Comments: Alternative data shows that the Chinese employment market is worse than offi

Source: Bloomberg

Author: yujing liu

Alternative data shows that China's labor market is weak and damaged people's confidence in the world's second largest economy, forming a sharp contrast to the official employment indicators of employment stable.

The independent analysis of Internet recruitment information and the official economy and family survey showed that the Chinese employment market deteriorated in the third quarter of this year, and the fatigue continued until October and November.Consumer confidence is still downturn, and the starting salary of Chinese companies is also declining.

The official urban survey rate of China's official urban survey is stable in October, with the same 5%as the previous month, but this is also lower than 5.5%at the beginning of the year.

The differences between the official data and alternative data reflect the worries of the economist's unemployment rate announced by the China Statistics Bureau's announcement.This data also shows that the weakness of consumer confidence is deeply ingrained, which may exacerbate the pressure of shrinkage and highlight that economic growth is facing a major challenge.

"The official urban unemployment rate no longer reflects the difficulties in the employment market," said Dan Wang, chief economist of Hang Seng Bank.

Data limit

One of the Quantcube Technologies headquartered in Paris in the

Alternative data is an employment indicator based on Internet recruitment information.Since July, the index is still more than 40%lower than the same period last year.

This shows that "China's employment market is currently seriously weak and has not shown signs of recent recovery," said Thanh-Long Huynh, CEO of Quantcube.

Economist pointed out that some of the defects of the official unemployment rate limited their ability to reflect the overall labor market: this data only covers urban areas and may miss some migrant workers.

"Employment has not sufficient employment has become a practical problem facing China, and it is also a new problem," said Wang of Hang Seng Bank.For example, some people can only go to part -time jobs, and some migrant workers leave the city and return to rural areas to find a job.

The official employment market data also has less details this year.China has stopped announced the unemployment rate of all ages this summer -including the youth unemployment rate -saying that labor survey statistics need to be further improved and optimized.The central bank's residents' employment outlook for the quarterly survey has not been updated since June without any explanation.