From September 1, 2006, standard minimum wage in key garment production areas like Guangdong, Zhejiang, Jiangsu and Shanghai was raised.
Guangdong firms have decided to hike the wages at varied degrees between 18 and 32 percent.
Government recognized the need for increased environmental protection and higher labor wage for continuous economic development.
Companies that are serious threat to environment or exploit its workers will be terminated.
Clothing unit owner informed that the profit earned today from 400 thousand pieces of ski suit was almost equal to the profit of 60 thousand pieces in 1998.
New wage standards have made already small profits even more meager, forcing many firms to seriously consider shifting to cheaper regions and countries.
