A Review of Studies on Migrant Labour in South China
One of the greatest and most dramatic impacts of foreign investment in China is the movement of more than ten million migrants from diverse and distant parts into southern China. Migration of labour into the overseas Chinese-invested enterprises in South China has been a phenomenon of intra-China labour migration since the early 1980s. This phenomenon has not only changed the structure of traditional Chinese labour markets, it has also reduced the gaps between urban and rural disparities in the country. Another important impact of this massive labour migration is the rise of a new migrant working class in China. Studies have revealed that most of the migrant workers are young, female-dominated, and of peasant origin. Therefore, labour management and education have emerged as a crucially important issue of the workplace. This is the central theme of this paper.By Cen Huang
In 1996 alone, China actually utilized foreign investments amounting to US$ 42.35 billion, of which 70.9%, according to official PRC records, came from overseas Chinese (Chen and Hu, 1997; Zhang, 1997). Some 120,000 foreign-funded enterprises had gone into operation, and most of them were located in southern coastal China. Other studies estimated that more than 20 million people were employed by overseas Chinese invested enterprises (East Asian Analytical Unit, 1995; Huang, 1997). There were 11 million migrant workers in Guangdong in 1996 (Far East Economic Review, 4 April 1996), most of whom had found jobs in the foreign-invested enterprises in the special economic zones and the Pearl River Delta region. A report indicates that eight out of ten workers who worked in overseas Chinese-invested enterprises in Guangdong were migrants, and mainly from interior provinces such as Sichuan, Henan, Hunan, and Yunnan (Che, 1997). In the author's sample of 28,000 workers, 75.6% (21,140) were migrants. In many newly developed industrial towns, migrants made up the majority of the population in the region both in the labour force and as residents. In this study, the term 'migrants' represents migrant workers in overseas Chinese-invested enterprises.Several research studies have been concerned with migrant labour in South China. Tracy and colleagues (1996) studied labour and the diaspora capital in South China. Gao (1996) focused on labour relations in Taiwanese firms in China. Chen (1997) wrote about the new trends among migrants in China. Scharping and associates (1997) conducted a survey on migrant workers in the cities of Shenzhen and Foshan. Schak (1997) researched labour problems in Taiwanese-funded firms. Huang (1997, 1998) investigated workers organizations in overseas Chinese-invested enterprises in South China. A number of observations of migrant labour can be drawn from these studies.
The purpose of migration
The majority of migrants moved to South China with an undisputed economic purpose, namely to make a better life for themselves and to make money to support their families still in the countryside (Scharping, et al, 1997; Schak, 1997; Huang, 1997). South China provides opportunities of employment because of the booming foreign-invested enterprises which demand high volume of labour force. Large gaps in wages and standards of living between South China and places of origin are also an attractive factor to migrants.
A second reason for labour migration is related to surplus labour in agriculture. According to the Chinese press, China is experiencing a 'tidal wave of rural migration labour'. It was estimated that at present 80 million migrants are causing the largest flow of migrant labour in Chinese history (Chen, 1997).
Composition of migrant workers
The majority of the migrants in the studies mentioned above consisted of a young working population. A report indicates that of the 80 million migrants in China, 60 million were younger than 24 years old (Chen, 1997). Many of them were of peasant origin before migration and had little industrial work experience (Scharping, et al 1997; Huang, 1997, 1998). The majority came from underdeveloped provinces, such as Sichuan, Hunan, Henan, and Yunnan.
In terms of gender proportions, among the migrants in South China, female workers dominate the labour force in the workplace. In the author's sample of the 28,000 workers in 20 enterprises studied, 16,780 (63.5%) were female. This gender proportion reflects the nature of work, such the garment and shoe-making industries, which as a rule employ mainly female workers.
It was interesting to note that the majority of migrant workers included in the study had a low education level (Schak, 1997; Huang, 1997). However, Scharping's (1997) study found that migrants had a higher educational level overall than their non-migrant counterparts in Shenzhen, the special economic zone in China, where strict government policies controlled unskilled migrant labour.
Channels of labour migration
The studies revealed that the information about the possibility for migration came mostly from the relatives (48.2%) and friends (41.9%) of migrants (Scharping, et al, 1997). These two groups of people provided the basic social network not only for the chain migration from the place of origin, but also for finding and changing jobs in the places of settlement. Because of the help of relatives and friends, the majority of the migrants could find jobs immediately on their arrival in South China. This kind of social network ensures both emotional and economic assistance for migrants. Huang (1997) found that most migrants spent their free time with people with whom they shared a common origin. They all kept close contacts with relatives and friends at home by visiting home regularly and sending remittances.
