Ultra subsidy for high-ranking Chinese officials
By Echo Shan (chinadaily.com.cn)
Updated: 2005-09-20 15:31

The incomes of Chinese civil servants have long been a highly contentious issue, especially as many in China cast doubt on the very existence of any honest officials in the country.

Therefore, the authorities have to proceed with extreme caution whenever they make a policy or move (such as giving civil servants a pay raise) in this area of flash point.

A recent report by the state-owned Xinhua news agency gave ordinary people a rare glimpse into the pockets of high-ranking Chinese officials (especially those above the vice-minister level), again wowing the general public.

Hidden beneath a tender income sum comparison of 6.6 to 1 between the highest-earning and lowest-earning poles among the nation's entire civil servants legion, an invisible divide mounts high thanks to an ultra-handsome housing and transportation subsidy for those above the vice-minister level, which reportedly amounts to more than one million yuan (about US$124,000).

Under current guidelines, a vice-minister-level official is allocated with a standard 180-square-meter suite worth 1.08 million yuan, calculated with Beijing's average housing price of 6,000 yuan (about US$740) per square meter. However, many receive housing above the standard pricing level in practice, reported the Xinhua.

Apart from the housing subsidy, the free use of a standard Audi sedan priced at 350,000 yuan (about US$43,000) at the minimum is also generously assured.

Statistics show there are more than 5 million civil servants in China so far, with an average salary of 15,487 yuan (US$1910) per year. The income level of Shanghai Municipality officials tops the nation while that of the northwestern Shaanxi Province brings up the rear.

The income imbalance among all civil servants is due to many factors such as different regions, rankings, and sections. The civil servants in prosperous eastern China generally earn far more than their western counterparts.

Surprisingly, those working at the central governmental bodies cannot match their regional counterparts in income, the report revealed. Civil servants working in the central governmental bodies are relatively not so well off as those at regional administrations who are additionally covered by local welfare packages.

The average Chinese person has an annual per capita income of some 8,000 yuan (US$1,000), with 26.1 million people living in absolute poverty.

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