China’s social tensions reach a boiling point as job and wage woes take their toll

Working with residents in need of help, they go door to door every day and, as needed, run errands for them, with particular attention paid to “five specific groups”: people struggling with frustration, failed investments, mental disorders, relationship problems or mental disorders.

“All [working] “she was very tense,” Liu said.[We’re] “paying attention to families who are long-term unemployed or in debt, offering them individual care to distract from their depression and anger.”

Their work seems more important now as public displays of anger increase. As China’s economy faces a worrying headwind – the growth of traditional pillars like property and infrastructure are in a state of clear crisis – large numbers of families are struggling with reduced incomes, increased life pressures and a lack of confidence in the future.

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‘Let It Rot’: Surviving China’s High Unemployment and High Cost of Living

‘Let It Rot’: Surviving China’s High Unemployment and High Cost of Living

The reaction of Chinese social media users to the latest spate of brutal attacks reflects widespread discontent over the country’s economic recession and deteriorating job prospects.

On June 10, a 55-year-old Chinese man was arrested for stabbing Four US university lecturers at a public park in northern Jilin Province.

“The police told us that [the attacker] was unemployed and down on his luck, and someone in our group bumped into this man,” said one of the four men, as quoted by NBC News.

“And he decided to answer the way he did.”

On June 19, a man reportedly stabbed three passengers at a Shanghai subway station. The case is under investigation.

Meanwhile, two separate clashes between customers and staff at a Manner Coffee shop in Shanghai sparked heated online debate, with related threads on microblogging platform Weibo racking up billions of views.

In one conflict, a male employee got into a fight with a customer. In another, a female clerk – frustrated by complaints about service – he lost control and threw the coffee powder at a customer, shouting, “Go ahead, file a complaint!” The company later confirmed that the employee involved in the latest altercation had been fired.

Tens of thousands of users posted comments under posts about these incidents, discussing whether the riots were caused by high work intensity and low wages.

According to local media reports, the average barista at Manner Coffee has to make more than 300 cups of coffee a day, earning about 6,000 yuan ($825) a month.

The rise in these incidents can be attributed at least in part to rising unemployment, said Yu Hai, a sociology professor at Fudan University in Shanghai. “The middle class, in particular, is the group that has been hit hardest by unemployment and falling incomes.”

Yu asked policymakers to be sensitive to social conditions and implement policies that stabilize employment in businesses and stop any policies that might damage confidence in the private sector.

Private companies in China, which have struggled to return to growth since the pandemic, employ more than 80% of city workers.

Every day I remind my family not to argue with strangers

Liu Fei

“Falling job and income expectations are causing conflicts between different social classes. The government must recognize that these incidents are not isolated but reflect broader social trends,” Yu said. “The middle class in particular will shrink during this wave of economic crisis, and its anxiety and despair will grow accordingly.”

An article published on the official website of China Police Daily in May pointed out that “social unrest“it exists at various levels – from ordinary people to large companies.

As we read in the article, the cause is the “negative evolution of social mentality” in the national and international environment.

“Factors such as children’s education, income pressures, mortgage costs, and resilience to psychological stress have led to a gradual transformation of offline to online pressures, which has resulted in increased hostility and increased confrontation in public opinion.”

Liu Fei, a social worker, said this fits with her own experience. “When the economy is in recession, people become more aggressive, and conflicts between strangers increase. I remind my family every day not to argue with strangers.”

Official Chinese data shows that unemployment rate In the 16-24 age group, excluding those in education, it was 14.2% in May – slightly less than the 14.7% recorded in April.
Last year, the China Bureau of Statistics has adapted its methodology no longer include students, after the youth unemployment rate reached about 20 percent. The Ministry of Education predicts that 11.79 million people will graduate this year.

According to the Urban Depositor Survey report conducted by the People’s Bank of China – a survey of more than 20,000 households nationwide – the Income Sentiment Index, Income Confidence Index and Labor Sentiment Index have been declining and remaining at low levels for the past three years.

In the first quarter of 2024, 13.2% of residents said they expected their income to increase, 69.6% said they thought their income would stay the same, and 17.3% expected their income to decrease compared to the previous quarter.

The income confidence index was 47.0 percent, the PBOC said, with 10.5 percent of residents agreeing with the statement “the situation is good, employment is easy.” Meanwhile, 43.0 percent considered the situation “average” and 46.5 percent agreed with the statement “the situation is serious, employment is difficult.”

In May, President Xi Jinping ordered China’s cadres that employment and job creation “come first” as Beijing tries to shore up market confidence and maintain stability in the run-up to the Third Plenum of the Communist Party Central Committee, a key economic meeting scheduled for next week.

Calling for “full and high-quality employment,” Xi was clearly referring to widespread complaints of illegal layoffs at some companies and pointed to a mismatch between supply and demand for labor in some sectors, especially among young people.

“Employment is the most basic source of people’s livelihood. It is related to the healthy development of the economy and society and the long-term stability of the country,” Xi said, according to the official Xinhua news agency.

“The core of the current government’s policy is still [control risk]but the government should work with society to overcome difficulties,” Yu said. “Social and urban management policies must be tolerant, compassionate and empathetic.”

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