Average salary in Chinese cities rises by 48 percent in 2015

[beijingwalker]

Average salary in Chinese cities rises by 48 percent in 2015

2015 was a bad year for the Chinese economy – GDP growth slowed to a new low,exports and imports dropped and trillions of dollars evaporated from the stock market, and yet for Chinese employees it was a wonderful year as their average wages rose by almost half, at least according to a jobs website.

Zhaopin.com, one of the largest and most popular recruitment websites in China, released its 2015 winter report on the Chinese job market this week. According to the report, employees in 32 major cities across the country were paid an average of RMB6,070, or HK$7,180, in the fourth quarter of 2015. The number is 48 percent higher than the RMB4,091, or HK$4,823, reported in the same period in 2014.

Zhaopin.com said its calculations were based on data recorded on the website.

Topping the list of the latest salary rankings of Chinese cities is capital Beijing, where employees earn an average of RMB9,227, or HK$10,878. Coastal cities Shanghai and Shenzhen followed with RMB8,664 (HK$10,214), and RMB7,728 (HK$9,110) respectively.

Traditional first-tier city Guangzhou, capital of the southern economic powerhouse of Guangdong, ranked only fifth, with an average salary of RMB6,913, or HK$8,150. Hangzhou, where headquarters of internet giant Alibaba is located, is No. 4 with an average wage of RMB7,097, or HK$8,367.

 

[Adıvar]

Minimum monthly wage was around 700 RMB ( 92USD) when i was there in 2007. It must probably be raised too.

 

[beijingwalker]

Minimum monthly wage was around 700 RMB ( 92USD) when i was there in 2007. It must probably be raised too.

Minimum hourly rate is18.7 Yuan in Beijing (2-3 $)

 

[AndrewJin]

Minimum monthly wage was around 700 RMB ( 92USD) when i was there in 2007. It must probably be raised too.

Highest in Shenzhen, 2030 yuan per month, lowest in Heilongjiang, 1160yuan.

This is a recruitment ad I saw in a county in Central China.
A low-end restaurant
Lowest salary is Waitress/cleaner 1900-2700yuan/month
Including free food and free dorm

 

[Jlaw]

Average salary in Chinese cities rises by 48 percent in 2015

2015 was a bad year for the Chinese economy – GDP growth slowed to a new low,exports and imports dropped and trillions of dollars evaporated from the stock market, and yet for Chinese employees it was a wonderful year as their average wages rose by almost half, at least according to a jobs website.

Zhaopin.com, one of the largest and most popular recruitment websites in China, released its 2015 winter report on the Chinese job market this week. According to the report, employees in 32 major cities across the country were paid an average of RMB6,070, or HK$7,180, in the fourth quarter of 2015. The number is 48 percent higher than the RMB4,091, or HK$4,823, reported in the same period in 2014.

Zhaopin.com said its calculations were based on data recorded on the website.

Topping the list of the latest salary rankings of Chinese cities is capital Beijing, where employees earn an average of RMB9,227, or HK$10,878. Coastal cities Shanghai and Shenzhen followed with RMB8,664 (HK$10,214), and RMB7,728 (HK$9,110) respectively.

Traditional first-tier city Guangzhou, capital of the southern economic powerhouse of Guangdong, ranked only fifth, with an average salary of RMB6,913, or HK$8,150. Hangzhou, where headquarters of internet giant Alibaba is located, is No. 4 with an average wage of RMB7,097, or HK$8,367.

Yes it was a bad year for China as their trade surplus was only $540 billion USD.
Collapse of China.

 

[Viet]

great news. I hope that wage increases by 50% this year, and another 50% next year.

 

[nang2]

The average makes no sense. They should show the median and the distribution. The income disparity is big in China even at salary level.

 

[Jlaw]

great news. I hope that wage increases by 50% this year, and another 50% next year.

Yes. As Chinese salary increases so will the the salary of the hundreds of thousands of illegal vietnamese workers.

 

[Viet]

Yes. As Chinese salary increases so will the the salary of the hundreds of thousands of illegal vietnamese workers.

I hope so, that our people enjoy the increase too. legal or illegal. but anyway, what I want is: you have a big problem. China is overpriced, from stocks to housing, and now to labor costs. a bubble. if your productivity increases by 7%, but the labor cost increases by 48%, that is the best way for chinese workers to be out of business, out of employment.

but the good thing from this great news is, since we offer much cheaper labor cost, investors will begin to question if staying put in China, or if moving to Vietnam may be a much better choice.

Source: Economics and Statistics Administration analysis of data from Bureau of Labor Statistics, International Labor Comparisons program and National Bureau of Statistics of China.

 

[Jlaw]

I hope so, that our people enjoy the increase too. legal or illegal. but anyway, what I want is: you have a big problem. China is overpriced, from stocks to housing, and now to labor costs. a bubble. if your productivity increases by 7%, but the labor cost increases by 48%, that is the best way for chinese workers to be out of business, out of employment.

but the good thing from this great news is, since we offer much cheaper labor cost, investors will begin to question if staying put in China, or if moving to Vietnam may be a much better choice.

Source: Economics and Statistics Administration analysis of data from Bureau of Labor Statistics, International Labor Comparisons program and National Bureau of Statistics of China.

And we all know the basis for FDI is not simply cheap labour. IF that was the case, 30 years ago India Vietnam, Africa would be the choice and NOT China.

