Publication: China’s Employment Challenges and Strategies after the WTO Accession
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Date
2005-02
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Published
2005-02
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Abstract
Although China has made impressive progress in economic development and improving social well-being, it is facing many daunting challenges while transforming toward a knowledge and service-based economy and further opening up to international competition after its WTO accession in the context of knowledge revolution. One of the biggest challenges is how to create 100-300 million new jobs in the coming decade to absorb the millions of laid-offs, rural emigrants and newly added labor force. China has been successful in building high-tech parks and ICT industries, but they are limited in terms of employment generation, while most of the traditional labor-intensive industries are losing competitiveness due to low productivity. In order to combat the unprecedented employment challenge, China must implement a systemic and sustained strategy, which may consist of the following policy thrusts: encouraging the private sector; promoting small and medium enterprises; expanding the service sector; reforming the state-owned enterprises; strengthening the social security system; improving labor market flexibility; and establishing mass retraining programs.
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“Zeng, Douglas Zhihua. 2005. China’s Employment Challenges and Strategies after the WTO Accession. Policy Research Working Paper; No. 3522. © World Bank. http://hdl.handle.net/10986/8840 License: CC BY 3.0 IGO.”
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