Breaking News – New policies cause hardship for snowstorm sufferers
As reported by Sound of Hope on the 24th of February, since January this year, the mid to southern regions of China have experienced devastating snow-storms. The factories in many of these regions have been forced to shut down. Middle to low-income earners has been seriously affected. A new policy change on contract labour has added insult to injury for many labour-intensive enterprises, with not enough workers, lack of electricity, transportation access closed down, increasing commodity prices, and delays in goods deliveries. All these problems continue unceasingly, creating more and more problems.
Shenzhen Taiwanese Merchants Association president Huang Mingzhi expressed that the snowstorm itself is only one part of the reason for the economic collapse. The most important aspect is the sudden change in the management of operations. The rise in the cost of raw materials and the new labour contract law, new taxation policies and other such policies which have been recently enacted have all caused many factories to be faced with great management difficulties.
According to a local, at the end of last year, Zhu Sanjiao district had already begun to experience a negative population growth as people moved to other regions, causing labour shortage problems. Strikes held by local workers were also happening repeatedly. It was also reported in local media that the snow storm would probably cause a tide of business failures.
This report is brought to you by reporter Guo Liang and Interviewer Li Yun for Breaking news on SOH Radio Network.
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