China to lay off 1.8 million coal and steel workers to cut overcapacity
- 8 years ago
Around 1.8 million Chinese coal and steel workers are to be laid off as Beijing tries to reduce overcapacity.
That is about 15 percent of the total workforce in those industries with those people being “reallocated”.
It is not clear when the layoffs will start or how long they will take.
China’s minister for human resources and social security Yin Weimin said he was “confident” the “very difficult task” can be carried out.
He told reporters at a news conference: “At present we are taking the steel and coal industries as our entry points to begin work in mitigating overcapacity and have already got some initial statistics, the (number of job losses in the) coal mines is roughly 1.3 million workers, and in steel it is 500,000.”
The government has said 100 billion yuan (14 billion euros) will be set aside to relocate workers and pay off the debts of companies which have to close.
China, which makes half the world’s steel, exported a record 112 million tonnes of steel last y
That is about 15 percent of the total workforce in those industries with those people being “reallocated”.
It is not clear when the layoffs will start or how long they will take.
China’s minister for human resources and social security Yin Weimin said he was “confident” the “very difficult task” can be carried out.
He told reporters at a news conference: “At present we are taking the steel and coal industries as our entry points to begin work in mitigating overcapacity and have already got some initial statistics, the (number of job losses in the) coal mines is roughly 1.3 million workers, and in steel it is 500,000.”
The government has said 100 billion yuan (14 billion euros) will be set aside to relocate workers and pay off the debts of companies which have to close.
China, which makes half the world’s steel, exported a record 112 million tonnes of steel last y