Overseas Projects Fuel Big Dreams for Workers

With more and more domestic companies undertaking overseas projects, there has also been an increase in the number of Chinese workers employed in these projects.

The overseas projects have not only showcased the nation's growing prowess on the global center stage, but also boosted the dreams and aspirations of the Chinese employees.

Construction worker Li Maoxue also has big dreams like many other overseas employees. Hailing from a small village in Henan province, Li is currently working on a housing project in Algeria.

Though he has been at his job for only seven months, Liu is confident that by the end of his two-year contract, he will be able to construct a much bigger house in his hometown than the one he has now.

Liu earns an annual income of over 60,000 yuan in Algeria, three times more than what he would make in China. And like most of the others, he repatriates most of his earnings home.

The number of Chinese overseas workers reached 800,000 by the end of May this year, an increase of 6.8 percent year-on-year, according to the Ministry of Commerce. The employees repatriated foreign exchange of over $4 billion every year, the ministry said.

Though the concept of overseas workers is not new, the process got a fillip in 2004 after the government encouraged more and more Chinese companies to explore markets abroad.

Chinese companies are currently at the forefront in home building and telecommunication projects overseas.

Construction, textile and marine workers constitute more than half of expatriate labor force, and the rest include chefs, meat processing workers and furniture makers.

With the number of overseas workers increasing, the government has also outlined the steps that employers need to undertake to avoid problems.

While the employers can utilize their own staff to undertake the projects, they are also at liberty to hire workers through qualified recruitment agencies, said government officials.

But these agencies should be approved by the government and pass annual verification checks, they said.

At the same time the employers should not employ workers who have criminal records or are suffering from serious health problems.

Companies that have bagged overseas contracts are also required to sign labor contracts that are in line with the labor laws of China and the host country.

Employers should also purchase accident/injury insurance for the workers.

At the same time, the employers should also educate the employee about the working conditions, wages and also provide the requisite technical training for the job.

The ministry also said that the Chinese companies should make more efforts to hire and train local employees for the jobs.

"Companies are encouraged to shoulder more social responsibilities and compete in the international market in an open and fair way," the ministry said in a statement.

Earlier most of the Chinese companies were involved in home building projects that needed low technical skills and little added value.

But they have now expanded to other sectors like infrastructure, transport, power, telecommunications and chemical projects that require high managerial capacities and technical expertise.

Some companies are also involved in new energy and technologies like satellite communications and nuclear power stations in overseas markets, the ministry said.

China has adopted a win-win strategy in overseas contracting business, and it has helped forge closer relations with developing countries and important trade partners, said a senior official with the department of outward investment and economic cooperation under the ministry, who declined to be named.

By the end of May, the total value of overseas contracts had reached $605.7 billion and a turnover of $369.6 billion.

(China Daily July 20, 2010)