Guangdong labour shortage may top 1 million after new year holiday

04/02/2013
According to the Human Resources and Social Security Department of the provincial government in Guangdong, labour shortages in the province’s manufacturing centres, which include high numbers of tanneries, as well as leathergoods and footwear manufacturers, are likely to worsen after the upcoming Lunar New Year holiday.

It said more than 60% of factory workers in Guangdong are migrant workers, putting the total number of those who have travelled to the southern province from other parts of China to work at more than 10 million people. These workers are travelling to their home provinces for the holiday.

For some time, the department has said, Guangdong’s manufacturing sector has been operating with a labour shortage of around 400,000 workers, but it believes this total will rise to 1 million or even 1.2 million at the end of the new year celebrations because around 10% of the workers they have questioned have expressed no desire to return when the holiday is over.

The authorities have said the demand for labour is going up because of growth in the Guangdong economy. They are considering an increase in minimum wage and demanding improvements in workers’ living conditions to attract more workers to the region.