Posts tagged ‘Social insurance’

15/04/2014

Massive China shoe factory strike rolls on as offer falls flat | Reuters

Thousands of workers at a giant Chinese shoe factory shrugged off an offer for improved social benefits on Tuesday, prolonging one of the largest strikes in China in recent years amid signs of increased labor activism as the economy slows.

Yue Yuen Industrial Holdings

Yue Yuen Industrial Holdings (Photo credit: Wikipedia)

The industrial unrest at Yue Yuen Industrial (Holdings), now stretching to around ten days and sparking sporadic scuffles with police, has centered on issues including unpaid social insurance, improper labor contracts and low wages. Workers have demanded improved social insurance payments, a pay rise and more equitable contracts.

“The factory has been tricking us for 10 years,” said a female worker inside a giant industrial campus in Gaobu town run by Yue Yuen in the southern factory hub of Dongguan in the Pearl River Delta. “The Gaobu government, labor bureau, social security bureau and the company were all tricking us together.”

A spokesman for Yue Yuen said the firm, which makes shoes for the likes of Nike, Adidas, Reebok, Asics and Converse with a market capitalization of some $5.59 billion, had agreed to an improved “social benefit plan” on Monday, while stressing the business impact had been “mild” so far.

“Basically, the terms that we announced yesterday was after a very thorough internal analysis and calculation and considering all the factors including the affordability from the factory perspective,” the spokesman told Reuters by phone.

via Massive China shoe factory strike rolls on as offer falls flat | Reuters.

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22/01/2014

* 540 mln Chinese have social security cards – Xinhua | English.news.cn

By the end of 2013, 540 million Chinese people, or roughly 40 percent of China\’s population, had social security cards, which are issued to facilitate medical and other social security services, new data showed on Tuesday.

Hu Xiaoyi, vice minister of human resources and social security, revealed the data at a seminar on Tuesday, adding that the number is expected to reach 650 million by the end of 2014.

The country aims to issue 800 million social security cards by the end of 2015, covering about 60 percent of its total population, according to China\’s 12th Five-Year Plan (2011-2015).

At present, social security cards are mainly used to pay for medical expenses. In the future, services will be expanded to allow card holders to draw pensions and pay for social insurance programs, Hu said.

via 540 mln Chinese have social security cards – Xinhua | English.news.cn.

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01/12/2013

Xinhua Insight: Aging China wants fairer, efficient social insurance – Xinhua | English.news.cn

Wang Hong, a 31-year-old woman and stay-at-home mother in South China\’s Haikou City, is worried about her future pension as she stopped paying social insurance four years ago.

After paying the insurance for five years while at work, Wang quit her hotel job to look after her child. With her child now 3 years old, Wang Hong, not her real name, is looking for a new job. But she is hesitant about paying the insurance she has missed for the past four years.

\”I don\’t know what will happen to my money in a social insurance account with possible inflation and other risks. It feels safer to keep it in my own pocket,\” she said.

In China, 38 million people stopped paying social insurance this year, either before or after reaching the pension-receiving threshold of 15 years.

Laid-off workers, employees in cash-strapped small companies and migrant workers are the majority of those who have stopped paying the insurance halfway through, according to Cui Peng, a research fellow with People\’s Insurance Company of China.

Social insurance funds cover basic endowment for senior citizens, basic medicare, unemployment, work-related injury and maternity.

The spending of endowment insurance funds, a key part of social insurance, grew 22 percent in 2012 year on year, while its revenue increased by 19 percent, according to the Ministry of Finance last week. This poses challenges for future pension payments.

According to the Ministry of Human Resources and Social Security, at the end of 2012 about 210 million urban employees paid endowment insurance.

Endowment insurance is paid by staff and the company, 8 percent and 20 percent of his or her wage respectively.

The money from companies is used to meet current pension demands while personal payments are accumulated for his or her own future pension after retirement.

However, as China\’s population ages, personal payments are often used to supplement growing current pension demands.

via Xinhua Insight: Aging China wants fairer, efficient social insurance – Xinhua | English.news.cn.

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