Home >

Shoes And Clothing Enterprises Have Become The Established Facts For The Labor Force To Pay Higher Costs.

2011/11/16 13:44:00 17

Industry Wage Economy Shoes And Clothes

A few days ago, the Ministry of human resources and Social Security announced that as early as the beginning of November, including Beijing, Tianjin,

Shanxi

21 provinces and municipalities have raised the minimum wage standard, with an average increase of 21.7%.

Up to now, 25 provinces have issued the 2011 annual salary guidance line, with a baseline of more than 14%.


For ordinary people, the news of salary increase is undoubtedly a good news, but for enterprises, raising the minimum wage standard is undoubtedly a big challenge.

This is reflected in small and medium-sized enterprises and some low income.

industry

China is particularly obvious. They have been greatly affected by the rising wage trend.


In recent years, OEM enterprises in coastal areas have been able to survive the financial crisis, and then have encountered the problem of rising raw material prices, labor shortage and exchange rate fluctuations.

The business life is really bad.

The news released by the Ministry of human resources reflects the survival situation of a number of enterprises from the side. For those enterprises that make foreign trade export orders, it is difficult for them to cope with the weak global market demand.


This situation is particularly prominent in the footwear industry.

Faced with a series of pressure, the owners are afraid to take care of others. They are thinking about how to keep their profits. Even if they do their best, they should use various ways to digest the cost.


According to the common sense of economics,

shoes

The appropriate salary increase in the manufacturing industry such as clothing can stabilize a group of skilled skilled workers, and the orders taken by enterprises can also be pferred from middle to low grade to medium and high grade products, so that the profits of enterprises can grow synchronously.

In the long run, the biggest advantage of rising labor prices is to promote enterprises to move towards a higher level of pformation, or to raise production levels, or to integrate and extend existing industrial chains. In any case, the purpose is to urge enterprises to rely more on technological progress and technological innovation to enhance their competitiveness, so as to realize the upgrading of the whole industry and eventually pform China's existing economic growth mode.


This is probably a major factor for policymakers to take a positive attitude towards raising wages in the fact that China's footwear industry is generally at a low level.

But raising the minimum wage also has another effect.

At present, when the supply of domestic labor exceeds demand, wage increases will probably result in the fact that a part of the labour force can not get employment, thus causing the actual unemployment rate to rise.

Therefore, it is also different from the perspective of salary increase.


As far as the current situation is concerned, it is a fact that enterprises pay higher cost for labor force.

We can only appeal again: after the minimum wage adjustment, we hope that the government can appropriately reduce some of the tax burden on those small and medium-sized manufacturing enterprises in distress, at least should enable them to operate normally and not bankrupt.

  • Related reading

Analysis Of The Fact That The Footwear Industry In Wenzhou Is Affected By The Credit Crunch

Footwear industry dynamics
|
2011/11/16 13:41:00
23

Brand Extension Is A Normal Development Of Footwear Industry To A Certain Stage.

Footwear industry dynamics
|
2011/11/16 13:30:00
16

Global Footwear Output Is Expected To Reach 20 Billion In 2011.

Footwear industry dynamics
|
2011/11/16 13:33:00
17

Exploring The Way To Break Through The Shoe Terminal Market In The Era Of Meager Profit

Footwear industry dynamics
|
2011/11/16 9:47:00
19

Domestic Outdoor Footwear Diversification And Popularity Trend

Footwear industry dynamics
|
2011/11/15 15:33:00
23
Read the next article

Raw Material Prices Plunged Sharply &Nbsp; Why Did Winter Clothing Prices Rise?

The price of clothing raw materials (cotton) has jumped sharply since the second half of last year. However, I visited Beijing's stores to find that the price of winter clothing is still rising this year.