RURAL-URBAN MIGRANT WORKERS ECONOMIC AND SOCIAL INTEGRATION DURING URBANIZATION IN CHINA WUXI CASE STUDY

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1 RURAL-URBAN MIGRANT WORKERS ECONOMIC AND SOCIAL INTEGRATION DURING URBANIZATION IN CHINA WUXI CASE STUDY WEI ZHONG INSTITUTE OF ECONOMICS, CASS

2 THE ORIGIN OF THE TOPIC I have ever done a field visit in Chaihu town in Zhongxiang county, Hubei province. 49 thousand migrants moved from Henan province to this town in 1960s because of Danjiangkou reservoir construction. Chaihu town thus was called the biggest migrant town in China. 35 years after, Local people still call them Henan people, and in Chaihu town, Henan dialect is the language they normally used.

3 URBANIZATION IN CHINA In 2014, the urbanization population in China was 54.77% Migrants: 253 million Rural-urban migrants in 2014: 168million

4 1949 年 1951 年 1953 年 1955 年 1957 年 1959 年 1961 年 1963 年 1965 年 1967 年 1969 年 1971 年 1973 年 1975 年 1977 年 1979 年 1981 年 1983 年 1985 年 1987 年 1989 年 1991 年 1993 年 1995 年 1997 年 1999 年 2001 年 2003 年 2005 年 2007 年 2009 年 2011 年 2013 年 URBANIZATION IN CHINA(CONT) 60.00% Urbanization rate 50.00% 40.00% 30.00% 20.00% 10.00% 0.00%

5 BACKGROUND: WHY WE TALK ABOUT RURAL-URBAN MIGRANTS INTEGRATION? Expectable rapid urbanization in China in the future Better human capital of the new generation of migrants No agricultural work experience before and difficult to back to their rural hometown

6 CONTENTS OF INTEGRATION Economic integration: work, income Institutional integration: population registration system, social welfare, child s education, public finance, etc. Social integration: political participation, dialect, culture, social network, residential space

7 CASE STUDY IN WUXI CITY

8 DATA SOURCES Data descriptive analysis mainly came from 2013 national migrant survey conducted by national health and family planning committee. In 8 city, social integration questions were investigated. We involved in part of the cities field visit, and finished one of the city report.

9 LOCATION

10 MIGRANTS IN WUXI Mainly for business and work, 73% of migrant labor worked in secondary industry. Stay in the city relatively longer and stable Younger population structure is a supplement to Wuxi s aging population

11 LOCAL RESIDENTS, MIGRANTS AND FLOATING POPULATION 15% 24% 61% Hukou population migrants floating population

12 STRUCTURE OF POPULATION (%) 流动人口 本地居民 0

13 MIGRANTS ECONOMIC INTEGRATION Concentrated in manufacture, very few in public and monopoly sector Work time longer than local people Monthly income equals to local resident Lower wage rate Place of consumption almost the same Consumption plan in the future almost the same Expenditure are quite different, migrants have stronger saving tendency due to left-behinds.

14 MONTHLY INCOME AND WAGE RATE Monthly income Wage rate means Std. means Std. Migrants Residents T value *

15 INSTITUTIONAL INTEGRATION Housing: about 10% migrants own housing in Wuxi, with 97% for local residents Coverage of five insurance (social security, social health insurance, unemployment insurance, workrelated injury insurance and maternity insurance) and housing fund much lower Health insurance: 60% of migrants have no refund vs 14% of their counterpart Health files created 1/3 vs 5/6 37.6% of compulsory education students are migrants, but child s education is still a main problem

16 SOCIAL PROTECTION Migrants(%) Local(%) Pension system Social health insurance for urban employee Social health insurance for urban nonemployee work injury insurance Unemployment insurance Maternity insurance Housing Fund Observation

17 NEW CIVILIANS AND RESIDENTIAL CERTIFICATE SYSTEM Residents certificate(green card) and new citizen system provides public services for those who can t have local Hukou or don t want to have local Hukou, it is an experiment and attempting in Wuxi. But for the condition is so strict that only a few of them can have residents certificate, but the attitude of local residents with Hukou should also be considered. Two main conditions to have a residents certificate: Investment in Wuxi, housing investment or set up enterprises. High education or high technology Some preferential policies is an attraction for young migrants

18 SOCIAL INTEGRATION Local residents opinion on migrants Admit migrants contribution on economic development, but negative evaluation on social security, public traffic, living circumstance, community health and other public service. Migrants opinion: They feel exclusive in Wuxi, but it has been improved compare to before. Migrants Immigration mainly for economic reasons and did not concern much on social integration Social network is mainly confined to relatives and hometown friends in the same city. Ask help from them and trends to live together. Very few of them can speak local dialect, less participation on community activity

19 LOCAL GOVERNMENTS EFFORT ON SOCIAL INTEGRATION Integrated institutions on migrants management and service Integrated functions on migrants management and service, and gradually emphasize more on service Established community platform for both local residents and migrants Population information system integration

20 CONCLUSION On economic integration aspect, rural-urban migrants in Wuxi is able to stay in the city by their work and income. On institutional integration, they are now included in local social protection scheme, but not much of them prefer participate in social protection. It is still difficult for them to get local Hukou or even Green Card, and their child s education is also a problem. On social integration, there are still a long way to go. Local residents admit their contribution to local economic growth but due to various reasons they refused to accept them as local residents. Migrants feel exclusive attitude from local residents, but still remain their social network with hometown people, and are not so interested in social activities, etc.

21 THANKS & QUESTIONS