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To settle claims related to his death, local press reported that Liu Pan’s family accepted a settlement from the factory. In November one child died and 11 children were critically injured in an explosion at an illegal fireworks shop near Guilin. Two owners of the workshop were in police custody on charges of employing child labor and producing dangerous goods without a license. The children, ages 7 to 15, were local students paid to make firecrackers at the workshop after school. In July 2008 party secretary Ji Bingxuan of Heilongjiang directed local police to rescue Du Xiguang, a 14-year-old migrant child worker in Harbin, and instructed local police to ensure that no business in the city hired children. On April 1, the government announced a reward system to encourage persons to report the use of child labor, and it continued to react strongly to any publicized cases of child labor. However, many experts believed that child labor could not be eliminated without reform of rural education system and increased rural economic activity. There was no national minimum wage, but the labor law requires local governments to set their own minimum wage according to standards promulgated by the Ministry of Human Resources and Social Security. In June a local blogger posted photographs of child laborers in Wuhan, including two school-age children repairing vehicles outside. These standards include the minimum cost of living for workers and their families, levels of economic development, and employment in the area, as well as the level of social insurance and other benefits contributions paid by the employees themselves. The regulation states that labor and social security bureaus at or above the county level are responsible for enforcement of the law. Labor bureaus set these standards to cover basic needs. It provides that where the ACFTU finds an employer in violation of the regulation, it shall have the power to demand that the relevant labor bureaus deal with the case. Governments at various levels continued their efforts to prevent arrears and recover payment of missing wages and insurance contributions. Wage arrears remained a common problem. Legal aid lawyers and government sources reported that nonpayment or underpayment of wages accounted for a large portion of labor disputes. The incidence of wage arrears continued to increase early in the year as many of the country’s export-oriented manufacturers, facing a sharp decline in orders from overseas, began to lay off large numbers of workers. The estimated 230 million migrant workers faced numerous other obstacles with regard to working conditions and labor rights.
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