The minimum wage is doubled in 5 years

Core tip: Li Yiping, a professor at Renmin University, points out that raising China's labor price is a lever that can pry small and medium-sized enterprises to take the road of technological innovation. January 18, the State Federation of Business issued a report pointed out that SMEs as a solution to employment, expand employment of the main body, there is a widespread competitive pressure, weak ability to resist risk, short survival cycle, management fluctuation, burden weight, profit space, etc.　　Compared with large enterprises, the government needs more support.　　Therefore, the Government proposed that in the "Twelve-Five" period should improve the SME tax policy, especially the small micro-enterprise fiscal and taxation policies to highlight the expansion of employment orientation, reasonable definition of general taxpayer standards, and continue to adjust and reduce value-added tax small scale taxpayer levy rate. The President of the Federation of Business Huang Mengfu pointed out that "the tax burden of small and medium-sized enterprises is still heavier, financing problems have not been effectively resolved, restricting the SME adjustment structure, the pace of transfer." "According to the understanding, small and medium-sized enterprises accounted for more than 99% of the total number of enterprises in the country, absorbing more than 70% of urban employment and 90% of new employment."　　However, the small and medium-sized enterprise staff of about 80% for the lower wages of ordinary workers, their wages are generally lower than the social average wage, this small and medium-sized enterprises in the private sector performance.　　To this end, the International Federation of the "Twelve-Five" minimum wage multiplier plan, that is, the next 10-year minimum wage rate of not less than 15% of the annual increase, to 2020-year minimum wage double.　　Minimum wage 5 years doubled the growth rate of SME workers ' wages is not up to the growth rate of social average wages. On the same day, the "China Small and medium-sized Enterprises wage Survey" published by the National Federation of Trade shows that 2009 the average wage of private sector employees in urban and rural areas is 18199 yuan, which is 55.6% of the annual average wage of workers in urban private sector, which is 2.8% lower than 2008.　　The wage level of ordinary workers is lower and most of them fluctuate near the minimum wage. The reason for this is that the growth rate of the wages of small and medium-sized enterprises is not up to the growth rate of social average.　　The average annual wage of private-sector workers in urban and rural areas increased by 12% per cent in 2009, while the average annual salary of privately-employed workers grew by only 6.6% per cent.　　And because of such low wages, China's economy is growing more than it does in labor-intensive industries.　　Li Yiping, a professor at Renmin University of China, said that in South Korea and Taiwan, for example, the industry is generally upgraded in 78, and China's labor-intensive industries have not changed much in the past few decades, which is related to the cheap labor. "When Labor is cheap, labor is produced, machines are produced when they are cheap, and technology is produced when technology is cheap." Why is China a labor-intensive industry? Because our labor is cheap, "Li Yiping," Labor is expensive, but is a condition, is a lever, can take the road of technological innovation, can strengthen management. "The proposal of the International Federation of the rapid increase in the minimum wage, the implementation of the 5-year minimum wage double the method,Can quickly improve the average wages of small and medium-sized enterprises.　　At present, the average minimum wage of the 31 provinces and municipalities is 750 yuan/month, which is equivalent to the 31% of the average wage of workers in urban and rural areas (2400 yuan/month) in 2010, lower than the average average wage of the whole society 40% to 60%. Therefore, the "Twelve-Five" period of the minimum wage increase of more than 15% per annum, to 2015 year minimum wage, but also only the average wage of the community 40%.　　The 2016-2020-year minimum wage increases by more than 15% per cent a year, until 2020 to achieve the minimum wage level of 50% per cent of the average wage in society. "Corporate profits and owners ' equity in the next 10 years can still maintain a growth rate of more than 15% per cent and improve the wages of ordinary workers quickly."　　"The survey report concludes. For small and medium-sized enterprises and industrial and commercial households to lighten private enterprises, collective enterprises and employees of state-owned enterprises average annual wage ratio is 0.52:0.6:1.　　This is related to the high tax burden of small and medium-sized enterprises and individual households. To achieve the above goal, President Huang Mengfu pointed out that the current small and medium-sized enterprises need more support from the government.　　We should focus on expanding employment and safeguarding people's livelihood, establish the service concept of "helping small help small", and create a good policy and legal environment to promote the development of SMEs.　　Specifically, we can improve the tax policy of small and medium-sized enterprises, reasonable definition of general taxpayer standards, and continue to adjust and reduce the value-added tax small taxpayer's levy rate, to relieve the new small enterprises and individual entrepreneurial tax burden, the establishment of small labor-intensive enterprises tax preferential policies, and further clean-up of various administrative and career fees. It is understood that the current small enterprises, especially the employees of individual enterprises, the wages of medium-sized and large enterprises employees are much lower.　　The 2004 economic Census results show that the average annual wage ratio of large, medium-sized, small and individual industrial enterprises is 100:69:46:30. This gap has since continued to expand, to 2009 years, the private enterprise staff annual salary of 18199 yuan, and the collective enterprises and state-owned enterprises employees of the average annual wage ratio, the ratio of three to 0.52:0.6:1.　　This is related to the high tax burden of small and medium-sized enterprises and individual households. According to the survey of the Industrial and Commercial Association, the current commercial and industrial business tax starting point for 5000 yuan/month, according to gross margin 20% calculation, income only 1000 yuan/month, compared to a tax starting point 2000 yuan/month level is significantly lower. Therefore, the future of the self-employed tax, "should be a tax threshold as a basic reference to determine the starting point of the self-employed business tax, the starting point of the operating amount should be significantly increased." "At the same time, should continue to implement the small profit enterprise tax preferential policy, the annual taxable income is less than 30,000 yuan small profit enterprise, the income according to 50% into taxable income, at 20% tax rate." "This policy should not end at the end of 2010 and should be prolonged or extended for another 5 years." "Over the years allCountries do not have the standards of micro-enterprises. Ministry of Industry has just completed the division of micro-enterprise standards, is currently with the relevant ministries, is expected to report to the decision-making level.　　Zheng, deputy director of the Ministry of Industry and Small enterprises, said that the revision of the standard of small and medium-sized enterprises will be the study of the formulation and implementation of SME policies, strengthen the classification of guidance, improve the relevance and operability of policies, especially for small, micro-enterprises guidance and support will provide the basis for policy. He pointed out that "in the promotion of SMEs and non-public economic development, some work needs to be further improved, such as the relevant policy implementation should be further increased, operability should also be strengthened, laws and regulations, supporting measures need to be further improved." ”