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Solution for Unemployment: Sending College Graduates to Rural Areas

To resolve the pressure of unemployment for college graduates, the Communist Leaders are following the pattern established by Mao Zedong during the cultural revolutionary period, of sending youth to rural areas.

On May 3, Premier Wen Jiabao went to Tsinghua University, Beijing, to meet the 2009 class graduates who will work at the rural areas of China. Although it is the best university in China, Tsinghua graduates are also facing an unemployment challenge and have been encouraged to take entry-level positions or go to rural areas. This year, more than 10% of Tsinghua graduates will work in the West or Northeast areas of China (which are considered to be poor areas with bad living conditions in China). [1]

On May 4, member of the Politburo Standing Committee of the Communist Party of China (CPC) Li Changchun delivered a speech at the 90th anniversary Commemoration of the “May 4” Movement (a youth patriotism event celebrated by the CPC) at the Great Hall of the People, Beijing. He implicitly indicated that the youth should go to poor and rural areas by saying, “(Youth) should learn from books, from practice, and from people; combine ‘book reading’ and ‘traveling around’ together; voluntarily go to the place where the country and the people need you the most, to places which perform the forefront work for “Reform and Open” and “Modernization construction,” and to the places with complex situations and a lot of growth opportunity; understand the reality of the country, and the opinions of the grass-roots level people, …” [2]

[1] Xinhua, May 3, 2009
[2] Xinhua, May 4, 2009

Challenges for College Graduates to Find Jobs

China Youth Daily listed the challenges for college graduates to find jobs: One, irrational industrial structure makes manufacturing the strongest industry in China and other industries such as design, supply chain, and services that need more college graduates weak. Second, the large gap in social security benefits makes government or state-owned enterprises, offering more benefits, more attractive than agriculture or private companies, offering limited or even no benefits. Third, national monopolies prevent private enterprise from entering certain industries and thus creating jobs.

This year, China will have 7 million college graduates enter the job market.

Source: China Youth Daily, May 1, 2009

Foreign Resistance to China’s Forced Certification of IT Products

The China National Certification and Ratification Regulatory Committee announced that it will defer  implementation of its “IT Product Safety Forced Certification System” for one year. The scope of the forced certification has also been reduced to government-procured IT products only. However, Japan, European countries, and the US all expressed concerns about China’s policy.

The certification system dictates that makers of thirteen IT products, which have been either imported or produced in China, including anti-spam software, firewalls, network monitoring and control systems, and OS for IC chips, must disclose the source code to Chinese government for certification. However, the source code is the intellectual property and core compatibility of the software producers. Foreign countries are concerned that Chinese producers may produce copycat products once businesses disclose these trade secrets to China. Also, exposing source code for network tools will allow China freedom to browse private information on the Internet.

Source: The Liberty Times, May 1, 2009

Hangzhou Regulation: No Anonymous User on the Internet

The highly visible “Hangzhou City Computer Information Network Safety Protection Management Regulation” went into effect in Hangzhou City, Zhejiang Province on May 1, 2009. The regulation states that no company or person may use computer networks to spread rumors, disturb social order, or destroy social stability; encourage the public to criticize others, expose others’ privacy, or make even subtle personal attacks; or publicly insult or fabricate lies to slander others. On-line service providers must record the valid identification information of the user when he/she is applying for service. [1]

Yangcheng Evening News published several articles to point out that the internet users’ dismay about the tighter government’s restriction over freedom of speech on the Internet. [2] [3] [4]

[1] Zhejiang News, May 1, 2009
[2] Yangcheng Evening News, May 2, 2009
[3] Yangcheng Evening News, May 3, 2009
[4] Yangcheng Evening News, May 4, 2009

Internal Strife Drags the Progress of Combined Operations in Military

Xinhua published a People’s Liberation Army’s (PLA’s) Daily article reporting that internal strife has significantly impacted the military’s performance in combined operations.

The report listed the reasons for internal strife as: poor willingness to collaborate with other military units, out-of-date command structure and system, and lack of standardized information technology systems among military groups. Lack of processes, out-of-date combating systems and equipment, and insufficient training and practice are also listed as causes for poor performance in combined operations.

Source: Xinhua, April 23, 2009

Why Foreign Investments “Flee” China?

International Herald Leader, a newspaper under Xinhua, published an article reporting that it became popular for foreign business invested in China to take their money and run away, abandoning their companies or factories in China and without filing for bankruptcy.

There are reasons for foreign investors to choose the “flee” strategy instead of a normal exit process. First, China has a lengthy process for foreign companies to terminate business in China. The bankruptcy process lasts 65 to 165 days. Some local governments even drag it to six months or a year. Second, China’s law requires the company to bear “unlimited liability” for its debt even after it declares bankruptcy.

“(If it is) easy to enter but hard to exit, (it) is definitely not a good investment environment.” said a Japanese trade promoter in Beijing.

Source, International Herald Leader, April 24, 2009

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