Economy

China's minimum wage to grow over 13% annually

(Xinhua)
Updated: 2011-06-29 17:18

BEIJING - China's minimum wage will grow by an average rate of at least 13 percent over the next five years, the Ministry of Human Resources and Social Security said on Wednesday.

Related readings:  China's lowest minimum wage area rises up pay scale  Rising labor costs good for economic restructuring  Minimum wage rise is mooted for migrants  Minimum wage may not pay off for some

Minimum wages in most parts of the country will reach more than 40 percent of the average income of local urban residents by 2015, the ministry said in a statement on its website.

During the first quarter this year, 13 provinces raised their minimum wages amid rising inflationary pressure and growing concern over China's widening wealth gap. The increases averaged 20.6 percent.

The statutory minimum monthly wage in Shenzhen is 1,320 yuan ($203), the highest level in China, while Beijing has the highest hourly rate of 13 yuan, the statement said.

The ministry also vowed to reduce income disparity between different industries over the next five years.

China aims to increase urban and rural per capita net income by more than 7 percent per year in real terms over the five years to 2015.