Financial Times FT.com

Less than half of PRD companies to raise wages

By Alexandra Harney in Hong Kong

Published: February 24 2005 11:20 | Last updated: February 24 2005 11:20

Less than half of companies surveyed in southern China's export manufacturing hub are planning to increase wages to attract and retain workers despite a worsening labour shortage, according to a government poll.

Only 40 per cent of the companies surveyed by the Guangdong Statistics Bureau in late 2004 said they would consider lifting salaries this year. Of these, 74.8 per cent said they would keep the wage rise to 5 per cent or less.

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