Research On The Influencing Factors Of "labor Shortage"in Textile And Garment Industry Of Jiangsu Province

Since “labor shortage” first occurred in Dongguan in early2004, recruitmentdifficulties have rapidly spread on the entire Pearl River Delta, Yangtze River Delta andBohai Gulf Rim, and even spread to the central and western inland areas in China.“Laborshortage” occurred relatively late in Jiangsu Province and mainly concentrated in thelabor-intensive industries represented by textile and garment industry, etc., which hasbrought dual influences on the economic development of Jiangsu Province. It not onlyimpacts the development of textile and garment industry, but also brings new developmentopportunities for textile and garment industry.Under such circumstances, this paper studies the influencing factors of “laborshortage” in textile and garment industry of Jiangsu Province, mainly by means of literatureanalysis, questionnaire, interviewing and empirical analysis on the basis of domestic andoverseas research of “labor shortage” and urban and rural labor migration theory, theory oflabor supply and demand as well as human capital theory.Firstly, this paper analyzes the status quo, features and influences of “labor shortage”in China and Jiangsu Province. Secondly, from the analysis of Lewis Turning-Point, itconcludes that the main reasons for “labor shortage” are not shortage of rural surplus labor,but the obstruction against the transfer of rural labor due to various reasons. Then, fromlabor supply and demand, it analyzes the factors which lead to the insufficient effectivesupply of migrant workers and affect the occupational mobility of migrant workers, thuscausing “labor shortage”. From the aspect of labor supply, peasant laborer wage, ruralincomes, human capital of peasant worker, employment discrimination, modernization levelof agriculture affect the rural labor effective supply. From the aspect of labor demand,macro-economic and regional economy development affect demand for labor. Themodification of Todaro Model based on this basis, withdraw essential six factors andanalysis the impact factors of labor shortage by using ridge regression. The results show thatto increase the income of peasant workers, improve the modernization level of agriculture,promote the process of urbanization and improve education may promote the migration ofrural labors. To alleviate such shortage of the labor force, the government could help theunemployed shift to other job posts regularly, and promote the reasonable deployment oflabor force resources. Considering the pressure of employment and abundance of labor resources in China, the development of the textile and garment industry is important, But,from the long-term perspective, the textile and garment industry has to transform andupgrade.