Local governments, even those with a two-digit economic growth,
may still fail their year-end work assessment if they cannot create
more jobs.
A draft law on employment promotion, discussed yesterday for the
first time at the Standing Committee of the National People's
Congress (NPC), China's top legislature, suggests that a low
jobless rate should be a major index of government performance.
The draft law, tabled at the 26th session of the 10th Standing
Committee, urges governments at all levels to set an unemployment
rate target and nail down the functions and responsibilities of
each department concerned. If the target is missed, causes and
responsibilities should be looked into.
China's current urban unemployment rate is about 4.3
percent.
The draft law asks governments above the county level to
establish an early warning system to prevent and regulate possible
large-scale unemployment, and urges relevant departments to
increase financial input to create more job opportunities.
It calls for favorable policies such as tax reduction to be
adopted to support labor-intensive industries and private
businesses that create many jobs.
The draft also requires governments to support vocational
schools, and employers to launch pre-employment training.
Government-run employment agencies are urged to provide free
services.
Minister of Labor and Social Security Tian Chengping said
yesterday that some local governments perform poorly in employment
promotion, focussing instead on economic growth, which they
consider the most important index if not the only one to assess
their work.
However, figures from the Ministry of Labor and Social Security
show that China faces a serious employment situation.
In the next few years, about 24 million people will enter the
job market each year, including laid-off workers, university
graduates, demobilized servicemen and migrant workers. But under
the current circumstances, only half that number of jobs will be
available.
Apart from the huge imbalance between supply and demand, the
structural imbalance between what is being offered and what is
required is also getting more serious.
Tian said a large number of laid-off workers and migrant people
cannot meet the requirements of employers because they lack proper
vocational training.
"To improve the current situation, a law on employment promotion
is urgently needed," he said.
(China Daily February 27, 2007)