The Ministry of Labor and Social Security announced recently that 9 million job opportunities would be created this year. But the tense situation for college graduates' employment and the increasing number of unemployed youth make people concerned how the goal will be achieved? To find out the answer, the journalist of PD interviewed officials with the Ministry.

Economic growth shows strong pulling effect

Economic growth is the final solution for employment. The favorable economic environment in China will continue creating new jobs and social wealth, said the official.

The GDP growth rate of 9.5 percent in 2004 has created jobs for 9.8 mln people. At the same time, a total of 5.1 mln laid-off workers were reemployed. Analysis said one percent increase of the national economy will create at least 800,000 job opportunities should China's GDP rises at a rate above 7% this year. If so the economic growth alone will bring about at least 5 to 6 mln jobs in 2005.

Structural adjustment will provide large numbers of job opportunities too. The prosperous non-public economy will draw more labors. China has made it definite to support labor-intensive industries, which boosts economic growth's pulling effects to employment. The further improvement of development environment for SMEs will enable more and more labors to find jobs in SMEs

Active employment policies should be brought into full play

A framework of active employment police has been put up in China basically. This year the effect of the policies will be brought into full play in order to promote employment and reemployment.

Favorable policies including exemption of tax and fees, small amount loans to laid-off workers are an important part of the active employment policy. By the end of 2004, China has offered loan of 2.1 bln yuan to laid-off workers. The finance and labor departments are working together now to create a well environment for laid-off workers' reemployment.

Training plays a vital role in reemployment of laid-off workers. In 2004, 5.3 mln laid-off workers received training and 70 percent of them regained jobs after that. This year, emphasis will be given to training of technical workers. Employment will be promoted by training more "senior technicians" and helping more workers become "small boss".

The central finance will continue giving support to training of laid-off workers. In 2004, 8.3 bln yuan was earmarked for reemployment. The amount is expected to grow this year. The legislation of law to promote employment is being speeded up in an attempt to rectify acts to promote employment too.

Yet creating 9 mln new job opportunities is no easy task to accomplish.

With the life guarantee system for laid-off workers switching to unemployment insurance, the employment problem will become tougher in some regions, industries and groups. As per request of the State Council, the historical problems left by the planned economy should be resolved within two to three years. All localities will step up efforts to close reemployment service center and bid farewell to the term "lay-off". But the 1.5 mln laid-off workers still face difficulties in reemployment. Most of them will become unemployed. Meanwhile the structural adjustment and bankruptcy of enterprises will give rise to number of the unemployed.

The employment situation is still grave in certain period in the future because supply of labor is still at the peak, with 10 mln new labors entering market annually. Moreover there are more than 150 mln excessive labors in rural areas. Therefore all departments concerned need to step up efforts in fulfilling the goal to create 9 mln jobs.

By People's Daily Online