As Kelvin stated, China now faces a conflict in whether to increase the awareness of labour or keep labour cost low to attract foreign firms. I believe that this is a problem that can only be solved by time and development. As China is still a developing country, regardless its high rate of growth, it still has people living in poverty and uneducated. The increase in development in the city draws more and more people from the rural area to urban and suburban for jobs. The only work that they can do are low-paid-manufacturing works. Also as China is a communist country, there is no culture for the labour right movements.
There seems to be no perfect solution for this. However as the country develop, labour’s right will be brought into concern. Education is improving, and the out flow of agriculture labour to low-paid-assemble jobs will eventually stop as the production in agriculture decreases. So the increase in labour price is inevitable.
In the other hand, treatment of labour will be improved foreign companies will face pressure from the public. Also, China will not lose from higher labour cost due to its high efficiency and economy of scale.
Link: https://blogs.ubc.ca/kelvinleung/2012/10/07/foxconns-iphone-plant-paralyzed-as-workers-strike/
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