easy2012

25% Pay Rise For Chinese Workers

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Taiwan's Foxconn Technology Group has raised wages by up to 25% for its Chinese workers who assemble electronic gadgets for Apple and other global brands.

Foxconn said its Chinese workers now receive 1,800-2,500 yuan (£180-£250) per month following pay rises which took effect on February 1.

Foxconn employs about one million workers at several massive plants in China.

In 2010, a spate of worker suicides at an enormous Foxconn complex in the southern town of Shenzhen drew attention to the stress many young workers faced working in some factories.

Subsequently, Foxconn then raised its monthly wages from 900 yuan (£90) to up to 2,000 yuan (£200).

I also read about many reports about Generation Y in the emerging world refusing to take up low paid, long hours work (while living off their parents). The tide may be turning (and also end of super cheap goods while MPC find new excuses on why inflation is consistently above the target...)

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When I was in Beijingfiver half a decade ago before the latest bout of inflation the average wage was around 3000yuan a month. Basically what you are looking at here is a move from long hours and slave wages to long hours and low wages.

Generation Y in China isn't telling anyone to bog off, not with astronomical house prices and a rising cost of living.

Edited by FaFa!

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I also read about many reports about Generation Y in the emerging world refusing to take up low paid, long hours work (while living off their parents). The tide may be turning (and also end of super cheap goods while MPC find new excuses on why inflation is consistently above the target...)

That's good then isn't it.

Trade deficits will reduce as the rational for production in China dissipates.

Ben's policy of inflating China will pay off eventually.

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That's good then isn't it.

Trade deficits will reduce as the rational for production in China dissipates.

Ben's policy of inflating China will pay off eventually.

Shame that America is already totally destroyed.

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I also read about many reports about Generation Y in the emerging world refusing to take up low paid, long hours work (while living off their parents). The tide may be turning (and also end of super cheap goods while MPC find new excuses on why inflation is consistently above the target...)

Not really market forces with thousands more turning up for new Foxcom jobs every week than there are jobs. More like the realisation that the slaves might get unruly if they're not given a few more crumbs. That's why the lot of workers usually improves - ruling class fear.

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Main purpose of QE.

Cause inflation worldwide to drive up wages then later wages can also rise in the West and assets don't look as overpriced in relation to incomes. They have to push their wages up first or the West is to uncompetitive. Meanwhile those relying on fixed incomes are totally stuffed, unless interest rates rise as well.

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I also read about many reports about Generation Y in the emerging world refusing to take up low paid, long hours work (while living off their parents). The tide may be turning (and also end of super cheap goods while MPC find new excuses on why inflation is consistently above the target...)

Didn't Scepticus say this would happen. He wrote a post about it about 1 year ago. Can anyone confirm ?

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(£180-£250) per month

So that's the target we need to reach in terms of pay in order to become competitive-- £62.50 a week :lol:

So it's not just flexible labour we need- it's financial contortionists with the ability to pay UK living costs on Chinese wages.

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guess its off to cambodia and chad now for the cheap labour.

it will all end with some mentally ill worker in a jungle somewhere pressing a button for 6 moths a day, and then there will be no-where else to go.

the world is run by sociopaths, the evil bastards

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Didn't Scepticus say this would happen. He wrote a post about it about 1 year ago. Can anyone confirm ?

Yes I can confirm that.

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Yes I can confirm that.

History repeats....of course they will catch up...as any other exploited Country takes up the means of production, its workers then become the neuvoux riche...see..singapore, and any other place that used to produce cheap goods for the West, cheaper than the West could do so.

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So that's the target we need to reach in terms of pay in order to become competitive-- £62.50 a week :lol:

So it's not just flexible labour we need- it's financial contortionists with the ability to pay UK living costs on Chinese wages.

Uk living costs will (comparatively) fall.

The great levelling is inevitable, it will be lumpy and contain periods of discomfort but we will all be better off for it eventually.

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Uk living costs will (comparatively) fall.

The great levelling is inevitable, it will be lumpy and contain periods of discomfort but we will all be better off for it eventually.

A race to the bottom only ends when the bottom is reached- and who knows how deep that hole will be?

The oddest thing about the Globalists is their failure to grasp that a globlaised economy has no 'outside' - so when we- all at the same time- play the supply side game we end up with a world of exporters with no one to export to.

