Necessity for china to change

China is one of the largest growing economies with high outsourcing capabilities and a bright future.Largest population of immigrants from Asia are Chinese,Most of them are highly successful engineers or doctors or scientists.China has reformed it's policies allowing economic freedom even though political embargo still exists in the country.I think the chinese government should slowly but steadily release the hold over it's people and pave way to make china more capitalistic,With that much talent pool and human resources a capitalistic china as far as i percieve would achieve exceptional economic growth similar to south korea.
Please post your views on this argument.

I am agree they should change and if now they are winning in the markets, perhaps in the next 10 years the chinese will discover what means vacations, workers' rights, women waiting a baby.
I can find here in our chinese town near where I work some articles
at so low price that it is incredible......but let us yhink that it is easy to win in the world market applying such low prices when you do not have workers...but slaves that work 12 hours per day 6 days a week
in Europe a normal worker cost you not less than 2000 dollars per month
a chinese slave cost not more than 200 .....yes they will change.....not now
bye

what would it gain becoming more capitalistic?

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Originally Posted by ippolito

in Europe a normal worker cost you not less than 2000 dollars per month
a chinese slave cost not more than 200

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That's the most ridiculous comparison I've ever heard: 'normal workers' to 'slaves'. A European 'slave' isn't worth much either.

And 2000 dollars per month for a 'normal worker' in Europe? Who are you trying to kid?

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Originally Posted by infinito2345

I think the chinese government should slowly but steadily release the hold over it's people and pave way to make china more capitalistic...

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It has already been moving towards capitalism ever since the Open Door Policy was announced under Deng Xiaoping's rule. Communism is all just a 'label' apart from the authoritarian manner of government.

However, I don't think the issue is with the 'hold over its people', rather it's the system of Government which is a major letdown. If there is a looser grip on civilians, there would similarly be a chaos of corruption as it is now. On the other hand, if the system and the Government were revamped, there would be a greater chance of ridding corruption and injustice, at least in the long term.

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Posted on: Sunday, February 26, 2006
Young job hoppers cause chaos among China's businesses
By Don Lee
Los Angeles Times
SHANGHAI, China — On the day after the weeklong Chinese New Year holiday, Zhu Aihua went back to work to find that seven desks around hers had been emptied.
Her colleagues at an Internet company in Guangzhou had removed their tea mugs, pictures and other personal belongings. They hadn't taken an extended vacation. They had bolted.
"It's like this every year," said Zhu, 25, a marketing specialist. Then she glumly added: "I will have more work."
Similar scenes are playing out at workplaces across China, which is in the throes of a job-hopping crisis. Amid booming economic growth and an erosion of traditional values, this land of the socialist "iron rice bowl" — where people once served their state-owned employers until death — has become a revolving-door society.
China's overall turnover rate jumped to a record 14 percent last year, from 8 percent in 2000, according to a survey by Hewitt Associates. That doesn't include people who were fired. The turnover rate in the United States is about 3 percent, including firings.
In bustling areas such as Shanghai and Guangdong Province, many companies lose one out of three employees every year.
Experts say a shortage of skilled workers is the underlying cause of the high turnover and its effects: large salary increases and extensive poaching of high-performing employees.
Turnover is particularly rampant among urban China's youngest workers, who grew up in a generation when Beijing allowed only one child per family. These workers, in their early and mid-20s, enjoyed more prosperity and have higher expectations of what employers and life should offer. Government researchers say a record 4 million fresh graduates will be entering the job market this year.
"Young people just cannot calm their hearts," said Cui Yixiong, general manager of City Supermarket, a private chain. Cui says more than half of his new recruits don't last a year on the job. He has seen so many quit that he can tell who'll be next by their lack of interest at work.
"When I was young, I believed it took at least three years for you to learn one industry thoroughly," said the 39-year-old. "Nowadays, many young people will quit if they aren't promoted after one year's work."
That has driven up costs for employers, disrupted business and contributed to wage increases. For higher-skilled jobs, companies have started offering some of same carrots as in the West: stock options, retention bonuses, housing allowances. Still, many young workers say employers don't do enough. Benefits such as medical insurance and pension plans tend to be similar from one workplace to the next. Training programs aren't common, they say, and many companies don't offer ample opportunities for advancement.
Job-hopping also is high in rapidly developing economies such as India, and it was widespread in the West in places like California's Silicon Valley during the boom years of the 1990s.
But China's turnover crosses industry lines as well as job and pay classifications, thanks to the sweeping changes in the demographics and economy of China.
For company managers, the worst time is around the Chinese New Year, when most workers receive their annual bonus, which can be several times their monthly salary. Some will bolt if they're dissatisfied with their 13-month pay, as it's called. Others who had planned to leave anyway will hold on just long enough to take the bonus and run.
Experts say China is now going through what Taiwan and South Korea went through when they saw a burst of job opportunities and galloping salary increases.
Consultant Hewitt's latest attrition study found one striking difference: Money was the primary factor in prompting Chinese workers to switch jobs, whereas career opportunities and work processes were more important to other Asian employees.

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Granted, China has been changing and moving progressively forward economically and in terms of world awareness. Together with this, its pool of talent has also been moving within China in search of better pay. Whether that will lead to growing depth and strength in technical knowhow has yet to be seen. My Japanese friends have always say that moving around so rapidly means that the Chinese workers can acquire superficial knowhow but will not be able to understand and accumulate in-depth knowhow. Generally, potential employers will also be on the defensive and structure their operations so that the Chinese workers or engineers etc. will be expected to operate as per routines while the higher value-added or knowledge-intensive stuff stays with the management or foreign headquarters too.
Ken