US and Europe have higher labour cost than China but yet their economy is not "collapsing" and yes they still manufacture higher value chain items. US had housing bubble in 2008 but have already recovered.

As for stock market, the world market has been down for weeks. China reminbi has depreciated. Yes, a 2% drop against US. My currency, Canadian dropped 40% against US in 3 years. Does that mean Canada economy is collapsing?

 

[beijingwalker]

I hope so, that our people enjoy the increase too. legal or illegal. but anyway, what I want is: you have a big problem. China is overpriced, from stocks to housing, and now to labor costs. a bubble. if your productivity increases by 7%, but the labor cost increases by 48%, that is the best way for chinese workers to be out of business, out of employment.

but the good thing from this great news is, since we offer much cheaper labor cost, investors will begin to question if staying put in China, or if moving to Vietnam may be a much better choice.

Source: Economics and Statistics Administration analysis of data from Bureau of Labor Statistics, International Labor Comparisons program and National Bureau of Statistics of China.

Vietnam even imported products that can be grown locally, and thus domestic produce has eventually lost its home market to the Chinese imports.

Price really matters, as Chinese fruits and vegetables are 30 to 50 percent cheaper than the Vietnamese-grown products, according to industry insiders.

“Customers have real demand for Chinese products, so we just cannot stop sourcing them,” said Do Thi Lanh, a small trader at An Suong Market in District 12, Ho Chi Minh City.

Lanh said Chinese fruits and vegetables can always find buyers easily thanks to their much cheaper prices compared to the Vietnamese produce.

“Chinese cabbages fetch only VND8,000 [$0.39] a kg, compared to VND40,000 [$1.79] a kg for those grown in Da Lat or Hanoi,” she said.
Vietnam’s deficit with China rises 12.5% to .3bn

 

[cloneman]

I hope so, that our people enjoy the increase too. legal or illegal. but anyway, what I want is: you have a big problem. China is overpriced, from stocks to housing, and now to labor costs. a bubble. if your productivity increases by 7%, but the labor cost increases by 48%, that is the best way for chinese workers to be out of business, out of employment.

but the good thing from this great news is, since we offer much cheaper labor cost, investors will begin to question if staying put in China, or if moving to Vietnam may be a much better choice.

Source: Economics and Statistics Administration analysis of data from Bureau of Labor Statistics, International Labor Comparisons program and National Bureau of Statistics of China.

The factor determines the economical advantage one country against another country is not only by the labour cost ,but it contains a lot of which as market size,transport and delivery system,technology,management,supply chain,goverment policy,man power and currency.The real advantage Vietnam against China is the cheap labour which determines that a lot of low technology,low incom, heavy man power-dependent industies could move from China to Vienam.China's advantages against Vienam are technology,big market,fast delivery,convinent supply chain and high quality labour which means the technology(and capital) dependent,higer incom industries will remain in China.That's a different story,and it's better to compare Vienam with China 30 years agao when China were trying to absorb the industies what Vienam are recieving today.
Vienam's real competitors are India,Philippine and Indonisia which are on the same Industry level .But Vienam has a lot of advantages against the other three.They are:close to the big market(China and east Asia),integrated transport systerm with China,convinent supply chain from China,the goverment's open policy,friendlly local law and cheap currency.
The conclusion is the Vienam will have an industy boom because of recieving a lot of low tech industries from China,it will have a trade surplus agains the main exporting market(EU,S.Ameria) but a trade defect from China.The Vienam's economy works better,the trade defection with China grows higer since its supply chain , market and somehow technology and investment are the Chinese.That's how things are and will happen.

 

[oprih]

Great news, but the disparity between Beijing and Tianjin is quite big, aren't those two cities basically like a giant metropolis?

 

[AndrewJin]

Great news, but the disparity between Beijing and Tianjin is quite big, aren't those two cities basically like a giant metropolis?

Difference between first tier and second tier cities.
Housing price in Beijing and Tianjin, Shanghai and Suzhou, is like hell and heaven though they are close in geography. U need 5 million yuan to buy an apartment in Shanghai, but just 2 million yuan in Suzhou which is 20 minutes away by high-speed rail.

 

[Viet]

The factor determines the economical advantage one country against another country is not only by the labour cost ,but it contains a lot of which as market size,transport and delivery system,technology,management,supply chain,goverment policy,man power and currency.The real advantage Vietnam against China is the cheap labour which determines that a lot of low technology,low incom, heavy man power-dependent industies could move from China to Vienam.China's advantages against Vienam are technology,big market,fast delivery,convinent supply chain and high quality labour which means the technology(and capital) dependent,higer incom industries will remain in China.That's a different story,and it's better to compare Vienam with China 30 years agao when China were trying to absorb the industies what Vienam are recieving today.
Vienam's real competitors are India,Philippine and Indonisia which are on the same Industry level .But Vienam has a lot of advantages against the other three.They are:close to the big market(China and east Asia),integrated transport systerm with China,convinent supply chain from China,the goverment's open policy,friendlly local law and cheap currency.
The conclusion is the Vienam will have an industy boom because of recieving a lot of low tech industries from China,it will have a trade surplus agains the main exporting market(EU,S.Ameria) but a trade defect from China.The Vienam's economy works better,the trade defection with China grows higer since its supply chain , market and somehow technology and investment are the Chinese.That's how things are and will happen.

chinese investments in VN are very little if comparing to Japan, Korea, Taiwan and Thailand. Saying we depend on your money for our living is wrong.