In 2018, manufacturing labor costs in China were estimated to be **** U.S. dollars per hour. This is compared to an estimated **** U.S. dollars per hour in Mexico, and **** U.S. dollars in Vietnam. Manufacturing jobs in the United States Many people in the United States believe manufacturing jobs to be the backbone of the U.S. economy, despite employment in the manufacturing sector decreasing since 1997, and the monthly change in manufacturing employment being highly variable. Although manufacturing added a value of about ** percent to the U.S. gross domestic product (GDP) in 2018, employment in the United States has been moving away from manufacturing to other means of employment. A difference in earnings Part of this steering away from manufacturing could be due to a difference in labor costs. While hourly wages in Vietnam were less than * U.S. dollars in 2018, hourly wages in the U.S. manufacturing sector hovered around ** U.S. dollars in 2018. The labor costs in the U.S. could simply be too high for companies, who look to countries such as China, Mexico, and Vietnam for cheaper labor.

Labour Costs in China increased to 60.70 points in May from 59.40 points in April of 2025. This dataset provides - China Labour Costs - actual values, historical data, forecast, chart, statistics, economic calendar and news.

In April 2025, China's monthly labor cost index ranged at **** index points. This was down from ** points in the previous month.

China Competitiveness Indicator: Relative Unit Labour Costs: Overall Economy data was reported at 97.921 2015=100 in 2025. This records a decrease from the previous number of 98.035 2015=100 for 2024. China Competitiveness Indicator: Relative Unit Labour Costs: Overall Economy data is updated yearly, averaging 74.713 2015=100 from Dec 1995 (Median) to 2025, with 31 observations. The data reached an all-time high of 102.164 2015=100 in 2022 and a record low of 34.753 2015=100 in 1995. China Competitiveness Indicator: Relative Unit Labour Costs: Overall Economy data remains active status in CEIC and is reported by Organisation for Economic Co-operation and Development. The data is categorized under Global Database’s China – Table CN.OECD.EO: Trade Statistics: Competitiveness Indicators In International Trade: Forecast: Non OECD Member: Annual. ULCDR - Indicator of competitiveness based on relative unit labour costs in total economyCompetitiveness-weighted relative unit labour costs for the overall economy in dollar terms. Competitiveness weights take into account the structure of competition in both export and import markets of the goods sector of 53 countries. An increase in the index indicates a real effective appreciation and a corresponding deterioration of the competitive position. Index, OECD reference year OECD calculation, see OECD Economic Outlook database documentation

This statistic shows manufacturing labor costs per hour for select countries around the world for the years 2002, 2015 and 2019. In 2019, manufacturing labor costs in China were projected to rise to 4.8 U.S. dollars per hour, up from 60 cents in 2002.

Hong Kong HK: Labour Cost Index data was reported at 133.119 2010=100 in 2016. This records an increase from the previous number of 128.286 2010=100 for 2015. Hong Kong HK: Labour Cost Index data is updated yearly, averaging 91.817 2010=100 from Dec 1982 (Median) to 2016, with 35 observations. The data reached an all-time high of 133.119 2010=100 in 2016 and a record low of 26.804 2010=100 in 1982. Hong Kong HK: Labour Cost Index data remains active status in CEIC and is reported by International Monetary Fund. The data is categorized under Global Database’s Hong Kong SAR – Table HK.IMF.IFS: Wages, Labour Cost and Employment Index: Annual.

Graph and download economic data for Share of Labour Compensation in GDP at Current National Prices for China (LABSHPCNA156NRUG) from 1952 to 2019 about compensation, China, labor, and GDP.

In 2019, the prices for labor and material in China's construction industry increased. Labor costs had an index value of 103.9, and material costs had an index value of 102.6. Over the years, expenditure for materials fluctuated, whereas the cost of labor increased continuously. It reflects a broader trend in China's labor market.

According to a survey conducted among U.S. enterprises in China in 2022, 84 percent of companies believed labor costs would increase to varying extents. The resources & industrial sector as well as Tech and R&D expected the largest increases, with 95 and 86 percent of companies respectively anticipating costs per employee rising by 5 percent or more.

