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Rural labor in industrial zones. A case study in industrial zones of Bac Ninh province

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RURAL MIGRANT LABOR IN INDUSTRIAL ZONES A case study in the industrial zones of

Bac Ninh province

Ph.D student: Ngo Trung Thanh

Supervisor: Prof. Philippe LEBAILLY

Co-supervisor: Dr. Nguyen Thi Dien

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Outline

IntroductionObjectivesMethodologyFindingsConclusion

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Introduction

Pattern of development and migration debate has never ended (Haas 2007)

Migration has became a key issue of development (Skeldon 2003)

Thousand industrial zones have been found in developing countries (

Milberg and Amengual 2008)

Low wages (Kusago and Tzannatos 1998). and unstable employment (Rondinelli 1987)

Labour-repressive environment and low union density (McCallum 2011)

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Introduction (cont)

Vietnam context:

No of IZs: 01 in 1991; 149 in 2007; and 289 in 2013

No of employment: 01 mill in 2006; 1.6 mill in 2011; and 2.1 mill in 2013

Ratio of migrant labor: Phu Tho and Thai Binh: 80%; Vinh Phuc: 70% and Bac Ninh 65%

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Objectives

Why do rural labors migrate to industrial zones?To identify who are the migrant labours in

industrial zones

To analyse the social economic factors of migrant’s household in sending areas

To analyse employment environment in the Industrial zones

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Migration

Analytical Framework

Pull

Push

Household

strategy

Induvidual

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Provinces Ha noi Bac Ninh Hai Duong Vinh Phuc IZs 14 15 11 20 Area (ha) 3.499,9 6.393,6 2.570,5 7.259,2 Total labour 129.4 63 37 Migration rate 65% 35% 70%

Year Total Domestic Migrant Migration rate (%)

2008 33,111 20,231 19,476 58.8 2009 41,323 21,900 19,423 47.0 2010 56,874 25,678 31,196 54.9 2011 87,053 35,655 51,398 59.0 2012 117,455 44,673 72,782 61.9 2013 129,423 45,197 84,226 65.0 Study site

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Yen Phong: 1200 ha 2005

Que Vo: > 600 ha 2001

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No of Household No of room for rent No of migrant worker

Phuong Lieu commune, Que Vo

Phuong Cau village 150 1720 2000

Do Nha village 300 1947 3600

Giang Lieu village 470 2935 5600

Ha Lieu village 7 53 88

Long Chau commune, Yen Phong

Ngo Xa village 345 5230 7368

Man Xa village 215 4595 5125

Chi Long village 400 2500 3492

Dai Chu village 7 43 96

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Methodology

List of HHS with room for rent Ten hhs in Ngo Xa, Yen Phong Ten hhs in Giang Lieu, Que Vo 98 migrants in Ngo Xa, Yen Phong 92 migrants in Giang Lieu, Que Vo Sample selection

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Findings

17 18 19 20 21 22 23 24 25 26 27 28 29 30 32 39 0 2 4 6 8 10 12 14 16 18 Total N 190 Mean 22.9 Median 23 Mode 20 Minimum 17 Maximum 39

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Secondary School High school Vocational School College University 22.63 77.37

Gender and Education level of migrant workers in industrial zones of Bac Ninh

Findings

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Bac N inh Thai Nguy en Bac G iang Hoa B inh Than h Ho a Phu Tho Nghe An Tuye n Qu ang Ninh Bin h Cao Bang Lang Son Yen Bai Nam Din h Thai binh Hai d uong Ha N am Son La Vinh Phu c HaNo i Bac K an Ha G iang Quan g Nin h 0 10 20 30 40 50 60 5 6 33 4 48 4 18 5 12 4 25 4 2 2 4 3 2 2 2 1 1 3 City 1 District town 12 Rural area 177 Total 190

Findings

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1 - 20.00 40.00 60.00 80.00 100.00 120.00 6.32 73.16 20.53

Well of Average Poor

0.0% 20.0% 40.0% 60.0% 80.0% 100.0% 120.0% 49.5% 17.4% 33.2%

Cultivation Husbandary Non-farm

Findings

Household status and main livelihood of workers before migration N = 190

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Findings

Livelihood activities No of HH Min Max Mean

No of labor in cultivation before migration 177 1 5 2.45

No of labor in cultivation after migration 177 0 5 2.12

No of labor in husbandry before migration 125 1 5 2.28

No of labor in husbandry after migration 125 0 5 1.93

No of labor in nonfarm before migration 99 1 4 1.58

No of labor in nonfarm after migration 99 0 4 1.57

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Findings

Livelihood activities

Decrease Unchange Increase

N

No % No % No %

Cultivation 19 10.0 171 90.0 - - 190

Husbandry 12 6.3 171 90.0 7 3.68 190

Nonfarm 1 0.5 178 93.7 11 5.79 190

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Findings

Frequency Percent

No inudustrial zone/factory 102 53.7%

Industrial zone, but not looking for job 72 37.9%

Industrial zone, looking for job, but not work 16 8.4%

Total 190 100%

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Findings

Low wage Distance (not close, not far) Not fit requirements Too close 0.0% 10.0% 20.0% 30.0% 40.0% 50.0% 60.0% 70.0% 80.0% 90.0% 73.9% 64.8% 59.1% 78.4%

Why migrant workers do not seek and work in nonfarm sector in sending areas?

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38.06% 12.29% 49.65% Do not know where are employees Stay home for housework Do not have social network 0 20 40 60 80 100 120 140 160 180 200 35 155

Seeking a job outside Industrial zone Not seeking a job outside Industrial zone

Findings

N = 190

Do they look for a job outside industrial zones in sending areas ? And Why? N = 155

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Current marriage status remittanceNo Importance ImportanceNot Total

Got Marriage - Husband/wife in

home town 0 19 5 24

Got Marriage - Husband/wife in

the IZ 9 27 9 45

Got Marriage - Husband/wife

outside the IZ 1 7 3 11

Single 8 57 43 108

Divorced 0 0 2 2

Total 18 110 62 190

Chi-Square Tests with sig = 0.012

Role of remittance

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• Easy requirement for employment in Industrial zones

– Secondary school diploma – Identity card

– Health certification: 200 VND on market (8 euro) – Age: 18 - 30

– Gender priority: Female

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Frequency Percent

Up to 12 months 119 63

From 13-24 months 55 29.1

From 25-36 months 14 7.4

More than 36 months 1 0.5

Total 189 100

Findings

How long have they worked in the Industrial zones?? The strategy of hiding labor?

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• Better working condition compare to agriculture works:

– Working inside with air conditioner – Light work

– Clean

– Higher wage by cash

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• Social network – what they do not have for employment in sending areas

– Relatives – Classmate

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Findings

• Trade of for future

– Working hours: 14 • 8h AM – 8h PM • 8h PM - 8h AM – Entertainment: • Phone • Sleep (6-8h/day)

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Plan for employment in IZ Frequency Percent Permanent 31 16.3 Temporary 149 78.4 Stop whatever 10 5.3 Total 190 100 Stay or move?

Findings

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Conclusion

• Push:

– Labor surplus and seasonal convertibility of agriculture products

– Lack of capital

– Poor social relations related to employment

• Pull:

– High demand of labor

– Employment strategy of enterprise – Working environment

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