Analysis Of The Causes Of Labor Shortage For Small And Medium Private Enterprises In Zhejiang Province And The Countermeasures

Zhejiang Province is an important part of the Yangtze River Delta Economic Zone while small and medium private enterprises play a significant role in the economic and social development of Zhejiang Province, and can greatly promote the economic and social development of Zhejiang which has a strong influence on the economic development of the overall Yangtze River Delta and even the State. In recent years, as a province that requires large amount of labor, Zhejiang has been facing a new round of "labor shortage", which has a strong impact on the development of small and medium private enterprises and thus seriously affects the economic development of Zhejiang Province. Therefore, the study of labor shortage for small and medium private enterprises in Zhejiang Province has great significance. First, the enterprises can have a understanding of the current situation of labor resources and strengthen the knowledge of current and future labor migration and supply trend through the study so as to promote transformation and upgrading. Second, the study helps small and medium private enterprises complete human resource management system, break through bottleneck and promote the competitiveness. Moreover, the study helps the enterprises solve labor shortage problems, and offers referential measures and decision basis for other enterprises to solve labor shortage problems.The paper takes Xiaoshan District, Hangzhou City where the development of small and medium private enterprises is the most active and representative in Zhejiang Province as the scope of investigation, and visits and investigates different industries to understand the current situation of labor shortage for small and medium private enterprises in the district. The paper also analyzes internal and external environment of the enterprises and summarizes the causes of labor shortage for small and medium private enterprises in Zhejiang Province combined with the previous domestic and overseas research results. The external causes include increasing shortage of labor supply resulting from the approaching "Lewis Turning Point", return migration of labor caused by regional economic development, labor migration caused by deficient survival conditions and social security and the changes in employment option for the new generation of migrant workers. The internal causes include weakened recruitment competitiveness and high staff turnover rate of small and medium private enterprises in Zhejiang Province. Directed at the causes of current labor shortage, the paper builds a problem-solution pattern that takes strengthening government support as the guarantee, improving internal management as the support and increasing coordination with the third-party institutions as the promotion from three aspects, namely the government, enterprises and the third-party institutions. The paper also proposes the counter-measures for labor shortage of small and medium private enterprises in Zhejiang Province in the hope of improving the competitiveness and continuously promoting the economic development of Zhejiang Province.