Chinese economy hints at decline as government employees face major pay cut

Beijing: – China has announced a cut ranging between 20% and 25% in the salaries of the government employees. Whereas, new year bonuses announced for the employees and officers from the education department have been withdrawn. Reports of China recovering major debts from the entrepreneurs, investors, and local artists were also received earlier. Citing these developments, the media claim that the world’s second-largest economy is collapsing.

As per the information published by ‘Hongkong Post,’ the government agencies in the Henan, Jiangsu and Guangdong provinces have announced a cut of up to 25% in the salaries of its employees. Whereas, bonuses announced for the employees in the Shanghai, Shandong, Chongqing and Hubei Provinces, along with the above provinces, have been withdrawn indefinitely. The Chinese communist regime is not obliged to explain this action to the Chinese population.

But the Zero COVID Policy forcibly implemented given the Coronavirus pandemic has been jolting the industry sector for the last two years. At the same time, the additional debt has become unbearable for the communist regime and many crises like Evergrande are surfacing in China. It is being said that the Chinese officials are holding talks with the international banks and financial institutions to avert crises in the economy. Against this background, China seems to be cutting down salaries of the government employees to reduce the burden on the exchequer. Reports are already being received of the rising discontent in the Chinese population against the Jinping regime.