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Some firms now impose mandatory clock-off times, shorter
work
weeks
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Recent changes have stemmed from new EU labour laws
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Chinese government also wants consumers to work less and
spend
more
By Farah Master and Sophie Yu
HONG KONG/BEIJING, April 9 (Reuters) - A handful of
major Chinese companies like home appliance maker Midea
have new badges of honour this year: mandatory
clock-off times for staff and bans on after-hours meetings.
Staff at Midea once toiled till late in the evening, but now
they're told to leave by 6:20 p.m. The company's page on social
media app WeChat even shows a photo of people listening to a
band with a caption that reads: "What do you do after work? It's
after work when life really starts."
In China, this counts as radical corporate messaging, a
sharp contrast to "996" or the practice of working from 9 a.m.
to 9 p.m. six days a week - famously called a "huge blessing" by
Alibaba ( BABA ) co-founder Jack Ma and an integral part of its tech
sector for much of the past 15 years.
Other companies have also made changes, even if not quite as
dramatic. At fellow appliance maker Haier, employees
have celebrated on social media the introduction of a five-day
work week. Workers at DJI, the world's largest drone
manufacturer, have posted about their joy at a new policy
declaring offices must be vacated by 9 p.m.
"No more worrying about missing the last metro, no more
worrying about waking up the wife when I get home," wrote one
DJI worker who said he often used to work past midnight.
Haier and DJI did not respond to requests for comment.
In another sign of how the zeitgeist for China Inc is slowly
changing, a Beijing law firm was fined in March for not taking
corrective measures after it illegally extended staff working
hours - a rare imposition of a penalty by authorities that drew
widespread praise on social media.
But whether these nascent corporate efforts will turn into
winds of change remains to be seen.
Analysts say the mandatory clock-offs seem to have been
prompted by changes to European Union labour laws rather than a
welling up of social pressure within China. And while "996" was
deemed illegal by China's top court in 2021, many people in tech
and finance still work extraordinary long hours. Recent years
have even seen the emergence of a new term "007", referring to
being either at work or on call all day every day.
Significantly, however, China's government is calling for
companies to abide by the country's 44 hour weekly work limit.
A State Council action plan to boost consumer spending
unveiled in March said workers' rights to rest and vacation
should be guaranteed and paid leave should be encouraged. State
media have also run articles making those points.
That fits with Chinese policymakers' desire to see the
world's second-largest economy driven more by consumption and
less reliant on exports - a goal that has only taken on more
urgency with the imposition of additional hefty U.S. tariffs
under President Donald Trump.
Shujin Chen, China economist at Jefferies, says that while
the government is earnest about promoting change, it won't be
easy given how the country's sputtering economic growth and lack
of jobs have fed financial insecurity.
"They want people to like relax more, have more holidays and
consume more," she said. "If you don't have enough income, and
if you hardly keep your job, it's very hard for people to do
that."
A LONG WEEK
China has a long average working week - at 46.1 hours in
2024, according to the International Labour Organisation. That
compares with 38.6 hours in South Korea, 38 hours in the United
States and 36.6 hours in Japan.
Chinese government data puts the number even higher at 49.1
hours in January, up from 46.2 in April 2022, the earliest date
for which data is publicly available. The sharp increase can be
explained by rising job insecurity, spurring people's
willingness to do more overtime.
Before this year, there had been some, albeit rare, pushback
within China against excessive working hours.
Tech workers launched online protests against "996" in 2019
and 2021. And last year, a PR executive at search engine giant
Baidu ( BIDU ) was made to apologise after demanding employees
have their phones on 24 hours a day and be always ready to
respond.
One tech behemoth, social media and gaming firm Tencent ( TCTZF )
, has also cut way back on overtime in at least some of
its units, meaning many workers no longer stay back, two
employees said. Tencent ( TCTZF ) did not reply to a request for comment.
This year's shift to mandatory clock-off times by some
companies stems from the EU's adoption of new rules in December,
said Liu Xingliang, a Beijing-based independent industry
analyst. The rules ban the sale of products made with forced
labour, a definition that encompasses excessive overtime.
"These big companies fear losing overseas orders due to
violations," said Liu, noting that while manufacturers of goods
were feeling pressure from this law, China's internet and
software firms are less likely to be impacted.
Midea formalised its new rules which ban "performative
overtime" in January and employee feedback has "definitely been
very positive," Zhao Lei, vice president of the company's home
air conditioning division, said in a statement.
"We want to focus on generating innovation and creating
value within the eight-hour work day, rather than after," he
said.
Not all employees are completely convinced, however.
"I am not sure the changes are sustainable," said one
employee who declined to be identified for fear of
repercussions.
The employee said he was typically on call 24 hours a day
and has previously been pulled into meetings even when on
vacation.
($1 = 7.2632 Chinese yuan)