China jobs: Gen Z graduates turn to cleaning as Beijing looks to domestic services to mop up unemployed youth, veterans
- China’s youth unemployment rate rose to a record high in June, pushing Beijing to vow to put job creation at the forefront of its plans in the second half of the year
- A record 11.58 million graduates are entering China’s workforce this year, with steps taken to encourage the housekeeping industry to employ young people and veterans
Two months after being laid off by a film and television company in Shenzhen in May, Deng Jun returned to his hometown in Hunan province to take up a job in the domestic service industry.
The 21-year-old, who started work in December before graduating in June with a major in post-production having, is in the process of completing a 30-day training course as part of his probation period, during which time he will earn 2,000 yuan (US$278) per month.
“The employment situation this year is becoming increasingly pessimistic. It is so hard to find a job,” said Deng, who is one of a record 11.58 million graduates entering China’s workforce this year.
Beijing has vowed to put job creation at the forefront of its plans in the second half of the year, with steps already taken to encourage the housekeeping industry to employ young people and graduates.
Deng starts his training at 9am and finishes at 5.30pm, including a lunch break of up to two hours, while he only receives three days off every month.
“It is indeed very tiring, causing lots of back pain,” he added. “Anyway, it is much better than staying at home every day.”
Deng will earn 2,500 yuan plus commission after completing his probationary period, which includes the 30-day training course.
According to China’s statistics department in January, the national average annual income was 36,883 yuan (US$5,098).
“Our company is made up of young people and has a happy working atmosphere. I see great potential for its development,” he said.
According to iiMedia Research, 93.8 per cent of consumers in China used a domestic service in 2022.
The scale of China’s domestic services market increased nearly fourfold from 277.6 billion yuan (US$38.6 billion) in 2015 to 1.01 trillion yuan in 2021, and it is expected to rise further to 1.16 trillion yuan by 2023.
“Young people have the advantage of stronger physical ability and communication skills, allowing them to better understand the needs of customers compared to the middle-aged,” said 33-year-old Yang Chunmei, who established her own housekeeping company in Sichuan province in 2021, mainly focusing on high-end cleaning services.
“The majority of the employees are in their twenties, with a trend that more and more Generation Z have joined the company.”
Yang pointed out that the more friendly working environment, flexible hours and relatively high salary of 7,000 yuan to 8,000 yuan per month might go some way to explaining the increase in popularity.
“Veterans usually have a strong sense of responsibility and endurance when doing cleaning work. That’s why we give priority to them during the recruitment process,” she added.
Similar to its younger workforce, Yang’s company is also targeting a younger clientele who are seeking a higher-quality living experience.
“Judging from the trend of China’s structural transformation, the future industries will be dominated by the service sector,” said Chen Jianwei, an associate researcher with the Institute of Education and Economy Research at the University of International Business and Economics.
He noted that there is a strong demand for domestic services, which can provide a large number of job opportunities and alleviate employment pressures.
However, the housekeeping sector has a development ceiling determined by its insufficient payment elasticity and lack of regulation, added Chen.
“Young people can take this kind of job as a transition, gaining some experience and skills,” he said.
A 26-year-old nicknamed Yun Duo who graduated from Guizhou Normal University with a degree in political science and public administration has been working as a live-in domestic helper in Guangdong province.
Yun, who only provided her nickname due to the sensitivity of the issue, is hoping to start paying off her student loan by saving on rent and food expenses.