Read this article about "China's Great Proletarian Cultural Revolution". It marked a complex refashioning of Chinese labor relations and politics.
Conclusion
The Mao era saw striking changes in prc labour
relations. Permanent employment, into which the new peasant workers were
recruited in the 1970s, was by far the most desirable form of work. It
was also growing rapidly. The workforce in the state-owned enterprises
increased from 10 million in 1950 to 68.6 million in 1976, while in the
collectively-owned enterprises, the rise was even more rapid; from 1.3
million in 1955 to 18.1 million in 1976. In total, about 75 million
people were recruited into the socialist urban workforce during the Mao
era. For most, access to the iron rice bowl would have meant a great
improvement in their standard of living, especially compared with life
"outside the system" or "before liberation". From their perspective,
social mobility was a genuine reality.
How, then, are we to
assess the hukou household registration system and the other
classificatory mechanisms through which the CCP sought to channel and
direct social mobility to certain groups? It seems inappropriate simply
to dismiss the hukou as a form of medieval "estate", as some have done.
Certainly, people unlucky enough to be classified among the "four
elements" (landlords, rich peasants, and counterrevolutionary and rotten
elements) were treated as outcasts, with few opportunities to improve
their situation. However, they accounted for less than ten percent of
the population. For the rest, mobility may not have come easily, but it
was achievable – even if a person's prospects were ultimately dependent
on the goodwill of the party-state.
The regulation of the centre
of social mobility, urban-rural migration and access to jobs or
political institutions produced many disturbing outcomes, but there was
some logic to the CCP's methods, however unsavoury they undoubtedly
were. On occasions when the government relaxed controls on rural-urban
migration, the number of workers in the cities tended to grow at
unsustainable rates, as was the case during the Great Leap and in the
early 1970s. The centre was then forced to tighten control again and to
"adjust" access to the cities to preserve limited resources. It seems to
me that struggles around the rural-urban divide, and inclusion or
exclusion based on class status – another major feature of early prc
economic life – were an almost unavoidable consequence of the way the CCP tried to manage resources. In establishing the party-state as a
gatekeeper, it ensured that these conflicts would become politicized.
It
is ironic that the party leadership under Mao, which so thoroughly
crushed the rebellion of temporary workers in 1966, eventually fulfilled
most of the demands of this rebel movement in the late Cultural
Revolution. However, this victory for labour was short lived. From the
mid-1980s, the new leadership under Deng Xiaoping began to call not
simply for a rollback of the temporary workers' 1970s gains, but for the
wholesale destruction of the "iron rice bowl" to improve "economic
efficiency" and to subject workers to market relations.53 It took until
1998, when the central government dismantled the old state-owned
industries through the closure of small units and corporatization of
larger ones, for the Dengist vision to be realized. When it was, social
unrest took place against privatization, layoffs and the commodification
of labour. Nevertheless, in the end, it was workers who ended up on the
losing side. Capitalist labour relations were – eventually – enforced.