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Fun: From labor shortage to unemployment, what has happened to the foundry industry?
Release time:2019-08-09 Publisher: Sanhe Machinery

Environmental inspections have affected various industries in the industrial sector, and the casting industry is also unable to escape this disaster. Recently, strict environmental inspections have swept across major cities across the country, causing many small and medium-sized foundries to pay a painful price of shutdown, rectification, and even bankruptcy. Compared to the shortage of workers in the casting industry in 2018, there will be a wave of unemployment in the second half of 2019.


With more and more small foundries closing down and closing down, it is becoming increasingly difficult for foundry workers to find jobs, and the decline in worker wages is also significant.
Let's take a look at several sets of data.
Throughout July, there were 960 job positions advertised in our video recruitment, and the number of job seekers was 2236. Job seekers are more than twice as many as job seekers.
In terms of wages, there has also been a significant decline. In our group of foundry workers, we found through investigation that the wages of furnace workers have decreased by approximately 15%, while the wages of small workers have decreased by more than 20%.
The average monthly salary of furnace workers in northern foundries is about 6000-6500 yuan. At the beginning of the year, the salary of northern furnace workers increased to 7500-8000 yuan. The decrease in wages in the southern region is less than in the northern region. However, southern foundries have generally increased the working hours of casting workers or reduced wage expenditures by reducing the number of small workers. Although the salary is low, there are still many workers who cannot find work to do.
What is the reason for the phenomenon of workers being unable to find jobs in the foundry industry, despite the shortage of workers?
Reason one is the upgrading of the casting industry, which has launched a large number of mechanized equipment, transforming the originally labor-intensive casting factories into a machine dominated industry. In the era of manual modeling, a foundry with an annual output of 3000 tons of castings had to employ between 150 and 200 people. A foundry with an annual output of 20000 tons can handle it with 50-60 people. The comprehensive mechanical process of the foundry has prevented a large number of foundry workers from finding jobs. Most of the foundry workers have low educational qualifications, and many are rural migrant workers over the age of 40. Apart from casting, they do not have any other skills and find it difficult to find suitable jobs. Therefore, they can only look for jobs in the casting industry again.
Another reason why it is difficult for foundry workers to find jobs is that a large number of small foundries have been shut down, resulting in unemployment for foundry workers. From 2016 to early 2019, nearly 10000 small foundries were shut down in China. A small foundry has an average of 50 foundry workers working, and the closure of the foundry has increased the number of job seekers in the foundry industry by 500000.
Based on the above analysis, we can see that having around one million workers in a foundry is sufficient. However, mechanization and the closure of small factories have added nearly one million casting workers to the casting industry. Some of these foundry workers have switched careers. Some went to other industries, looked around, and came back. People who have been engaged in casting work for a long time may find it difficult to find jobs in other industries. Spending the same amount of physical effort, you haven't earned much from casting yet. In addition, with the process of mechanization in various industries, there are a large number of surplus workers in the low-end labor force sector. Making a lot of money is not easy to find a job.
And now, the common characteristic of people in the casting industry who cannot find jobs is:
1、 Older, over 45 years old.
2、 Low education, long-term experience in casting, and limited work experience make them hesitant to try other jobs.
3、 The newly installed equipment in the foundry makes it difficult for a large number of older workers to operate, resulting in older workers being unable to perform the same casting work.

So, how can we change this state? There is only one way, no matter how old you are, learning more skills is the way out. Having more skills does not weigh you down. Only with skills can you easily find a job
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