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My Profile Reuters Holiday Gift Guide Gift ideas & reviews for this holiday season Start Browsing You are here: Home > News > International > Article Home Business & Finance News U.S. Politics International Technology Entertainment Sports Lifestyle Oddly Enough Environment Health Science Special Coverage Video Pictures You Witness The Great Debate Blogs Reader Feedback Do More With Reuters RSS Widgets Mobile Podcasts Newsletters You Witness News Make Reuters My Homepage Partner Services CareerBuilder Affiliate Network Professional Products Support (Customer Zone) Reuters Media Financial Products About Thomson Reuters Protest-hit China says job stability top priority Thu Nov 20, 2008 1:26am EST Email | Print | Share | Reprints | Single Page [-] Text [+] By Ben Blanchard BEIJING (Reuters) - Stabilizing employment is the top priority for China, a minister said on Thursday as he revealed a rise in jobless workers triggered by a weakened export sector amid a series of strikes and protests. Unemployment rose in October as the impact of the global financial crisis hit China's production heartland. The ranks of jobless are expected to rise further in 2009, Minister of Human Resources and Social Security Yin Weimin said. "Stabilizing employment is the top priority for us right now," Yin said. After decades of solid economic growth, China is battling an unknown as falling demand for its products triggers factory closures, sparks protests and raises fears of popular unrest. Faltering economic conditions have raised the specter of growth falling below 8 percent, which the government regards as a benchmark to create enough jobs to sop up excess labor and guarantee social stability. The number of newly jobless reached 10.2 million in the first 10 months of 2008, exceeding China's projection for the entire year by 2 percent, Yin told reporters. "This is something we are concerned about. The unemployment situation is basically stable this year. But starting in October, unemployment in China has begun to show the impact of changes in the international economic situation," he said. "...The global economic crisis is picking up speed and spreading from developed to developing countries and the effects are becoming more and more pronounced here. Our economy is facing a serious challenge." Workers in southern and coastal China have gathered at shuttered factory gates in the last month, seeking back wages, while local governments vow to pursue bosses who have fled. Yin said the government would try to nip potential unrest in the bud by striving to solve half such disputes at the grassroots before they got out of control, and set up a fast-track system to deal with them. China's official urban unemployment rate was still about 4 percent, but could tick up to 4.5 percent by the end of the year, and rise further next year, Yin said. "In the first quarter of next year the situation will become yet more difficult. But there will be a turnaround from the second quarter," he added. The official figures fail to capture many of the hundreds of millions of Chinese who have left villages and sought work in the cities over the past three decades. "It is migrant workers who are affected most severely. Many of them either return to their home towns or stay in cities looking for other opportunities, but they are not included in our statistics," Yin said. About 4.5 million jobless workers had been rehired, short of the government's goal of 5 million re-hires, Yin said. Continued... View article on single page Share: Del.icio.us Digg Mixx My Web Facebook LinkedIn Next Article: Japanese missile defense test fails off Hawaii Also on Reuters Verizon Wireless bets on Storm for holiday season Suri Cruise tops list of Hollywood's power kids McCartney, Guns N' Roses albums to launch on MySpace Editor's Choice Pictures Video Articles Slideshow A selection of our best photos from the past 24 hours. 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