Haikou City requires construction units to pay migrant workers' wages monthly—a move that delights migrant workers but complicates the mood of developers and contractors. How much impact can it realistically have?

　　The Haikou labor security supervision department does not have full confidence in this measure. They have drawn up an ideal blueprint but lack effective means to enforce it. "Solving one case is one case; having something is better than nothing," said He Qing, chief of the Supervision Section of the Haikou Labor Security Supervision Detachment, when discussing monthly wage payments for migrant workers. He noted that wage arrears incidents at Haikou construction sites occur intensively at the end of the year, keeping labor supervision departments extremely busy, thus they have to increase proactive law enforcement efforts during normal times.

　　"Currently, the Haikou construction market is chaotic and does not yet have the conditions to implement monthly wage payments for migrant workers, but multiple approaches can be taken to protect their interests," said a responsible person from a construction company. He expressed reservations about the measure, believing that the long "chain" of wage payment would make monthly payments an empty talk. He suggested that solving the migrant workers' wage issue should find a breakthrough point, starting with easily operable means such as submitting employee rosters and making project fund flows transparent for supervision.

　　What migrant workers care about is whether this regulation can ensure their sweat under the scorching sun is duly rewarded. "To help migrant workers, law enforcement departments should put in more solid effort and less showy gestures," said a migrant worker.

　　The Haikou labor security supervision department has recently piloted a "monthly wage payment system for migrant workers" in some enterprises.

　　Frequent Wage Arrears Incidents

　　Starting from February, Haikou promotes monthly payment of migrant workers' wages

　　In Haikou's summer, the scorching sun or torrential rain often soaks migrant workers' clothes more frequently. Recently, He Qing, chief of the Supervision Section of the Haikou Labor Security Supervision Detachment, and his colleagues have also been shuttling between various construction sites.

　　May is the third month since Haikou City implemented the monthly notification system for migrant workers' wage payments, requiring enterprises to pay workers monthly and submit employment materials such as employee rosters. Before this, He Qing and his colleagues, as well as labor security supervisors from various districts, had to go to specific construction sites with promotional materials and various forms to convey the requirements of the monthly notification system for migrant workers' wage payments. Currently, more than 20 enterprises in Haikou High-tech Zone are gradually implementing the regulation.

　　The background of this new measure is the intensive occurrence of wage arrears at the end of the year and the urgency of such incidents. Since February 1, 2011, the crime of refusing to pay labor remuneration has been included in China's Criminal Law Amendment, yet malicious wage arrears still cannot be curbed. Labor departments have to consider how to intervene before incidents occur and proactively solve problems.

　　According to reports, after the implementation of the monthly notification system for migrant workers' wage payments, starting from May, labor supervision departments in each district will monthly collect statistics on the collection of wage guarantee deposits and wage payments at construction sites, and report them level by level to the Haikou Labor Security Supervision Detachment and the Haikou Human Resources and Social Security Bureau the following month. The Haikou Human Resources and Social Security Bureau will incorporate the monthly notification of migrant workers' wage payments into the annual assessment of work target management. Construction enterprises must submit to labor supervision departments monthly important information including basic information forms of migrant workers (employee rosters), wage payment forms for migrant workers, construction project information registration forms, and labor contracts.

　　The labor security supervision department has also clarified the division of responsibilities among units in the construction field. Among them, the responsibilities of the construction unit include paying wage guarantee funds according to relevant regulations and depositing them into a designated special account; paying project funds as agreed, clarifying labor wage payments, and urging construction enterprises to pay. The responsibilities of the general contractor include timely settling project funds with subcontractors as per contract. The responsibilities of subcontractors and labor service companies include establishing employee rosters for migrant workers and creating detailed wage payment records for migrant workers.

　　"This should be a normative thing," He Qing said, hoping that through these measures, the intensive occurrence of wage arrears incidents can be alleviated.

　　Insufficient Manpower and Single Means

　　Law enforcement officers sigh: solving one case is one case

　　Measures have been introduced, but law enforcement departments cannot give a firm commitment on the implementation effect.

　　"We have set task indicators to visit 800 construction sites," He Qing said. After going to these sites, the labor security supervision department will check their social security payment status, contract signing, employment conditions, etc., "requiring them to sign simple contracts with migrant workers and submit wage forms and employee rosters to us monthly. If they don't report to us, we will require them to rectify and penalize them."

