Anno IX - Numero 12
La guerra non è mai un atto isolato.
Carl von Clausewitz

lunedì 12 febbraio 2024

State sector employees tighten belts ahead of Lunar New Year

Employees take to social media to complain of unpaid wages, year-end bonuse

di Gu Ting

China's state employees say they are tightening their belts ahead of once-lavish Lunar New Year celebrations, amid backlogs of unpaid salaries and slashed bonuses at cash-strapped local governments and state sector companies.

The struggling economy has increasingly left governments and the public sector unable to pay bonuses and wages. It has also forced organizations to impose salary cuts where they might once have enjoyed generous perks and payouts.
A Feb. 6 viral post on Weibo by employees at Shanghai's state-owned Pudong Development Bank said they had been given a "New Year's Letter" in place of their expected year-end bonuses, which are typically issued in the form of a 13th month's pay ahead of the Lunar New Year festivities.

At least one website, Hexun.com, appeared on Thursday to have deleted an article about the post, offering only the message: "This content is being upgraded. Please try again later."

Meanwhile, employees at the Bank of Guangzhou also took to social media to complain that their bonuses had yet to land. The Lunar New Year this year starts on Feb. 10.

The iFeng news service reported on Thursday that the Guangzhou bank employees had subsequently received their bonuses after they posted about the matter.

An employee at a bank in Shanghai who gave only the surname Zhou for fear of reprisals said Chinese banks – the majority of which are state-owned – have been cutting pay and benefits steadily over the past few months, with many employees now down to their basic salary with no perks or benefits.

"This is a common phenomenon," she told Rfa Mandarin on Thursday. "The composition of people's income used to be pretty complicated, with a bunch of performance bonuses, meal subsidies, car subsidies, housing subsidies and so on."

"Now, a lot of hidden subsidies have been removed."

She said employees at the major state-owned banks and smaller local banks are all affected by the cuts.

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