The World - News from June 20, 1988

China’s state firms are laying off thousands of “superfluous” workers, while the fired workers are accusing bosses of “exploitation” and “anti-communism,” according to the official People’s Daily. In the first public debate on the problem of unemployment, the article--the latest in series--said that 90 state firms in Shanghai had moved 3,000 workers from their posts and put them in other jobs at lower pay. Those most seriously affected receive 60% of their original pay for a fixed period, after which they are laid off. The layoffs have raised productivity, the article added. The newspaper earlier reported that up to 30 million workers had spent time on the job playing poker or chess or watching television. The subject of unemployment is a sensitive one since China, like other Communist countries, guarantees jobs for all.