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Official Admits He Gave Misleading Account of Chinese Miners’ Plight Official Admits He Gave Misleading Account of Chinese Miners’ Plight
(about 2 hours later)
BEIJING — Protests at a vast failing state coal mine in the rust belt of northeast China drove a senior official to admit over the weekend that he had given a misleadingly sunny account of conditions there. BEIJING — Protests by angry workers that broke out at a vast failing state coal mine in the rust belt of northeast China forced a senior official to admit over the weekend that he had understated their problems, and signaled how President Xi Jinping’s plans to shake up slumping state-owned industries could run into resistance.
The demonstrators had denounced Lu Hao, the governor of Heilongjiang Province, after he said miners there had been paid on time even as the government was trying to shake up slumping industries. The demonstrators had denounced Lu Hao, the governor of Heilongjiang Province, after he said that miners working down shafts there had been paid on time even as the government was trying to cut costs and jobs at the mine.
“We must live, we must eat,” said some banners displayed by protesters, according to images on a website that monitors social unrest across China. “Lu Hao tells lies while his eyes are wide open,” said another.“We must live, we must eat,” said some banners displayed by protesters, according to images on a website that monitors social unrest across China. “Lu Hao tells lies while his eyes are wide open,” said another.
Mr. Lu made the rare and abrupt public reversal on Saturday in Beijing, where officials had gathered for the annual meeting of the legislature, the National People’s Congress. Their discussion this year has focused on planned cutbacks at mines and sectors of heavy industry that are producing far more than China’s slowing economy can consume.Mr. Lu made the rare and abrupt public reversal on Saturday in Beijing, where officials had gathered for the annual meeting of the legislature, the National People’s Congress. Their discussion this year has focused on planned cutbacks at mines and sectors of heavy industry that are producing far more than China’s slowing economy can consume.
The state-owned Longmay Mining Group, which Mr. Lu had held up days before as an example of progress in restructuring, now looks more like an example of how the effort could go awry. A thousand or more miners and their supporters at a subsidiary in Shuangyashan City, Heilongjiang, took to the streets last week, according to images and reports online as well as messages from residents.The state-owned Longmay Mining Group, which Mr. Lu had held up days before as an example of progress in restructuring, now looks more like an example of how the effort could go awry. A thousand or more miners and their supporters at a subsidiary in Shuangyashan City, Heilongjiang, took to the streets last week, according to images and reports online as well as messages from residents.
In comments that appeared late on Saturday, Mr. Lu acknowledged that Longmay workers’ wages were in arrears and obliquely blamed subordinates for his earlier, misleading statement. In comments that appeared late on Saturday, Mr. Lu acknowledged that Longmay workers’ wages were overdue and obliquely blamed subordinates for his earlier, misleading statement, according to a report on a Heilongjiang government website.
“We must thoroughly absorb the lessons of collecting and reporting inaccurate information,” Mr. Lu said, according to a report on a Heilongjiang government website. “I had known that aboveground workers had wages in arrears, but it’s also true that workers down shafts are also in arrears and I spoke wrongly about that,” Mr. Lu said in follow-up comments on Sunday reported by a news website in Beijing. “Mistakes must be fixed, and after they are, you have to work hard to solve the problems, and thoroughly absorb the lessons.”
“Respect the reasonable demands of employees and reduce misunderstandings,” he said. “If it happens again that there are inaccurate reports on important matters, that must be sternly dealt with.” But Mr. Lu has indicated that cuts at failing state businesses must go ahead as part of the Chinese government’s plans to rein in excess industry and mining. He cited demands from Mr. Xi, who has called the changes part of “supply-side structural reform.”
But Mr. Lu also indicated that cuts at failing state businesses had to go ahead as part of the Chinese government’s plans to rein in excess industry and mining. He cited demands from President Xi Jinping, who has called the changes part of “supply-side structural reform.” Last Monday, the president asked officials at the National People’s Congress about how Longmay was coping, the company reported on its website. He urged the company to “face the market.”
There were no reports of new protests on Sunday. But Liu Zhaohui, a 32-year mine electrician in Shuangyashan, said that several hundred residents had gathered.There were no reports of new protests on Sunday. But Liu Zhaohui, a 32-year mine electrician in Shuangyashan, said that several hundred residents had gathered.
“Since the end of last year,” he said, “there have been consistent problems with irregular payments from the company.”“Since the end of last year,” he said, “there have been consistent problems with irregular payments from the company.”
“In the past, the company would pay our monthly salary about one month later, but it’s not the case since the start of this year,” he said. “Our coal mine unit can’t sell much of the coal we produce, and we have a huge stockpile.”
Such protests could multiply, especially in China’s hard-hit northeast industrial regions, unless the central government assigns more money to ensure that laid-off workers receive unpaid wages and social welfare and pension contributions, said Geoffrey Crothall, a spokesman for the China Labor Bulletin, a group based in Hong Kong that monitors workers’ conditions in mainland China.Such protests could multiply, especially in China’s hard-hit northeast industrial regions, unless the central government assigns more money to ensure that laid-off workers receive unpaid wages and social welfare and pension contributions, said Geoffrey Crothall, a spokesman for the China Labor Bulletin, a group based in Hong Kong that monitors workers’ conditions in mainland China.
