China’ s Labor Market and Proactive Employment Policy

2. The labor market and employment situation improved

• ---- Total employment increasing continually
• Chart 2. Changes in the number of employees I
• n urban and rural areas
• (Unit: 10,000 people)

• 71394

• 72085

• 73025

• 73740

• 74432

• 75200

• 75825

• 69000

• 70000

• 71000

• 72000

• 73000

• 74000

• 75000

• 76000

• 1999

• 2000

• 2001

• 2002

• 2003

• 2004

• 2005

• ----Employment structure improved
• Chart 4. Employment structure of primary,secondary and tertiary industries
• in 1990 in 2005

• primary

• industry,

• 60.10%

• secondary

• industry,

• 21.40%

• tertiary

• industry,

• 18.50%

• In 2005

• primary

• industry,

• 44.80%

• secondary

• industry,

• 23.80%

• tertiary

• industry,

• 31.40%

• ----Unemployment rate decreasing slightly
• Chart 5. Registered urban
• unemployment rate, 1990-2006 (%)

• ----Income of urban and rural residents rising
• Chart 5. Income of urban and rural residents,
• 1990-2005(Unit:yuan)

• ---- Improving the public employment service system, and fostering and developing the labor market
• Return

II. The disadvantages and advantages in the labor market and employment

• 1. Challenges and Problems
• 2.The opportunities and advantages

Challenges and Problems

• ---The contradiction between overall supply of and demand for labor is sharp
• ---The problem of structural unemployment, characterized by a mismatch between the quality of the Chinese labor force and job requirements, is becoming more and more conspicuous.
• ---The problem of the employment of young people
• ---There are now 150 million rural surplus laborers who need to be transferred.
• ---Over 11 million unemployed and laid-off persons who need to be employed or reemployed.
• --- How to improve the quality of employment is a problem.

2.The opportunities and advantages

• ----The economy keeps developing in a sustained, rapid, coordinated and healthy way.
• ----The Chinese government pays close attention to the problem of employmen.
• ----After many years of exploration and practice, the general policy for solving the employment problem has been settled.
• ----The implementation of the strategies for promoting the coordinated development of different areas.
• ----With the in-depth implementation and improvement of various policies for increasing employment.
• RETURN

III. The strategies and policies for improving the labor market system and promoting employment

• 1.The major goal for the labor market and employment should be set
• 2.Major policies and measures should be exercised

1.The major goal for the labor market and employment should be set:

• to increase the posts of employment in large numbers through developing the economy and improving its structure
• to create a better environment for workers to choose jobs on their own
• to control the unemployment rate and average unemployment cycle within limits the society is able to bear