Home / Knowledge / News / Textiles / Labor law fails to affect textile firms
Labor law fails to affect textile firms
Feb '08
Starting from 2008, the Government of China has decided to carry out new labor law which is expected to increase the salary of workers and in return, hit the profits of textile enterprises.

However, experts believe that a rise in labor cost of about 20 to 30 percent may not incur a serious damage to the industry. This is mainly because, in spite of an increase in the wages of the workers, the salary will still stay low.

Statistics show that during the 11th five year plan, labor cost of Chinese textile enterprises increased by 54.20 percent, which means a rise of 10.84 percent every year. However, exports and profits arising from it, did not get affected because of a relative increase in the productivity of the workers.

While the salary of workers in big enterprises account for 8 to 11 percent of the total income of the company, those in small and medium textile firms are paid even less.

This proves that even if rise in the cost of raw material affects exports, a proportional rise in wages will not have a negative impact on the Chinese enterprises.

Fibre2fashion News Desk - China

Must ReadView All

(L-R) Mr Shao Bojin, Chairman of Jihua Group and Mr Rohit Aggarwal, President of Huntsman Textile

Textiles | On 28th Oct 2016

Huntsman gets into strategic partnership with Jihua Group

Huntsman Textile Effects, the leading provider of high quality dyes...

Marzoli FT6D roving frames in Sintex’s Unit 2. Coutresy: Marzoli

Textiles | On 28th Oct 2016

Marzoli roving frames erected at Sintex textile division

A total of 48 Marzoli roving frames were erected in units I, II and...

Courtesy: Polartec

Textiles | On 28th Oct 2016

Polartec innovates most breathable waterproof fabric

Polartec, the premium provider of innovative textile solutions, has...

Interviews View All

Asim Dalal
Indo Count Retail Ventures

Today, there is no other emerging market as India, "we make in India and...

Veronique Lee

‘Sustainable fashion is trending upwards, slowly but surely, as people...

Hugo Boss

'Hugo Boss works with carefully selected sourcing partners'

Kevin Nelson

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Paolo Ocleppo
Sandvik Hyperion

Paolo Ocleppo, Rotary Cutting Segment manager, Sandvik Hyperion discusses...

Karan Arora
Karan Arora

Bridal couture created with rich Indian heritage, exquisite craftsmanship...

Wendell Rodricks
Wendell Rodricks

"We should not compare India and the West. There are things we do that...

Pranav Mishra

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


Letter To Editor

(Max. 8000 char.)

Search Companies

October 2016

October 2016

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Browse Our Archives


Advanced Search