China will try to keep its urban unemployment rate below 5 percent between 2006 and 2010 despite mounting pressure from growing labor forces.

In a 2006-2010 development outline, the Ministry of Labor and Social Security pledged to keep the registered unemployment rate in cities and towns below 5 percent, 0.8 percent higher than at the end of 2005. This will require the creation of job opportunities for an additional 45 million people.

Millions of new jobs will need to be created to accommodate the additional 45 million migrant workers who are encouraged to leave rural areas to reduce the labor force surplus in the countryside.

According to officials, the migrant worker population has doubled from a decade ago to reach 150 million, accounting for 11.5 percent of the population.

The ministry announced late last month that 9.32 million urban Chinese found jobs in the first nine months of the year, exceeding the year's target of 9 million.

As the world's most populous country, China will continue to be troubled by unemployment in future years, the outline said.

China's labor supply is expected to top 830 million by 2010. In urban regions, 50 million people will join the labor force, not including migrant workers, with a potential shortfall of 10 million jobs for urban residents.

Most of the employment pressure derives from workers laid-off by state or collective-owned businesses, an increasing number of graduates, rural labor transfer and farmers who lost their land due to industrial development or urbanization.

According to the outline, the government will maintain its active employment policy, help foster the private sector and boost the development of labor-intensive industries, service industries and small and medium-sized businesses.

Prejudice against farmer workers will gradually be dispelled in the process of building a unified labor market providing for both urbanites and farmers with an equal footing.

The government will try to remove obstacles restricting rural migrant workers working in regional and inter-regional employment.

To help farmers better adapt to the competitive market environment, the outline raised a bold objective to provide over 90 percent of new farmers with vocational training by 2010.

A universal labor contract system will help regulate labor disputes. Currently, over 90 percent of labor disputes are settled.

The government will also strive to expand social security coverage over the next four years. The aim is that, in urban regions, 223 million people will be covered by pension schemes, 300 million will be able to buy medical insurance and 120 million will be provided with unemployment insurance.

These figures represent an increase of 45 million people who will be covered by pension plans since 2005.

The number of farmers entitled to pension plans will gradually increase, the outline said although no figures were provided. The outline stressed that efforts will be made to ensure the social security of migrant workers and farmers who lose their land as a result of urbanization.

China's burgeoning elderly population has now surpassed 143 million.

The development outline also highlights the need to improve labor and social security-related laws to promote adequate employment and protection of workers' rights and interests.

(Xinhua News Agency November 9, 2006)