Layoffs in China are expected to impact millions of workers in the coal and steel industries over the next few years. China said about 15 percent of its industrial workforce will be laid off in order to deal with an overcapacity of workers while the state’s growth slows in heavy industry.
Reports Reuters news service on Feb. 29: “Yin Weimin, the minister for human resources and social security, told a news conference that 1.3 million workers in the coal sector could lose jobs, plus 500,000 from the steel sector. China's coal and steel sectors employ about 12 million workers, according to data published by the National Bureau of Statistics.”
“This involves the resettlement of a total of 1.8 million workers,” Yin said. “This task will be very difficult, but we are still very confident.”
The socialist state said they will allocate the equivalent of $15 billion to deal with the expected unemployment – and potential social unrest from the elimination of jobs. While Yin indicated the number of layoffs in China would be closer to 2 million, other sources reported on by Reuters have pegged the anticipated job losses at closer to five to six million.
Adds the Business Insider: “The world's second-largest economy grew 6.9% in 2015, the weakest in 25 years, and the government aims to achieve economic growth of 6.5 to 7% in 2016.”
“The economy faces relatively big downward pressures and some firms face difficulties in production and operation, which would lead to insufficient employment,” Yin said.
source : http://www.examiner.com/article/china-layoffs-5-million-across-all-state-controlled-industries-to-lose-work?cid=sm-facebook-030216-9.00am-ChinaLayoffs
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