As China's economic reform and development were at critical
point those attending a high-level symposium on Thursday agreed
that reforming and standardizing the country's income distribution
system was significant for the country.
President Hu Jintao, also general secretary of the
Central Committee of the Communist Party of China (CPC), presided over the symposium where China's
democratic parties, the All-China Federation of Industry and
Commerce and non-party personages were invited to give their views
on the upcoming income distribution reform.
A release from the symposium said that the CPC would "seriously
consider and absorb" the comments and advice which Hu said were
"full of insights".
Calling the reform "an important issue in China's political and
economic life" Hu said in a speech that the CPC Central Committee
would strive to defend social equality and close the wealth gap by
raising the income of the low-paid, expanding the middle classes,
wiping out illegitimate incomes and putting a curb on excessively
high salaries.
A source close to the meeting said that reforming the payment
system for civil servants was high on the agenda of the
symposium.
Under the Civil Servants Law implemented on January 1, China
must have a uniform salary system across the country. This would
mean there would be no gap in salaries for civil servants of the
same rank.
Currently the salaries for civil servants of the same rank
depends, to a great extent, on healthy local government finances
and therefore their salaries can vary from region to region. To
remedy this Hu proposed that additional funds be made available to
civil servants working in poorer areas.
He said that "a rational and scientific" salary system for civil
servants and "a reasonable pay rise mechanism" not only suited
China's economic system but would also help secure a steady and
robust civil service and facilitate reforms of the income
distribution system across the country.
Hu said the core issue was to establish a good framework which
could turn wages into effective incentives inspiring civil servants
to serve the country honestly and industriously. The framework
should also include a system that would penalize those who violated
their positions, he said.
Hu said that China faced "a rather complicated situation" while
advancing the salary reforms for civil servants. He indicated that
things must proceed from the current actual situation and a plan
should be mapped out allowing the country to take the very first
step and make continuous improvements.
He said that to resolve the salary issue of civil servants
efforts should be made to coordinate the interests of all
walks of life especially those on low-incomes so that "the
achievements of China's economic reform could benefit
everyone".
To phase out the disparity, Hu said, policies had to be enacted
with the full consideration of the needs of those at the
grass-roots and living in remote and poverty-stricken areas.
He said the pensions of retirees from public institutions should
be adjusted to a more reasonable level while those for retired
company employees required to be increased.
Hu also indicated that stipend levels for disabled servicemen,
family members of revolutionary martyrs and servicemen, retired
veterans and cadres and the basic subsistence for urban dwellers
required adjustment.
Given that the reforms concerned the interests of all Chinese,
Hu urged democratic parties, the All-China Federation of
Industry and Commerce and people with non-party affiliations to
keep a close watch on the issue and relay the opinions at the
grassroots level to the appropriate government
departments.
Jia Qinglin and Zeng Qinghong, members of the Standing
Committee of the Political Bureau of the CPC Central Committee
attended the symposium at which Premier Wen Jiabao addressed the issue of income
distribution reform.
(Xinhua News Agency July 7, 2006)