Wages in Manufacturing in China increased to 103932 CNY/Year in 2023 from 97528 CNY/Year in 2022. This dataset provides - China Average Yearly Wages in Manufacturing - actual values, historical data, forecast, chart, statistics, economic calendar and news.

This dataset provides values for LABOUR COSTS reported in several countries. The data includes current values, previous releases, historical highs and record lows, release frequency, reported unit and currency.

Key information about China Labour Productivity Growth

• China Labour Productivity improved by 5.84 % YoY in Dec 2024, compared with a growth of 4.43 % in the previous year
• China Labour Productivity Growth data is updated yearly, available from Dec 1953 to Dec 2024, averaging at 7.34 %
• The data reached an all-time high of 15.12 % in Dec 1970 and a record low of -26.48 % in Dec 1961

CEIC calculates Labour Productivity Growth from annual Real GDP Index and annual Employment. The National Bureau of Statistics provides Real GDP, at 1978 prices. The Ministry of Human Resources and Social Security provides Employment. Employment excludes Foreign Nationals working within the country. Real GDP prior to 1979 is based on Real GDP PY=100.


Further information about China Labour Productivity Growth

• In the latest reports, China Population reached 1,408.28 Person mn in Dec 2024
• Its Unemployment Rate remained the same at 5.10 % in Dec 2024
• Monthly Earnings of China stood at 1,392.46 USD in Dec 2023
• The country's Labour Force Participation Rate increased to 65.83 % in Dec 2023

The cost of one hour of mechanic labor in automotive dealerships reached around 32 U.S. dollars in China in 2020. Hourly costs were overall similar, with less than 10 dollars of difference between the highest cost of labor in dealerships and the lowest cost in independent workshops.

Graph and download economic data for Import Price Index by Origin (NAICS): Chemical Manufacturing for China (COCHNZ325) from Jun 2012 to May 2025 about chemicals, imports, China, manufacturing, price index, indexes, and price.

In 2023, China's labor force amounted to approximately 772.2 million people. The labor force in China indicated a general decreasing trend in recent years. As both the size of the population in working age and the share of the population participating in the labor market are declining, this downward trend will most likely persist in the foreseeable future. A country’s labor force is defined as the total number of employable people and incorporates both the employed and the unemployed population. Population challenges for China One of the reasons for the shrinking labor force is the Chinese one-child policy, which had been in effect for nearly 40 years, until it was revoked in 2016. The controversial policy was intended to improve people’s living standards and optimize resource distribution through controlling the size of China’s expanding population. Nonetheless, the policy also led to negative impacts on the labor market, pension system and other societal aspects. Today, China is becoming an aging society. The increase of elderly people and the lack of young people will become a big challenge for China in this century. Employment in China Despite the slowing down of economic growth, China’s unemployment rate has sustained a relatively low rate. Complete production chains and a well-educated labor force make China’s labor market one of the most attractive in the world. Working conditions and salaries in China have also improved significantly over the past years. Due to China’s leading position in terms of talent in the technology industry, the country is now attracting investment from some of the world’s leading companies in the high-tech sector.

The index reflects the level of the total compensation of employees in the economy. The changes in the next to last column show the percent change in the index from three months ago (or the previous quarter if the data are quarterly) and the last column shows the percent change from the same month (or quarter) last year.

Foreign Direct Investment (FDI) is an important part of China’s new "double-cycle" development pattern. Among the many factors affecting FDI, will the aging population have an impact on manufacturing, the key industry for FDI? This paper examines the direct and indirect effects of an aging population on FDI using panel data from 27 manufacturing sub-industries in China between 2005 and 2020. It is found that (1) the deepening of the population’s aging negatively affects FDI inflows and this result continues to hold after a series of robustness tests. (2) Using labor quantity and labor cost as mediating variables, it is found that the population’s aging indirectly affects FDI by reducing labor quantity and increasing labor cost. (3) The heterogeneity analysis study finds that the deepening of the population’s aging significantly inhibits FDI in labor-intensive and capital-intensive industries among manufacturing sub-industries, and the inhibitory effect on FDI in technology-intensive industries is not significant. This study provides meso-evidence to support the findings of existing studies and provides suggestions and insights for the government to formulate relevant policies to actively cope with aging.