“There are a lot of delinquent employers across the country now, but the problem is especially serious in the northeast. Local government and enterprises there often simply don’t have the money to pay,” Mr. Crothall said by telephone.“There are a lot of delinquent employers across the country now, but the problem is especially serious in the northeast. Local government and enterprises there often simply don’t have the money to pay,” Mr. Crothall said by telephone.
Workers in plants and mines that are chronically unable to pay their bills, Mr. Crothall said, “are increasingly frustrated and angry that this problem has been allowed to drag on.”
During the boom times for China’s coal industry, big state-owned mines across northeast China took on hundreds of thousands of employees whose wages were sustained by rising coal prices. Work seemed secure. But demand has slumped as the Chinese economy has slowed and relied less on industrial growth.During the boom times for China’s coal industry, big state-owned mines across northeast China took on hundreds of thousands of employees whose wages were sustained by rising coal prices. Work seemed secure. But demand has slumped as the Chinese economy has slowed and relied less on industrial growth.
Coal consumption for energy fell 3.7 percent in 2015 compared with the previous year, when it also fell. Mining conglomerates are struggling with a colossal oversupply of unneeded workers and production capacity. Longmay, the biggest coal miner in northeast China, said in September that it planned to lay off 100,000 workers.Coal consumption for energy fell 3.7 percent in 2015 compared with the previous year, when it also fell. Mining conglomerates are struggling with a colossal oversupply of unneeded workers and production capacity. Longmay, the biggest coal miner in northeast China, said in September that it planned to lay off 100,000 workers.
Mr. Lu had earlier told reporters that the Longmay Group showed that the difficult changes could be accomplished without ignoring workers’ needs. “For years there have been massive losses, and cash flows are running seriously short,” the Longmay Group said on its website on Sunday in an explanation of its problems. “Unpaid wages have brought tremendous hardship to the lives of employees.”
“Longmay has 80,000 workers down mines, and today, not one has not been paid monthly wages and their income hasn’t fallen a penny,” Mr. Lu said at the National People’s Congress a week ago, according to The Paper, a Chinese news service. “For Longmay, currently the biggest difficulty is the organized reassignment of personnel.” Yet Mr. Lu had earlier told reporters that the Longmay Group showed that the difficult changes could be accomplished without ignoring workers’ needs.
Longmay has 224,000 employees, a reduction of 30,000 since 2013, but it still has more than three times as many workers as the average Chinese coal mine, measured by tons of output per employee, Mr. Lu said. “Longmay has 80,000 workers down mines, and today, not one has not been paid monthly wages and their income hasn’t fallen a penny,” Mr. Lu said at the National People’s Congress a week ago, according to The Paper, a Chinese news service.
Longmay has 224,000 employees, 30,000 fewer than in 2013, but it still has more than three times as many workers as the average Chinese coal mine, measured by tons of output per employee, Mr. Lu said.
“During the golden decade for coal, this problem was covered up,” he said. New jobs will be found for laid-off miners, especially in farming and forestry, he said.“During the golden decade for coal, this problem was covered up,” he said. New jobs will be found for laid-off miners, especially in farming and forestry, he said.
On Wednesday, angry workers and their supporters gathered in front of government and company offices in Shuangyashan, demanding that Mr. Lu and other officials accept their complaints that wages had gone unpaid. Some online accounts said many thousands of people, even 10,000, took part. But pictures from the protests suggested numbers lower than that. On Wednesday and for several days afterward, angry workers and their supporters gathered in front of government and company offices in Shuangyashan, demanding that Mr. Lu and other officials accept their complaints that wages had often gone unpaid for months.
“We’re demanding our own money, and some of us have been arrested,” said Liu Jinghua, a shop assistant in Shuangyashan who said her husband had worked down a mine shaft for 11 years. “Is it illegal to ask for our own wages? We workers have to eat.”
Some online accounts said many thousands of people, even 10,000, took part. But pictures from the protests suggested numbers lower than that.
Still, the outburst of worker anger during the National People’s Congress jolted the government. After calling together Heilongjiang officials in Beijing on Saturday, Mr. Lu said the provincial government would support Longmay in “overcoming its hardships and do its utmost to have employee wages issued on time.”Still, the outburst of worker anger during the National People’s Congress jolted the government. After calling together Heilongjiang officials in Beijing on Saturday, Mr. Lu said the provincial government would support Longmay in “overcoming its hardships and do its utmost to have employee wages issued on time.”
Northeast China experienced an earlier wave of worker protests in the late 1990s and early 2000s, when state-owned factories went through widespread shutdowns.The Chinese government has said it will avoid a second round of similar layoffs, but some experts have said that the tinder for renewed unrest is widespread. Northeast China experienced an earlier wave of worker protests in the early 2000s, when state-owned factories went through widespread shutdowns.The Chinese government has said it will avoid a second round of mass layoffs, but some experts have said that the tinder for renewed unrest is widespread.
“Inequality had grown tremendously,” Kevin Slaten, a researcher into Chinese labor issues who is based in New York, said by email. “The perception of injustice among workers today may be more intense relative to the 1990s.”“Inequality had grown tremendously,” Kevin Slaten, a researcher into Chinese labor issues who is based in New York, said by email. “The perception of injustice among workers today may be more intense relative to the 1990s.”