It's important to be competitive- that's true- but it's even more important that there be something to compete for. And that prize would be the disposable income that the supply side geniuses define as surplus fat on the sleek body of the economy. :lol:

So it may well be that when we have all transformed ourselves into the ultra efficient low wage production powerhouses we dream of becoming- we discover that there is no spending power left to absorb the products.

Edited by wonderpup

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So it may well be that when we have all transformed ourselves into the ultra efficient low wage production powerhouses we dream of becoming- we discover that there is no spending power left to absorb the products.

Though surely having everything cheap means you don't need much spending power? That is the nature of efficiency.

Of course the major flaw (one which economists ignore) is that energy and resources are finite. To access new energy (eg hydrogen, solar) or new resources (eg on the moon) requires a heck of a lot of investment.

Edited by Chuffy Chuffnell

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A race to the bottom only ends when the bottom is reached- and who knows how deep that hole will be?

The oddest thing about the Globalists is their failure to grasp that a globlaised economy has no 'outside' - so when we- all at the same time- play the supply side game we end up with a world of exporters with no one to export to.

It's important to be competitive- that's true- but it's even more important that there be something to compete for. And that prize would be the disposable income that the supply side geniuses define as surplus fat on the sleek body of the economy. :lol:

So it may well be that when we have all transformed ourselves into the ultra efficient low wage production powerhouses we dream of becoming- we discover that there is no spending power left to absorb the products.

Wages are just a cost of production like any other. If you wish to compete on the basis of high cost you are very welcome to but you won't get far.

Disposable income is not the goal that is a proxy for production. In order to make a claim on the outputs of production we need to produce things ourselves or produce something we can trade. Otherwise why will those chaps over seas send us the stuff they have made?

Or can we rely on their unswerving loyalty to us the kind and benevolent consumer?

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Though surely having everything cheap means you don't need much spending power? That is the nature of efficiency.

Of course the major flaw (one which economists ignore) is that energy and resources are finite. To access new energy (eg hydrogen, solar) or new resources (eg on the moon) requires a heck of a lot of investment.

"

This.

Resources are the finite factor here. Humans are "making machines" its what we do. When the whole world is making stuff i'm not sure resources will keep up.

Fingers crossed for fusion.

Or massively reduced working hours.

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I also read about many reports about Generation Y in the emerging world refusing to take up low paid, long hours work (while living off their parents). The tide may be turning (and also end of super cheap goods while MPC find new excuses on why inflation is consistently above the target...)

Oh so the entitlement gene isn't isolated in feckless, lazy Western youths after all!?If we're not careful, this could spill out to a worldwide contagion. Obviously we must quarantine this inflexible workforce off (as we did in the west) before it spreads further.

Problem is, where will the free markets go to find their new disciples of hard work and entrepreneurship now? I hear there could be bacteria on Europa, so there's hope yet.

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Oh so the entitlement gene isn't isolated in feckless, lazy Western youths after all!?If we're not careful, this could spill out to a worldwide contagion. Obviously we must quarantine this inflexible workforce off (as we did in the west) before it spreads further.

Problem is, where will the free markets go to find their new disciples of hard work and entrepreneurship now? I hear there could be bacteria on Europa, so there's hope yet.

Wages will be driven up. (unless major african labour markets open up.) This is all good positive stuff. We might get some of our lost industry back.

Good times.

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Oh so the entitlement gene isn't isolated in feckless, lazy Western youths after all!?If we're not careful, this could spill out to a worldwide contagion. Obviously we must quarantine this inflexible workforce off (as we did in the west) before it spreads further.

Problem is, where will the free markets go to find their new disciples of hard work and entrepreneurship now? I hear there could be bacteria on Europa, so there's hope yet.

Don't worry... when the Parent-fare runs out, they will be back to work as they are unable to threaten other citizens to pay for them. Western welfare states operate in a slightly different way, of course.

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So that's the target we need to reach in terms of pay in order to become competitive-- £62.50 a week :lol:

Thats actually higher than large swathes of eastern europe. In provincial Ukriane for example that would be a be a lawyer/doctor/department manager level salary, factory workers would be on much less. Getting "hard work" out of eastern europeans though is like getting blood out of a stone.

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