Every 1% increase in GDP is expected to equal roughly 1.8 million new jobs.
Every 1% increase in GDP is expected to equal roughly 1.8 million new jobs.

China Jobless Rate Lowest in Years, But Challenges Persist

China Jobless Rate Lowest in Years, But Challenges Persist

China’s unemployment rate has hit its lowest point in multiple years at 3.95% by the end of September, but employment still face challenges as the economy pushes ahead with structural reforms, China’s labor ministry said on Sunday.
The ministry of human resources and social security said in a statement that 10.97 million new jobs had been created in China from January to September this year, a growth of 300,000 compared with the previous year, Reuters reported.
The figure represents having essentially fulfilled the ministry’s year-end target, the ministry said in a pre-prepared statement given to reporters. Despite being ahead of schedule, Yin Weimin, head of the ministry, told reporters that “raising the capacity to employ workers overall still faces large pressures”.
“We need to create 15 million jobs per year,” Yin said, singling out China’s more than eight million new university graduates that enter the job market each year as one group in need of additional employment.
Yin also said the low unemployment rate in the face of an overall slowdown in the economy was largely due to the new Internet economy and entrepreneurship, adding that the ministry would actively support startups to help them “thrive”.
From 2015 to 2020 every 1% increase in GDP is expected to equal roughly 1.8 million new jobs, Yin said.
Premier Li Keqiang said in March that China added 13.14 million new urban jobs in 2016 and aims to add another 11 million this year while keeping the registered unemployment rate below 4.5%.
The labor ministry’s announcement was made as part of a once-ever-five-years congress of the ruling Communist Party, which opened last Wednesday and runs until Tuesday.
At the congress, the Party sets broad policy directions and reshuffles top leaders. As China’s economy slows, Beijing has made increasing efforts to stave off mass unemployment that may spark social unrest. China’s official unemployment rate has remained generally stable as economic growth has dipped to a 26-year low and the government forges ahead with ambitious plans to cut back on industrial capacity.
Many analysts say, however, that the government figure is an unreliable indicator of national employment conditions as it measures only employment in urban areas and also doesn’t take into account the millions of migrant workers that form the bedrock of China’s labor force.
On an annual basis, the official unemployment rate was last below 4% in 2001, when it was 3.6%, according to data from the National Bureau of Statistics. The rate ended 2016 at 4.02% after not budging from 4.1% from 2010-2015.
The government has said that some sectors, especially those targeted by capacity cuts, such as coal and steel, still show signs of unresolved employment challenges.
The ministry of human resources in April said that China would need to resettle about half a million workers that lose jobs in the coal and steel sectors this year and will speed up development of a “black list” system for firms with wage arrears.

Short URL : https://goo.gl/RgDCzJ
  1. https://goo.gl/Lm6QKg
  • https://goo.gl/f4BD4B
  • https://goo.gl/QKcntq
  • https://goo.gl/4cjh8T
  • https://goo.gl/enZBMU

You can also read ...

Philippines Growing Faster Than Expected
The Philippine economy grew at a faster than expected 6.9%...
The British economy will hardly expand 0.3-0.4% per quarter through to June 2018, with growth of 1.5% this year and 1.3% the next.
British economic growth will remain tepid over the coming few...
Italy Braces  for $1b Loss
Italy’s failure to qualify for the 2018 football World Cup in...
Siemens to Cut 6,900 Jobs
Labor unions have reacted angrily to layoff plans unveiled by...
The rupee, bonds and stocks rallied after Moody’s upgraded India to Baa2 from Baa3 and said reforms being pushed through by Modi’s government will help stabilize rising levels of debt.
Forget India's economic troubles this year. Moody's thinks...
Cheap ECB Cash Still Key for Eurozone
The eurozone economy remains dependent on cheap credit and the...
Smaller increases at the gas pumps helped Canada’s  annual rate of inflation ease in October.
Canada›s rate of inflation came in at 1.4% on a year-over-year...
IMF Sees Economic Revival in Myanmar
The International Monetary Fund on Friday forecast an economic...

Add new comment

Read our comment policy before posting your viewpoints

Enter the characters shown in the image.