Breaking up the State-Owned Economy...

[rogerluli]

After 30 years of reform in China the state-owned enterprises (SOE) are still the largest part of the economy. Latest government plans call for breaking up three of the largest monopolies - railways, power and salt. Is there a lot of fat there???

 

On one of our trips to the homeland we were the guest of one of laopo's friends who has a "position" in one of these entities. Her "company" paid our hotel bill for our stay of several days and twice we accompanied our friend to "work" .We would go to her office in the morning where she would sign a ledger showing the time of her arrival...that was her entire "workday"...

 

 

http://www.bjreview.com.cn/business/txt/20...tent_122349.htm

[Urkidding]

You know the ole' song Roger....

 

Breaking up is hard to DO!!!!

[rogerluli]

No pain, no gain...

 

But it often is very tough on displaced workers. Another friend lost their job in a SOE several years ago and has never found a job nearly as good...

[Guest Tony n Terrific]

After 30 years of reform in China the state-owned enterprises (SOE) are still the largest part of the economy. Latest government plans call for breaking up three of the largest monopolies - railways, power and salt. Is there a lot of fat there???

 

On one of our trips to the homeland we were the guest of one of laopo's friends who has a "position" in one of these entities. Her "company" paid our hotel bill for our stay of several days and twice we accompanied our friend to "work" .We would go to her office in the morning where she would sign a ledger showing the time of her arrival...that was her entire "workday"...

 

 

http://www.bjreview.com.cn/business/txt/20...tent_122349.htm

Sounds like our government Lobans . Their goals are the 1st and 15th of the month and 30 years and out.

[Sebastian]

Well hey - there have been both positive and negative examples of companies becoming de-owned by the government there - it's been going on for the last 11 years in small spurts. The plus side is the perceived 'more money ' for the owners and higher wages for the employees, with a downside of NO GUARANTEE of sustainable economic viability as a company (after 2 to 5 years of the pull-out).

 

So now it's getting round to the these 3 areas, I think it's a good thing.

Obviously the Central Government Planning Committee thinks it's a good thing to, hopefully based on it's short term and long term economic feasibility studies .. (One can hope!)

[rogerluli]

The protection of lifetime employment given by the SOEs isn't always such a great deal as Chinese pilots know well...

 

 

 

http://www.forbes.com/markets/2008/06/01/c...facescan03.html

 

Makes one a bit queasy about flying in China...maybe taking the train is really better...