Government/Politics - 187. page

On January 10, 2015, People’s Daily published an article titled, “Social Security Is Not a Panacea.” On January 23, 2015, People’s Daily republished the article on its website, people.cn. The article told the Chinese people not to rely on the government’s social security and to get prepared for their retirement with funds resulting from their own efforts. According to the article, 40 to over 50 percent of an average Chinese person’s income is contributed to social security. The rate of the contribution is rising every year. Some people decided not to contribute anything to social security because they cannot afford the high payment. To solve the problem of the increasing rate of the social security contribution, the article gave possible solutions, one of which is to require 100 million uninsured workers to participate in social security contributions.

In 2013, the income to China’s social security fund could not cover the expenditures in 19 provinces. The fund had a total of revenue shortfall of 170.2 billion yuan (US$27.19 billion). Many other provinces could maintain a normal income-expenditure fund cycle only with the help of the central government’s financial support. “As prices are so high, the 70 yuan per month basic social security retirement allowance can only be used as pocket money.” “With the year by year price increase, a couple of thousand yuan per month in corporate pension is very tight for a retirement life.” [Editor’s note: Milk costs between 10 and 16 yuan per liter; a 500g Loaf of fresh white bread costs between 7 and 15 yuan.] However, what worries the government even more is the Chinese people’s “misunderstanding,” that “Social Security Is a Panacea.” Giving North America and Europe as examples, the article said that enterprises and individual citizens should take the major responsibility for their own retirement funds.

Source: People’s Daily and people.cn, January 23, 2015
http://society.people.com.cn/n/2015/0123/c1008-26434809.html

“Who is raising whom?” [The government treats the people as a mother treats her child, but who is nurturing whom?] was a follow-up post questioning a People’s Daily article titled, “Social Security Is Not a Panacea.” It appeared in Baidu’s follow-up posting section, but the post is no longer available on Baidu. The writer of the follow-up post pointed out that social security should be the retirement funds that the contributors deserve to have after retirement. However, People’s Daily had described it as a charity fund that the government offered. Below are the 10 questions from the post.  

1)    People’s Daily said “63 percent" of Chinese residents believe that their retirement life should depend on the government. Only 9 percent of residents believe that they are responsible for their own retirement.” Question: Is the government the creator of wealth or do taxpayers provide the wealth?
2)    In China, around 37 million people enjoy a government pension without paying one cent toward social security; other people who have contributed to social security funds can only receive a 70 yuan basic social security paycheck each month. Who has raised money for whom?
3)    Can I withdraw my contributed money from the government social security funds and take full responsibility for my own retirement from now on?
4)    Chinese people who have paid retirement fund premiums accounted for 28 percent of the national income, three times higher than the same period in other countries. Why have such high premiums resulted in a huge loss? Who should take responsibility?
5)    Retired employees of the civil services and of government institutions enjoy 80 percent of China’s pension resources. Where in the world can government employees not need to pay social security but still enjoy pensions several times higher than those who have paid their social security fees?
6)    If you deposit your money in the bank, and you withdraw it when needed, then does that mean the money was raised by the bank?
7)    Why does the government compel people to join social security and force the people to pay? Why don’t the Chinese [who benefit] know that they should be “thankful”?
8)    Who has provided money for you, People’s Daily?
9)    “The one child policy is good; it is the government that will take care of you when you are old.” Who was it who made this solemn promise to all of the Chinese people?
10)    37 million retirees in China receive pensions several times higher than others but have never paid any retirement premium. Are they retired government officials or state enterprise employees, or ordinary people? Do the people raise the government? Or does the government raise the people?

Source: Baidu’s follow-up posting section, February of 2015
http://tieba.baidu.com/p/3552884419

According to Song Hansong, Director of the Office of Crime Prevention, China’s Supreme People’s Procuratorate, there are eight “chronic diseases” in the judicial system in China.

On February 11, 2015, the US China Press (http://www.uschinapress.com/) first published an article titled, “Financial Corruption May Shatter the Nation’s Foundation.” Then on February 13, 2015, China Review News re-published the article on its website. The anti-corruption campaign in the financial sector just started in January of 2015. As of now, three bank presidents and a number of high level bank executives have been put under investigation. Mao Xiaofeng, the president of Minsheng Bank, is under investigation. The CCP Central Commission for Discipline Inspection has set up a new division focusing on investigating financial corruption.

According to the article, the financial sector has become a place for big and small tigers (corrupt officials) and their children and relatives to come together. After the downfall of Zhou Yongkang, Ling Jihua, and some other high-ranking officials, at least 70 listed companies became embroiled in the anti-corruption movement. Companies involved in nonferrous metals, coal, oil, and other resources accounted for about a quarter of these listed companies. The businesses in which these companies are involved are closely connected with high ranking officials. For example, China Minsheng Bank reportedly has a "Wives Club." A number of the wives of high ranking officials regularly get paychecks although they do not work at all. Ampang Insurance, the largest shareholder of Minsheng Bank, has been growing rapidly over the past 10 years. It has assets of more than one trillion yuan (US160 billion) with licenses in insurance, banking, funds, and security firms. Overseas, Ampang has acquired the New York City landmark, the Waldorf Astoria Hotel; Belgium’s Insurance Company, FIDEA; and Delta Lloyd Bank of Belgium. “Ampang’s explosive growth is beyond the scope of conventional economics. Even Warren Buffett who started from investments in insurance has been lagging far behind. Ampang owes the people an explanation. What panacea does it have that can enable it move so easily through the trials in China with such a Midas touch?”

The article concluded, “Financial corruption, which is more covert than industrial corruption, is also more dangerous. It does not bring any material wealth to society, but it can result in huge losses of state assets. It can produce a financial elite class, fragment society’s distribution patterns, cause social instability, and even lead to a financial crisis. This is not alarmist. Such things have happened in Indonesia and other countries.”

Sources: US China Press, February 11, 2015 and China Review News, February 13, 2015 http://opinion.uschinapress.com/2015/0211/1012895.shtml
http://hk.crntt.com/doc/1036/2/1/5/103621531.html?coluid=59&kindid=0&docid=103621531&mdate=0213074500

Qiushi published a commentary in support of tightening the ideological education of college students. The commentary expressed the belief that the faculty members are the key to providing an effective Marxist education in universities and colleges. The commentary stated that faculty members who engage in the following four types of behavior are not good college teachers.   

Huanqiu published a commentary on Norway’s expulsion of a Chinese student, asking whether Norway wants trade or human rights. 

Chinese Minister of Education Yuan Guiren published an article in the latest issue (3rd issue, 2015) of the Qiushi (Seeking Truth) magazine talking about propaganda and ideological education in colleges. The title of the article was, "Eye on the Larger Direction and the Larger Issues; In This New Situation, Put Enough Effort into Propaganda Work in Universities." Yuan pointed out that the hostile forces infiltrate and focus on dividing such groups as young teachers and students. In recent years, some countries have regarded China’s development and growth as a challenge to the model of their system and to their values. They have [therefore] stepped up their penetration with more subtle and diverse methods. [1] 

Qiushi published an article highlighting the importance of ideological education in China’s universities and colleges. The article stated, “In recent years, the dominant position of Marxism in the ideological field has been consolidated and strengthened. People have a deeper understanding of the path, system, and theory of socialism with Chinese characteristics. However, noises from erroneous ideas that reject Marxism and reject open-door reform appear from time to time. … [We] must not be timid and fearful, simply standing by and watching in silence. … [We] should be fighters, not ‘gentlemen.’”