Zombie fight

4 March 2016 By Rachel Morarjee

The ruling Communist party will unveil plans to tackle moribund industries like coal and cement at its annual political meeting which begins on March 5. But even laying off 6 million workers by 2018 won’t deal with overcapacity. Finding new jobs for the living dead is another challenge.

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Chinese Premier Li Keqiang will unveil the ruling Communist Party’s 13th Five-Year Plan which will set out the country’s economic road map at the annual meeting of parliament which begins on March 5.

Authorities said on Feb. 29 that China expected to lay off 1.8 million workers in the coal and steel industries although they gave no clear timeline.

Sources told Reuters that planners may lay off up to 6 million workers in seven sectors dogged by overcapacity including coal, steel, cement and ship-building. The government has set aside 150 billion yuan ($23 billion) to deal with the problem, the sources said.

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