Mon, 11/26/2007 - 13:17
Massive foreign direct investment (FDI) and a strong labour supply has earned China the name of "the world's factory". However, under the glittering façade of the economic miracle lies another side to the story. Guangdong Province, known as a "job paradise" for migrant workers, has attracted millions of workers from China¡¦s poor regions after the inauguration of the Open Door Policy in 1979. The development of a market economy resulted in massive and rapid inflow of foreign direct investment and manufacturing investments mainly coming from nearby North Asian countries such as Hong Kong, Taiwan and Korea. The investments are concentrated in the "3L" sector--the labor-intensive, low-skilled and low-end sector. While the flow of foreign capital accelerates the speed of economic growth and accumulation of local capital, however, occupational health and safety conditions have not kept pace with the nation's breakneck industrialization.