Worker shortages in China’s coastal manufacturing hubs have only gotten worse, with low-end manufacturing and services hit hardest.
“The labour shortage has hit customer services and the home service sectors since spring, and it is becoming more serious recently,” said Chen Qian, the manager of a downtown employment agency in Shanghai.
“On average, up to 40 per cent of job vacancies in these sectors have not been filled.”
In South China’s Pearl River Delta region, labour shortages have already affected companies’ expansion plans.
“Some companies have to give up orders because of worker shortages,” according to sources with the Guangdong provincial department of human resources.
The Christmas and New Year periods are usually the busiest for production in the Peal River Delta.
The worker shortfall has been estimated at more than 900,000, according to a recent survey by the province’s human resources department.
The delta’s major cities of Guangzhou, Shenzhen and Dongguan are experiencing a combined shortfall of about 550,000 workers, according to the survey.
labour-intensive industries such as garments, shoes, toys, textiles, construction, sales and catering are facing an even worse situation in employing new staff, sources said.
NOW WATCH: Money & Markets videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.