It’s tempting to think of some oddly appropriate lyric from a pop or rock or folk song or perhaps to wittily adapt such a lyric to use as the title, but this isn’t the China Law Blog. Anyway, this article about migrant workers in Shenzhen not being overly happy with the proposed cut in the minimum wage makes for interesting reading. It seems maybe that the times, they are a changin’, or at least, they’re about to start. I also can’t understand why anybody would consider, considering the inflationary pressures [trying to sound like I know something about economics. Am I succeeding?] China is facing right now, that cutting the minimum wage could be a good idea…. Oh, no, wait, I can think of the reason. Anyway, as it is, migrant workers are finding it tough, and apparently they’re already taking a fairly hefty hit to their quality of life down in Shenzhen:
Earlier Zao did experience some golden times in Shenzhen when his highest payment hit 1,800 yuan (US$238) a month, a fat paycheck compared with other migrant workers. But his good times receded as other electricians thronged into the city, causing Zao’s salary to decline.
And:
Four years ago Xiao Zhang found himself a job as a furniture processor with a salary averaging less than 1,000 yuan (US$132) a month. He too experienced a honeymoon period in the city when his factory was in its heyday: Xiao Zhao was able to send 200 yuan (US$26) home, go skating and surf the Internet. But when the factory’s business began declining consumer goods prices simultaneously began increasing. His salary now scarcely covers bare essentials. Currently he can’t afford to cover his parents’ extra expenses, let alone his own entertainment.
Wow. Those “highest” wages sound extraordinarily low for Shenzhen, and yet those were the golden times for those two. But how about this:
Xiao Lu has not made a final decision yet. Several days ago a friend called her from home and reported that salaries there were comparable to what she currently earns in Shenzhen. This news has made the migrant woman hesitant — should she remain in the city or to go back home? “I can’t live in Shenzhen all my life. I need to go back home sometime. Maybe in the next fortnight, if I still cannot find a job here, I’ll leave the city,” Xiao Lu said.
So, if wages in areas with lower costs of living and family and friends nearby when help is needed are starting to approach wages in Shenzhen, cutting Shenzhen’s minimum wage really does not sound like a good idea. Especially considering this:
Shenzhen is in continuous need of migrant workers but salaries simply are not competitive. On August 8, a few days after the city’s baffling announcement of its salary adjustment, Guangdong Province revealed a counter plan that would raise the lowest minimum wage standards starting next year. Government officials have declined to disclose specific rates.
All very interesting.
I would have entitled it: “When it costs too much to build it at home
You just build it cheaper someplace else,” from Dylan’s Sundown on the Union.
Excellent suggestion. That’s why you do the witty adaptations of lyrics and I just scribble the first thing I can think of into the title space.