Urban salary increase hits 6-yr high in 2007

The average salary of employees working in China’s urban areas rose by 18.7% to US$3,561 in 2007, representing the largest pecentage gain in six years, state media reported. A statement by the National Bureau of Statistics pointed to sound corporate performance and rising low-level salaries as reasons for the overall increase. However, the statement highlighted ongoing salary gaps between industries, noting that prevailing corporate governance and personnel management practices had crippled the market’s ability to smooth out these gaps. Average salaries comprise basic wages, bonuses, and all allowances and subsidies.