Fang Lee Cooke RMIT University, Melbourne

1. Labour market inequality(In Sheldon, Kim, Li and Warner (eds.), China’s Changing Workplace, London: Rouledge) Fang Lee Cooke RMIT University, Melbourne

2. Overview • Characteristics of the labour market: • The extent of informal employment and reasons for growth • Roles of different institutional actors (e.g. employment agencies, TU) • Forms of inequality and labour market outcomes • Urban residents v. rural migrants • local v. non-local residents with urban residential status • Men v. women • Single v. married women

3. Characteristics of the labour market The development of the labour market (L/M) • A highly regulated/controlled L/M through administrative policy during the state planned economy period • Deregulating period 1980s – mid-2000s with rural migrant workers and laid-off SOE workers saturating in the L/M • Mid-2000 with the promulgation of three labour-related laws

4. Characteristics of the L/M (cont…) Growth of informal employment • A consequence of mobility of rural labour and state-sector retrenchment • Definition of informal employment debatable • An estimated figure of 150 million in this mode of employment – making up 20% of total employment • Informal employment a key source of L/M inequality

5. Characteristics of the L/M (cont…) Employment agencies as an active L/M institution • Rapid growth of informal employment  employment agencies– a dumping site • In 2001, there were 26,793 employment agencies; by 2007, the number had increased to 37,897 • Two-thirds of them funded by the local governments – intricate relationship with local governments

6. Characteristics of the L/M (cont…) TU branches provide a number of functions in the labour market: • Organizing & providing training for unemployed workers • Disseminating employment information • Promoting legal awareness • Providing legal aids to workers • Monitoring labour standards & participating in labour disputes mediation & arbitration

7. Characteristics of the L/M (cont…) Major problems with TUs • Lack of legal competence • Lack of resources • Low unionisation in private firms • Lack of legitimacy in representing the workforce

8. Forms of inequality and L/M outcomes for different groups of workers

10. Forms of inequality and L/M outcomes for different groups of workers (cont…)

11. Forms of inequality and L/M outcomes for different groups of workers (cont…)

12. Forms of inequality and L/M outcomes for different groups of workers (cont…)

13. Forms of inequality and L/M outcomes for different groups of workers (cont…)

14. Summary and conclusions • L/M inequality has increased in the process of marketisation and privatisation • Inequality exists in access to employment, employment security, training and career advancement, social security and equitable pay across different groups of workers • Women and migrant workers are the most disadvantaged groups in the L/M • Institutional weaknesses in L/M regulation and labour protection are responsible for much of the inequality

15. Thank you!