Don’t miss the latest developments in business and finance.

Chinese coal miners strike over wages, layoffs

Image
AFP Beijing
Last Updated : Mar 14 2016 | 9:42 PM IST
Thousands of miners in China's coal-rich north have gone on strike over months of unpaid wages and fears that government calls to restructure their state-owned employer will lead to mass layoffs.
Video obtained by AFP today showed protesters marching through the streets of Shuangyashan city in Heilongjiang province, venting their frustration at Longmay Mining Holding Group, the biggest coal firm in northeast China.
Pictures showed enormous crowds filling the streets.
"I'm on my knees, my family can't eat," an elderly woman pleaded with a man who appeared to be a government official.
"Tell me, how can we live?" she shouted, before collapsing and being rushed away by fellow protesters.
The situation in Heilongjiang exemplifies the dilemma faced by Chinese authorities, who say they want to reform the world's second-largest economy and at the same time seek to avoid unrest.

More From This Section

China's state-owned enterprises (SOEs) are plagued by overcapacity and many are unviable, but the government has been loathe to kill off such "zombie" companies, fearing unemployment could lead to instability.
But it plans to lay off about 1.8 million workers in the steel and coal industries, a human resources and social security ministry official said last month.
In the video footage from Heilongjiang, dozens of police cars, lights flashing, lined the streets, and protesters complained of violence by authorities as tensions mounted.
"Traffic in the centre of Shuangyashan city was halted," a witness told AFP, adding "some people were hurt".
Pictures from the scene showed what appeared to be police tussling with protesters, with one woman apparently thrown to the ground.
Striking miners held large banners demanding back pay.
"Their main request is to get the delayed incomes from the past several months," the witness said.
The miners' anger spilled into street action after Heilongjiang's governor Lu Hao said that the company owed employees no back pay.
At the weekend the provincial government admitted that workers' compensation was in "arrears" following "many years of accumulated problems".
As a result, "not a few workers have encountered difficulties in their lives", it said.
The statement blamed the company's financial woes on inefficiency, saying that it "uses three times as much labour as the national average to produce 10,000 tonnes of coal", resulting in "heavy losses and diminished cash flow".
The firm was "resolutely battling" to implement reforms, it said.

Also Read

First Published: Mar 14 2016 | 9:42 PM IST

Next Story