Why Does the U.S. Congress Care About Chinese Laborers?

The U.S. aided Europe in restraining the former Soviet Union and its expansion to Western countries in order to protect the interests of the haves and the capitalists. Americans were at a loss when the People’s Republic of China (PRC) was founded.

So it’s strange that the AFL-CIO is now concerned with the situation and welfare of mainland Chinese workers.

As early as 2004, the largest trade union in the US, the American Federation of Labor and Congress of Industrial Organizations (AFL-CIO), pleaded with President Bush to begin investigation into the welfare of mainland Chinese laborers. The president rejected the plea for the sake of the Sino-U.S. relationship.

Now the AFL-CIO is again asking the government to investigate the welfare of mainland Chinese laborers.

It has been reported that the largest American trade union is considering submitting a request to President Obama to investigate the welfare of Chinese workers. Once the plea is submitted, the Office of the United States Trade Representative must make a decision in 45 days of either rejection or acceptance. If accepted the officials will complete the investigation in a year and establish what further action should be taken.

The constituents of the trade union wield significant clout in American policy making. With its 11.5 million members and holding nearly 60 million votes in the next presidential election, if the union does look to Obama on this issue, the government will face great pressure.

So why do American trade unions concern themselves with the welfare of Chinese workers? Is it as passionate practitioners of the Marxist doctrine “Workers of the world, unite!”, trying to improve the welfare of Chinese workers?

No.

First, the immediate reason for the AFL-CIO to care about the welfare of laborers in mainland China is to relieve the worsening unemployment problem haunting American workers, which would reduce the competition from Chinese workers in this age of globalization. In terms of the cost of human resources, Chinese workers are more cost-competitive than American workers. And that is the reason American firms have moved their factories to mainland China. So it is simple that if the AFL-CIO can force the elevation of the wages of Chinese workers, it will relieve the competitive pressure on the American labor.

Second, the AFL-CIO expects a reduction in competitive pressures on American-made products in the case of a pay rise for the laborers of China’s mainland. The low wages of Chinese laborers have been keeping its manufacturing operation costs low, which result in much lower prices for Chinese-made products than that American-made ones. At a time when the U.S. is deep in an economic crisis and the incomes of its citizens continue dwindling, Chinese-made products become more attractive to Americans. If things continue like this, what is the way out for American manufacturers? More importantly, where will American labor be employed?

Third, the AFL-CIO is trying to relive the trade deficit against China through forcing an increase in wages for Chinese workers.

As for the motivations of the AFL-CIO, it is absolutely not a question of morality. If they are doing this out of a sense of justice, they would have done it earlier. Though it’s not a lofty motive, the AFL-CIO’s actions will be undoubtedly welcomed by Chinese workers. And it’s also a warning to the Chinese government and the All-China Federation of Trade Unions that it’s high time to raise the income of Chinese workers.