In the second half of the year, the focus will be on the four major groups.
The average wages of 23 provinces and municipalities have been released one after another. In July, the intensive salary adjustment period of enterprises will also come, and the income increase of residents will once again become the focus of attention. In the first half of this year, China's income distribution reforms have been frequent, such as improving the treatment of skilled workers, reforming the wage-determination mechanism of state-owned enterprises, promoting the pilot program of increasing income for urban and rural residents, establishing the basic pension insurance benefits for urban and rural residents, and the normal adjustment mechanism for basic pensions.
Looking forward to the second half of the year, there are still many highlights in the field of income distribution that are worth looking forward to. For the four major groups of skilled talents, new professional farmers, scientific research personnel, and central enterprise management personnel, it is expected that more comprehensive incentive policies and income increase rules will be released. Supportive reforms such as taxation, social security, and equalization of public services will also accelerate. In addition, the foundation of the income distribution system will be consolidated, the income distribution statistics and accounting will be improved, and the income distribution policy evaluation system will be established.
Corporate wage guideline baseline is 7%
In July, it will enter the intensive salary adjustment period. Shanghai, Shandong, Sichuan, Inner Mongolia, Shanxi and other provinces and cities have successively introduced the 2018 enterprise salary guidance line. From the areas that have already been announced, the benchmark of corporate wage guidance line is over 7%.
The enterprise salary guidance line is the recommendation of the government to release the annual salary increase and decrease level according to the economic development and control targets of the year. Guan Bo, an associate researcher at the Institute of Social Development of the National Development and Reform Commission, said in an interview that “the wage guideline is also a precursor to the change in average wages, which will bring positive demonstration and guidance to future workers’ income.â€
According to incomplete statistics, as of now, 23 provinces and cities such as Beijing, Hebei, Henan, Shanxi, and Shaanxi have successively released the average wages of urban non-private units and private employees in 2017. The general increase is a major feature. Among them, the average annual wage of non-private units in Beijing is 131,700 yuan, and the average annual salary of private units is 70,738 yuan, ranking first in the country, up 9.8% and 7.4% respectively over the previous year.
The top design of income distribution is accelerated
In the first half of this year, the top-level design of China's income distribution was accelerated. On March 22, the Central Office and the State Council jointly issued the "Opinions on Improving the Treatment of Technical Workers", highlighting the orientation of "high-precision and lack of guidance", vigorously improving the treatment level of high-skilled leading talents; implementing wage incentive programs to increase the income level of skilled workers Build a skills formation and promotion system to support skilled workers to improve their skills.
On May 25, the State Council issued the "Opinions on Reforming the Decision Mechanism of State-owned Enterprises' Salary", deepening the reform of the internal distribution system of enterprises, and tilting to key positions, production front-line positions, and high-level and highly skilled talents in short supply.
The pilot increase in income for urban and rural residents is also actively promoted. “In the first half of this year, one of our two key tasks was to reduce the cost of enterprises. The second is to promote the pilot program for the increase of incentives for key groups.†The person in charge of the relevant department of the Shanghai Development and Reform Commission said.
"In general, China has formed a relatively complete policy system for improving the treatment of skilled workers, so that 'big country craftsmen' have a level of income that is more adaptive to technical capabilities and market demand. Implementing a distribution policy that is oriented toward increasing knowledge value, Scientific research personnel's scientific and technological achievements transformation rewards cash concessions, further stimulating the transformation potential of scientific research achievements. Giving state-owned enterprises greater wages and distribution autonomy, so that the principle of distribution according to work is more fully reflected." Guan Bo said.
The role of social security income increase has also been further enhanced. Since January 2018, the basic pension level of enterprise employees, institutions and institutions has increased by 5%, achieving “fourteen consecutive increases†and establishing a normal adjustment mechanism for the basic pension pension benefits for residents. Guan Bo believes that the growth of urban and rural residents' treatment has formed a more stable expectation and promoted long-term overpayment. "In addition, the personal tax deferred pension insurance products officially landed, and the construction of a multi-level old-age security system complemented an important jigsaw puzzle, further broadening the channels for urban and rural residents to increase their income."
More incentive rules and supporting reforms will come out
In the second half of the year, it is expected that four major groups of skilled talents, scientific research personnel, business managers and new professional farmers will introduce more comprehensive incentive policies and income increase rules. It is reported that in terms of skilled talents, the technical workers' incentive policies will be improved, and the technical qualifications, vocational skill levels and corresponding professional titles will be established. In terms of scientific research personnel, the innovation team and leading talents will be given greater personal property rights and technical routes. The decision-making power; on the one hand, the enterprise management manager, on the one hand, explores the pilot reform of the professional managers' compensation system of the central enterprises, and on the other hand, it will improve the equity incentive measures for the central enterprises' management personnel.
“Development and Reform Commission's “Recent Work in Income Distribution in 2018†clearly puts emphasis on increasing farmers' income. From the previous pilot situation of key group income increase, the new professional farmer pilot is relatively mature, and the income increase rules are expected to accelerate. “Beijing Normal University China Income Distribution Research Institute Dean Wan Haiyuan said earlier.
"In the second half of the year, the reform of income distribution still needs to accelerate. In the field of initial distribution, we will further increase the income share and labor compensation of residents, and expand the scale of middle-income groups. In the field of redistribution, increase the income transfer payment for low-income groups, and reduce the pension, including pensions. The difference in social security benefits, including insurance, said Li Shi, executive director of the China Institute of Income Distribution at Beijing Normal University.
Regarding the "expansion", Li Shi believes that on the one hand, it is necessary to stabilize the size of the middle class, on the other hand, it is necessary to promote the low-income group to become a middle-income group. This requires improving the quality of the labor force on the basis of improving economic quality and developing emerging industries. And upgrade jobs.
Supportive reforms such as social security, taxation, and equalization of public services will also be accelerated. From July 1st, China will officially implement the central adjustment system for pension funds, strengthen the balance of funds between provinces, and stabilize the treatment of retirees. The reform of the tax system has also been highly anticipated. "The increase in the exemption standard and the implementation of the comprehensive taxation method for labor income will reduce the personal tax burden of residents." Guan Bo said. According to Liu Hao, deputy dean of the China Institute of Income Distribution at Beijing Normal University, the tax reform has moved the taxpayers up, creating space for nurturing and expanding middle-income groups.
Promoting the equalization of basic public services is also one of the key tasks. It is reported that China will also formulate guidelines for basic public service standards system this year, and establish and improve a comprehensive evaluation index system for basic public services.
“Enhancement work is a systematic project, and various different types of policy tools should be promoted together. In the second half of the year, with the deepening of reforms in social security, taxation, and public services, the orderly advancement of rural revitalization strategies will drive multiple priorities. The group further broadened the income-increasing channels,†Guan Bo said.
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