Chinese economics

[David5o]

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What Shaun was saying is ''Right'' in a round about sort of way!!! haha!!!

The fact is, the Average monthly salary in China is around a 1000RMB, This neighbour was trying for 1200RMB for just a few hours of her time, ...in other words trying to take advantage!!!

You cannot, in any circumstances compare prices for services in your countries, to those in China, ...It's a totally irrelevant comparison. What is cheap to you, is not cheap in China. I sometimes think that you all forget why our countries ARE expensive, compared to many Asian countries, .......''Everything'' is Taxed up to the Hilt, which means our salaries have to be higher to pay for them!!!! ...haha!!! Now check what sort of taxes the Chinese have to pay?? ....Compared to the west, it's next to nothing!!!


David.....

[ttwjr32]

here in Guangzhou the local govt just raised the living wage which you would say is the equivalant
of our minimum wage to 2800 rmb. so people working here get at least that much each month.

would be interested in knowing if other larger cities do this in China

[David5o]

Ted,

You actually believe that do you ??  Like every employer is going to raise there workers salary by almost 200%!!!!
Have the Restaurants put there prices up 200%, the factories put up the cost of there goods by 200%, Hotel room costs gone up 200 %??..... To name just a few!!  ...No i didn't think so either!! ...hahaha!!!

David.....

[ttwjr32]

 well the living wage here in GZ has been higher  than throughout most parts of China and yes it did
go into effect from 2200 to 2800 and this is for companies that operate here not restuarants so if
your working in an office setting then thats what you get. 

[Alex_Lee]

I think you both wrong, the average monthly salary never could be 1000RMB, the minimum wage in Guangzhou is 1100RMB,
it is latest updated 2010. Still, the level varies among different cities. In canton fair, a translator can make RMB200 to RMB400
per day if she/he helps the Chinese exhibiter. If you works for the foreign buyer, the price is RMB400 to RMB800 one day. In fact,
this price is just for part time college students. I hope this info could help

[shaun]

Peggy tells me that a person needs about 3000RMB a month if the own a home to live comfortably in Shenzhen.  She rents a 1 bedroom loft from her sister.

[David5o]

Ted, Alex,

If you read my post carefully, i stated ''Average'' not ''Minimum.  And that, .... i still stand by for the average Chinese workers in an Chinese average family anywhere in China...

Ted,

How can anyone call what you have described above as the ''New living wage'' ?? (our minimum wage)  If that's what a Chinese worker needs as a minimum to live, then that's what EVERYBODY needs to live, not just office workers.

Nothing is going to change too fast in China, if it did, it would be ruin for the Chinese export market, Which is why all these western companies have set-up factories etc , or are buying Chinese goods and components to sell under there own named brands.

Anyway, what i posted  here on June 02 is, as far as i'm concerned valid/correct....



David....

[Chong]

I think that this has to be broken down by region & employment classification ... and the underground economy has to be consider also.

The standard and cost of living in Beijing/Shanghai is different from Guangzhou/Shenzhen and completely different than here in Kaiping/Taishan.

As families consolidate their living arrangements, the actual salary [ whatever amount it is ] needed is more than enough. Chinese have a high rate of personal bank savings. Older Kaiping residents always brought real estate with cash. Only recently have the banks started offering mortgages ... no doubt catering to the up and coming younger generation who's broke. They spend more than they make or the equivalent of what they earn.

The underground economy ... in Kaiping ... is huge both positively and negatively. Entreprenneurs are wealthly especially the food industry. There's lots of undeclared income. On the other hand, they employed many by paying under the table at low wages. The supply of labour is greater than the demand. Obviously, these people are making nowhere the figures stated above. Many other businesspeople's income are supplemented by bribery handouts ... government employees included in this group also.

[Alex_Lee]

Yes I agree, the situation could be very different. I suppose some of you knew Foxconn, where there are successive suicides that shocked China. After the tragedy happended, the ''Minimum monthly salary has increased to 1300RMB. Yet in some rual areas, the average could be RMB1000 as David said. But 1300RMB in Shenzhen could not maintain a life as good as several hundreds in rural areas.

[RegnisTheGreat]

1100RMB was the base wage at the Foxconn factory. It does not housing (included), food (included), and entertainment (included). Plus you make a lot more in bonuses/overtime.

And there was only 16 suicides this year at Foxconn in Shen Shen, which is not that many.

[Chong]

And there was only 16 suicides this year at Foxconn in Shen Shen, which is not that many.

Hah ... I think "One" suicide is too many.

[RegnisTheGreat]

Yes Chong, I know what you mean. But the reason I said its not that bad is this:

The suicide rate for China is 14 per 100,000 (look it up anywhere). The SZ Foxconn factory employs in the range of 450,000 people. So roughly you're gonna hit about 63 suicides a year. So 16 in about half a year is actually "under-performing".

[shaun]

I think this would be one of the times I would accept under performance.  I wonder if Katie Couric (another western claw digging female) is doing the reporting from there.  It has that all too familiar spin about it being the businesses fault rather than what happens in a segment of people.


It is very sad that anyone commits suicide.

[David5o]

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Chong has it right, and hit the head of the nail with the hammer!!! This is exactly how the Chinese economy and life as a whole works in China for the majority of it's population.

It's no good coming out here and saying, that there is a minimum wage system working in China, because there just isn't !!! And i don't really care what Province or City your talking about, there will ALWAYS be far too many that earn nowhere near any of the figures that are being quoted in this thread.

As Chong, has stated, families will have to combine there earnings to enable them to have a decent roof over there heads and enough food for there needs. They will only buy luxury goods by saving a little each month to pay for them. By the way, anything to do with TVs,  don't seem to come under luxury goods in China, ...to them it's an absolute necessity for all families, even rural families!! ...haha!!

As a footnote, .... Several Chinese workers , male and female, will have two jobs going at any one time. If they manage to make 1200 RMB from those two jobs a month, they will think there doing rather well....

David....

[shaun]

I and not sure I understand everything with this issue.  I get somewhat of a different story from Peggy.  She tells me 3000RMB in Shenzhen.  I will be helping her move to Shaoguan while I am there and she tells me that it will const 2000RMB to live there.  So am I to assume that she is trying to live on a higher standard than the local economy?