Impact of labour migration
The trends in migration observed in South China cannot be explained by changes in the labour market alone, other economic and social factors also play a role. From an economic perspective, remittances sent to rural families have greatly benefited both migrants' families and their communities. Money sent home has helped families solve financial difficulties and subsidized their daily lives. Remittances have also played an important role in the development of places of emigration in the region. In some sending places, migration for employment had been treated as part of a medium-term development strategy. For example, five million emigrant workers from Sichuan province sent home remittances, amounting to RMB20.2 billion in 1996, which equalled the total financial revenue of the province in the same year (Chen, 1997).
From a social development perspective, for the majority of the migrants, who are young and single, and planning to return to their original places after a couple of years, hardship and risk are acceptable sacrifices in return for what could be translated back home as substantial savings. It is difficult to say at this stage whether these savings are to be used by the migrants to raise the consumption levels of the family, as a foundation for setting up their own families, or invested into more productive agriculture or perhaps used to set up small industrial ventures on the model of what they will have learnt in South China. Indubitably, the experience of migration and the work skills developed in the enterprise could be invaluable not simply for the migrant's personal development, these are also beneficial to the society as a whole. Studies have revealed that the movement of investing back in one's own hometown has already emerged among migrants in some sending places (Chen, 1997).
The history of labour migration in other countries suggests that at least some of the migrants are likely to remain more permanently and that, if they do, they will be likely to demand a greater share of the value of their products as well as decent working conditions and more secure employment (Tracy, et al, 1996). Should this be the case, the emerging migrant working class will move rapidly from passive and victimized status to high levels of class consciousness and play and active role in the workplace and surrounding communities. This will have a significant impact on the reconstruction of China's labour force.
Another interesting finding has been the change in migrants' personal values. Scharping and associates (1997) found that wanting to be rich and wealthy, to be successful, and to be self-realized were the top personal values of migrants. While, the avoidance of risks, personal conflicts, and responsibilities were also found to be highly valued in his study. This set of personal values reflects a contradictory characteristic of migrant workers. Migrants really wanted to change for better positions economically, but they were hesitant to take risks and make the efforts necessary to achieve this change. This may be a result of their non-contracted employment in the enterprise.
In conclusion, the phenomenon of massive labour migration into south China has had significant impact on China's labour markets, as well as effecting other economic and social factors since the 1980s. Remittances sent to places of origin have greatly benefited both the migrants' families and their communities. The experience of migration and work skills developed in the enterprise are invaluable to the migrants' personal development and are beneficial to the society as a whole. Another important impact of this massive labour migration is the rise of a new migrant working class in China. This review has indicated that much research attention in the above studies has been given to the purpose, processes, and outcome of labour migration in the booming economy of South China. A comparative analysis between female and male, and between unskilled and skilled migrant workers will now be extremely helpful to develop the study even further.
References
- Che, Xiaohui, 'Hong Kong Invested Enterprises Opened Up Channels for Employment in Guangdong', The People's Daily (European Edition), 25 August 1997
- Chen, Qiang & Hu, Shiaowei, 'An Analysis on China's Utilization of Foreign Investment', The Study of Overseas Chinese Affairs, 72(2) 1997.
- Chen, Yaoming, 'The New Choices of Migrant Labor', China News Digest (CND),16 January. 1997
- East Asian Analytical Unit, Overseas Chinese Business Networks in Asia. Department of Foreign Affairs and Trade, Australia 1995.
- Far East Economic Review, 4 April 1996:19.
- Gao, Charng, Industrial and Labor Relations of Taiwanese Enterprises in Mainland China, Chung-Hua Institute for Economic Research, Taipei 1996.
- Huang, Cen, 'Haiwai huaren he nanbu zhongguo de huazi kuaguo qiye (Overseas Chinese and Transnational Enterprises in South China)', The Journal of Overseas Chinese History of Bagui,.4(36) 1997.
- Huang, Cen, 'The Organization and Management of Chinese Transnational Enterprises in South China', Issues & Studies, no. 34, 1998.
- Schak, David, 'Taiwanese Enterprises in the Pearl River Delta Region: Problems and Prospects', Paper presented at the International Seminar: International Social Organization in the East and Southeast Asia, Leiden, the Netherlands, 28-29 August 1997.
- Scharping, Thomas; Schulze, Walter; Sun, Huaiyang; Jia, Tongjin; and Chen, Runtian (eds.), Migration in China's Guangdong Province, Mitteilungen, Des Instituts fur Asienkunde, Hamburg 1997.
- Tracy, Constance Lever; Ip, David; and Tracy, Noel, The Chinese Diaspora and Mainland China: An Emerging Economic Synergy. New York: St. Martin's Press Inc. 1996
- Zhang, Jiaheng, 'China's Opening Policy Guidance', Beijing Review, 10-16 February 1997.
:Dr Cen Huang is an IIAS research fellow working within the research programme International Social Organization in East and Southeast Asia: Qiaoxiang ties in the Twentieth Century.