Reforming and standardizing income distribution system are very
important to China as the country's economic reform and development
is at critical juncture, participants of a high-level symposium
agreed in Beijing on Thursday.
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
opinions 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 size of 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
mainly depend on the well-being of local government finances and
therefore their pay varies with regions. To remedy the situation,
Hu proposed that extra stipend should be granted to civil servants
working in poor areas and in the regions.
He said that "a rational and scientific" salary system for civil
servants and "a reasonable pay rise mechanism" not only suit
China's economic system but will also help secure a steady and
robust civil service and facilitate reforms of the income
distribution system across the country.
Hu said that 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 will penalize
those who violate their jobs, he said.
The President said that China faced "a rather complicated
situation" while advancing the salary reform on civil servants and
must proceed from actual conditions to map out a plan allowing the
country to take the very first step and make continuous
improvement.
He said that to resolve the salary issue of civil servants,
efforts must be made to coordinate the interests of all walks of
life, especially those of the low-income, so that "the achievements
of China's economic reform could benefit everyone".
To phase out the disparity, Hu said the policies must be made
with the full consideration of the needs of the grass-roots and
remote and poverty-stricken areas.
He said that the pensions for retirees of public institutions
must be adjusted to a more reasonable level while those for retired
company employees should be properly raised.
Hu also noted the stipend standards for disabled servicemen,
family members of revolutionary martyrs and servicemen, retired
veterans and cadres and the basic subsistence for urban dwellers
need to be adjusted.
Given that the reform concerns the essential interests of every
Chinese, the President urged domestic parties, All-China Federation
of Industry and Commerce and people with non-party affiliations to
keep a close eye on this issue and timely transmit the opinions at
the grassroots to the government departments concerned.
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 introduced the situation on income
distribution reform.
(Xinhua News Agency July 7, 2006)