Wednesday, June 9, 2010

Why The END Of Cheap Chinese Labor Is Near

Last month, nearly 2,000 Chinese workers went on strike at a Honda transmission factory in southern China. The strike eventually spread across the mainland, halting production at all four of Honda's factories in China.

One Honda worker on strike posted a question online to his fellow workers: "Our parents have suffered from this cheap labor market and now they are getting old. Do we want to follow in the footstep of our parents?"

A new generation is shaking China's labor landscape, according to Reuters. With the support of the Chinese government, they are demanding higher wages. And if recent weeks are any indication, companies that depend on them to mass-produce electronics, auto parts and other goods sold around the world will answer their call.

The end of cheap Chinese labor may be near. Here are some of the most telling signs: (more)

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