China Convenience Store Climate Index: Store: Labour Cost data was reported at 40.200 % in Sep 2018. This records an increase from the previous number of 29.600 % for Jun 2018. China Convenience Store Climate Index: Store: Labour Cost data is updated quarterly, averaging 35.100 % from Mar 2017 (Median) to Sep 2018, with 7 observations. The data reached an all-time high of 40.200 % in Sep 2018 and a record low of 29.600 % in Jun 2018. China Convenience Store Climate Index: Store: Labour Cost data remains active status in CEIC and is reported by Ministry of Commerce. The data is categorized under China Premium Database’s Consumer Goods and Services – Table CN.HSA: Convenience Store Climate Index.

Temporary Labor Market Outlook

The global temporary labor market size was valued at approximately $500 billion in 2023 and is projected to reach around $780 billion by 2032, growing at a compound annual growth rate (CAGR) of 5.1%. This growth is attributed to an increasing demand for flexible workforce solutions across various industry verticals and the rising need for cost-effective labor options amidst fluctuating economic conditions. The expanding gig economy and advancements in technology that facilitate remote work and temporary hiring processes are also significant contributing factors.

One of the primary growth drivers in the temporary labor market is the increasing preference for flexible work arrangements. Modern businesses are continuously seeking ways to adapt to market demands without the long-term commitment of permanent hires. Temporary labor allows companies to scale their workforce up or down based on project needs, seasonal demands, or economic conditions. This flexibility is particularly crucial in industries with high variability in workload, such as retail and hospitality, where demand can surge during certain periods and wane during others.

Another critical factor contributing to the growth of the temporary labor market is the rising trend of specialization within the workforce. As industries evolve, the demand for highly specialized skills has increased. Temporary labor provides a solution for companies needing niche expertise for specific projects or limited durations. For instance, in the IT and telecommunications sector, temporary professionals with specialized skills can be brought in to manage projects such as software development or network upgrades, ensuring that the company remains competitive without the need for permanent hires.

Technological advancements have also played a pivotal role in the expansion of the temporary labor market. Platforms and online marketplaces have emerged, making it easier for employers to connect with temporary workers and for workers to find short-term employment opportunities. These technologies streamline the hiring process, reduce overhead costs, and ensure a better match between employers' needs and workers' skills. Additionally, the growth of remote work enables businesses to hire temporary labor from a global talent pool, further enhancing their operational flexibility.

Temporary Healthcare Staffing has emerged as a critical component within the broader temporary labor market, particularly in response to the dynamic needs of the healthcare industry. The demand for temporary healthcare professionals, such as nurses, medical technicians, and administrative staff, is driven by the necessity to address staffing shortages and manage fluctuating patient care demands. This flexibility is essential for healthcare facilities to maintain high standards of care, especially during peak periods or unforeseen circumstances, such as public health emergencies. Temporary healthcare staffing not only provides a solution to immediate staffing gaps but also allows healthcare providers to access specialized skills and expertise without the long-term commitment of permanent hires.

Regionally, North America remains a significant player in the temporary labor market, driven by a well-established gig economy and a high rate of technological adoption. The Asia Pacific region is expected to experience the fastest growth, with countries like India and China leading the way due to their large labor force and rapidly expanding industries. Europe also shows robust demand for temporary labor, especially in sectors like manufacturing and healthcare. The Middle East & Africa and Latin America, while smaller in market size, are gradually catching up as businesses in these regions recognize the benefits of flexible labor solutions.

Employment Type Analysis

When segmented by employment type, the temporary labor market can be broadly categorized into skilled labor, unskilled labor, and professional services. Skilled labor includes workers who have specific skills or training, such as electricians, plumbers, and machine operators. This segment is crucial for industries that require precision and expertise, like construction and manufacturing. The demand for skilled labor is robust, driven by ongoing infrastructure projects and the need for specialized trades that cannot be easily automated.

Unskilled labor, on the other hand, comprises workers who pe

Wages in China increased to 120698 CNY/Year in 2023 from 114029 CNY/Year in 2022. This dataset provides - China Average Yearly Wages - actual values, historical data, forecast, chart, statistics, economic calendar and news.