is about 30 percent, the highest province being 64 percent.

• Further implementation has been amplified and emphasized. In the recent years, with the support of Union and other affiliations, all local labor security departments strengthen its authority in its human resource department's responsibility in overseeing the minimum wage standard conditions. What has improved is also the implementation and stricter approach towards violation cases. Simultaneously, all class of labor department further strengthen the management towards work norm standard, to prevent industries from using approaches such as increasing work norm ,lowering piece-rate wages and etc. to engage in non-compliance to minimum wage standard.

Report says, the development of the four aspects above effectively ensure low-income workers to obtain reasonable wages and basic rights, pursued the continuous growth of workers' average salary which allow all workers to be able to share the results of economic development. These developments also play an important role in minimizing wage distribution deficits, effectively increase consumer demands and function effectively towards social justice as well as promoting economic development and social harmony.

Click Here for the Chinese version