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They are mostly labor-intensive, producing low value-added products, struggling in a fiercely competitive market in which price rising isn’t an option. Once the worker’s salary swells, they are left with a very slim profit, or nothing. This seems to me one very direct reason that leads to the consequences mentioned above.
However, if the impact is so seemingly destructive to our economy, why introduce the New Labor Contract Law in the first place, what’s wrong with the old one? In case you didn’t notice, there is a bigger scheme behind—bring our country to a higher level. And this, in my opinion, is the reason in a deeper sense...
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