　　The attitude seems resolute, but He Qing indicated that the law enforcement department still doesn't know where the "enemy" is. "Whether there are thousands or tens of thousands of construction sites in Haikou is still unclear. Since projects are dynamic, the law enforcement department doesn't know where the projects are. If the competent department provides information to us, that's good; if not, we have to find them ourselves." He Qing's plan is to start in places like the Bonded Zone and Guilin Yang, trying from easy to difficult.

　　When asked how to visit these 800 construction sites, He Qing said that the manpower issue is indeed a major difficulty. "It's difficult and manpower is indeed scarce. The Haikou Labor Security Supervision Detachment has more than ten people, and the entire Haikou City has only 47 people specifically doing labor supervision." He Qing said he can imagine that this measure will encounter great difficulties when first implemented.

　　The single law enforcement means also worries He Qing. He Qing said that currently penalties are imposed according to the labor supervision regulations. When construction sites fail to submit materials as required, the labor security supervision department requires them to rectify; if rectification does not meet standards, penalties are imposed, "with fines ranging from 2,000 to 20,000 yuan depending on the severity." He Qing said it cannot be ruled out that some construction sites would rather accept fines, "but our power is only this much."

　　He Qing said no one can guarantee the effect after this measure is launched. "It can only be said that this is a positive attempt; solving one case is one case, and having something is better than nothing."

　　Law Enforcement Difficulties Throughout the Chain

　　Monthly Wage Payments May Face Practical Dilemmas

　　With the new measure introduced, industry insiders have mixed attitudes. In interviews, several industry insiders said that compared to the mainland, Hainan's construction market is more chaotic. Few places in the mainland can achieve monthly wage payments for migrant workers; implementing it in Hainan may encounter practical dilemmas.

　　"Monthly payment for migrant workers? The intention is good, but whether it can be implemented is debatable," said a responsible person from the Hainan Branch of China Railway Construction Group Co., Ltd. The construction industry has its particularities, with a very long payment chain. The legal payment path also requires the developer to pay the general contractor, who then pays subcontractors, and finally subcontractors pay migrant workers. "As long as one link in this chain is blocked, migrant workers' wages cannot be paid smoothly." The person said that the construction industry generally pays project funds based on progress, but in practice, even progress payments cannot be timely. "There is still a gap in supervision of the entire chain."

　　Wu, deputy head of the Haikou Labor Security Supervision Detachment, admitted that the implementation of this new measure may alleviate the wage payment situation for migrant workers somewhat, but it is difficult to operate from a root-cause perspective. "The market is not standardized, there are many hidden tricks, and where there are tricks, problems easily arise. Often the developer doesn't pay, the contractor has to advance funds, capital turnover fails, and problems appear."

　　Multi-party Efforts and Multiple Approaches

　　Implementation of the System Requires Solid Law Enforcement Efforts

　　Regardless of the outcome of Haikou's new measure, the topics it raises deserve attention from all sectors of society: migrant workers come to the city with the hopes of their families, shed blood and sweat—how can we prevent them from shedding tears again?

　　Lin Feng believes that the reason many construction sites have wage arrears is poor information flow. "Migrant workers below don't know that project funds have been paid. When they want to collect wages, the contractor says the funds haven't been paid above; the developer says the project funds have been paid in full, doesn't know you, and tells you to find the contractor." Lin Feng said that to solve this problem, law enforcement departments only need to require each construction site to make project fund payments transparent.

　　"Monthly wage payments do not have mature conditions; we can start with other operable things," said a responsible person from the Hainan Branch of China Railway Construction Group Co., Ltd. Law enforcement departments can start with submitting detailed employee rosters, go to construction sites to promote awareness, and let migrant workers understand the importance of rosters.

　　Migrant workers themselves are also an unavoidable subject in solving the wage payment issue. Wu, deputy head of the Haikou Labor Security Supervision Detachment, said that in reality many migrant workers work for others based only on verbal agreements, making it difficult to handle problems when they arise. Therefore, whether it's monthly wage payments or other measures, the cooperation of migrant workers is needed to accomplish them.