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Weathering a Storm : Survey-Based Perspectives on Employment in China in the Aftermath of the Global Financial Crisis

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  • John Giles
  • Albert Park
  • Fang Cai
  • Yang Du

Abstract

Evidence from a range of different sources suggests that Chinese workers lost 20-36 million jobs because of the global financial crisis. Most of these layoffs affected migrant workers, who have typically lacked employment protection, tend to be concentrated in export-oriented sectors, and were among the easiest to dismiss when the crisis hit. Although it was severe, the employment shock was short-lived. By mid-2009, the macroeconomic stimulus and other interventions had succeeded in boosting demand for migrant labor. By early 2010, abundant evidence pointed to scarcity in China's labor market, as labor demand was once again leading to brisk growth in wages.The paper reviews different available sources of evidence for the effectsof the crisis, and notes the biases associated with alternative ex post efforts to measure the employment effects of the crisis. In particular, the paper highlights the usefulness of household surveys with employment histories relative to surveys based on sampling through firms.
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Suggested Citation

  • John Giles & Albert Park & Fang Cai & Yang Du, 2012. "Weathering a Storm : Survey-Based Perspectives on Employment in China in the Aftermath of the Global Financial Crisis," World Bank Publications - Reports 3273, The World Bank Group.
    • Handle: RePEc:wbk:wboper:3273
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    References listed on IDEAS

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    1. Huang, Jikun & Zhi, Huayong & Huang, Zhurong & Rozelle, Scott & Giles, John, 2011. "The Impact of the Global Financial Crisis on Off-farm Employment and Earnings in Rural China," World Development, Elsevier, vol. 39(5), pages 797-807, May.
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    Cited by:

    1. Fardoust, Shahrokh & Lin, Justin Yifu & Luo, Xubei, 2012. "Demystifying China's fiscal stimulus," Policy Research Working Paper Series 6221, The World Bank.
    2. Cho, Yoonyoung & Newhouse, David, 2013. "How Did the Great Recession Affect Different Types of Workers? Evidence from 17 Middle-Income Countries," World Development, Elsevier, vol. 41(C), pages 31-50.
    3. John Giles & Dewen Wang & Albert Park, 2013. "Expanding Social Insurance Coverage in Urban China," Research in Labor Economics, in: Labor Market Issues in China, pages 123-179, Emerald Group Publishing Limited.
    4. You, Jing & Wang, Shaoyang, 2018. "Unemployment duration and job-match quality in urban China: The dynamic impact of 2008 Labor Contract Law," Economic Modelling, Elsevier, vol. 71(C), pages 220-233.
    5. Richard Pomfret, 2012. "The Post-2007 Crises and Europe's Place in the Global Economy," CASE Network Studies and Analyses 439, CASE-Center for Social and Economic Research.

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