Apr 03 2006
NYT Article: China Labor Shortage
NYT article (c) today on China labor shortage.
Similar article has been reported before. Not sure how much truth to that. However, it seems credible there is an upward pressure on wages.
I have recently read a report on 凤凰 magzine that some cities/regions of Guang Dong has started to crack down on sweatshops: publishing their names, etc. Many reasons were cited: concerns of images, update of production model, etc.
A related article about toy industry groups in US started to promote/impose international labor standards and some Chinese factories are working to get certified, etc.
The NYT article mentioned population cycles and labor force, increased size of middle class, potential demand for foreign goods, improved rural conditions, etc.
Not sure what to believe: is inflation also a concern? labor resource exhausted and people see diminished returns in participating in work force? How about urban unemployment and rural underemployment?
Regardless, if the fact stands that there is a genuine labor shortage, it is a big deal indeed.