Increased salary influences OEM shoe company in the Pearl River Delta

In the investigation, the reporter found that Foxconn’s substantial salary increase directly affected the OEM companies in the PRD.

In Houjie Industrial Park in Dongguan, Yang Jin, director of personnel at Haocheng Footwear Co., Ltd., told the China Economic Times: “Whether or not Foxconn raises pay, other foundry companies must raise their salaries. .

Take Yang Jin’s shoe-making company as an example. In order to recruit workers, the wages of ordinary workers last year reached 1,200 yuan and the wage of skilled workers was 2,000 yuan. Yang Jin said: "From the second half of last year to now, companies are constantly increasing their salaries. Now the wages of skilled workers have reached about 2,500 yuan, and 3,000 yuan are still there, but they still can't recruit workers."

A survey conducted by the Hong Kong Chinese Manufacturers' Association and the Hong Kong Trade Development Council on Hong Kong companies in the Pearl River Delta recently revealed that out of the 160 Hong Kong enterprises surveyed, 150 or more than 90% of Hong Kong enterprises have encountered labor shortages. If the rate of absenteeism is estimated, the overall number of missing workers is 29,517, accounting for 20.8% of the total number of 160 Hong Kong enterprises in the Pearl River Delta, which is an average of 197 workers per company.

According to industry insiders, at present, the pattern of supply and demand in the labor market in China is undergoing a fundamental change: surplus rural labor has changed from unlimited supply to limited surplus, and the era of continuous supply of labor from the countryside without increasing wages has passed.