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China to Expand Social Security Network
The Chinese government is to expand the coverage of social welfare in urban areas and increase aid to the poor next year, official sources said Thursday.

Minister of Finance Xiang Huaicheng said at an ongoing meeting on finance that starting from 2003, the government will grant low-income allowances to employees in troubled state-owned enterprises suffering perennial losses or having stopped production for a longtime.

These employees are current out of the reach of government subsidies. Retired and laid off workers of state-owned enterprises and urban residents living under the poverty line are receiving government assistance.

Xiang said the government will spend more on social security and expand the coverage of the social welfare network so as to promote social stability.

He said the government will also devote more resources to help ex-service persons, model labors and rural residents who are unable to support themselves.

He said the central government will increase transfer payment to local governments in underdeveloped areas so as to guarantee full and prompt payment of wages to local government employees.

He said the government will continue to adopt preferential policies on expansion of employment and re-employment of laid off workers.

(Xinhua News Agency December 27, 2002)

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