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11/22/2024 01:10:26 am

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China’s Steel and Coal Workers Affected by Layoffs to Receive Assistance Package from Central Government

China Steel Coal Layoffs

(Photo : Kevin Frayer/Getty Images) A Chinese steel worker walks past steel rods at a plant on April 6, 2016 in Tangshan, Hebei province, China.

As China's steel and coal industries continue to implement layoffs, the Central Government has revealed strategies that will help workers better cope with the challenges of losing their jobs.

Seven government agencies, which include the Ministry of Human Resources and Social Security and the National Development and Reform Commission, have released plans on how to assist and relocate the redundant workers that have been laid off, according to China Daily.

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The layoffs are the result of the national government's switch from an investment-led model to one that will rely on domestic consumption, services and innovation.

In line with its plans to reduce China's industrial overcapacity, the nation's leadership decided cut jobs primarily in the coal and steel sectors.

Aside from the assistance to be given to China's steel and coal workers who have been affected by the layoffs, the Chinese Government will also offer incentives to local companies that will adopt the Internet Plus" Strategy.

Once implemented by these firms, the strategy is expected to result in the creation of new jobs, development of new industrial fields and products, and the expansion of domestic and overseas market,

There is also a proposal for the displaced workers to be included in a "back to work" program that will give them free career guidance, and at the same time, provide them access to "channels" for government support.

Moreover, there are recommendations for local authorities to improve and strengthen trans-regional cooperation by relocating redundant workers to regions with better employment opportunities.

According to initial estimates by the human resources ministry, the country's steel and coal sectors will have combined layoffs totaling 1.8 million.

To cushion the impact on China's steel and coal workers who have been affected by layoffs, the Central Government will earmark100 billion yuan ($15.4 billion) to help them secure new jobs and put their careers back on track.

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