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My Other Friend Asked Me This Question The Other Day...


Renegade343
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He asked: 

 

Why does China have such cheap labour costs?

 

I then replied: 

 

Because you see, China has a lot of people in there. Lives are a dime a dozen in China, so if one dies, you can just get another one for almost no cost!

 

I then got scowled at in the immigration department. Guess I cannot make jokes about countries in there (but then again, it does make some sense). 

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 At China's rate of growth, wages will out pace the U.S. within 5-10 years. After adjusting for the significantly lower cost of living. The average worker at say, Foxconn makes somewhere around $6-7 an hour minimum, as of 2010-2012. That is up from $1.50 an hour as of ~2001. Barring, for poor oversight and areas of exploitation on a greater scale than experienced in the West, China has been reforming labor faster then the West has. Labor law in china is about 1/3 deficient compared to the West, 1/3 on par, and 1/3 superior. Woman's labor rights for example are consider very favorable. This has been the number one driver for why manufacturing jobs have been in decline in the China for the last 5-10 years. Much of the manufacturing that has returned to the U.S. is due to the erosion of labor protections and decline of unions. 

 

  Just saying.

 

P.S. All this can be corroborated by a simple google search and few minutes of reading.

Edited by (PS4)MoRockaPDX
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