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Supply of migrant workers to Chinese cities drying up

June 19, 2007 00:00:00


BEIJING, June 18 (CEIS): The supply of migrant workers to Chinese cities is drying up, according to a new survey conducted by the Development Research Centre of the State Council.
The survey, which covered 2749 villages in 17 provinces and autonomous regions, said in 74 per cent of villages there were no longer any workers available who could go and work in distant cities.
Government estimates suggest that around 120 million migrant workers have moved to cities in search of work, and another 80 million are working in small towns.
A report from the Chinese Academy of Social Sciences (CASS) predicts that the Chinese economy now faces an imminent labor shortage. According to the research, labour could be in short supply by 2009 even in the countryside. This is likely to trigger wage rises across the board.
The State Council survey appears to confirm these findings.
Already a labour shortage in some of China's booming cities is putting pressure on wages for certain types of jobs such as construction workers, electricians and skilled technical workers.
The average monthly income of migrant workers was 953 yuan (125 US dollars) in 2006, an increase of 22 per cent over 2003.

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