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Changchun, capital of Northeast China's Jilin province, has registered such rapid economic growth in recent years that the city government is now shifting its emphasis to improved social welfare for residents starting from 2011, the first year of the 12th Five-Year Plan, said Mayor Cui Jie.
Cui made the remarks in Beijing last week on the sidelines the ongoing National People's Congress.
The mayor admitted that one of the problems his government faces is the lag in local incomes, which trail economic growth figures.
"Now it's time to solve the problem," he said, adding that the government will further promote employment, offer more assistance to low-income residents, lower taxes for individuals and owners of small firms, expand social security and lift the minimum wage for laborers.
Cui noted growing minimum wage "beneficiaries are either the low-income urban residents or the migrant workers from the countryside".
"We must ensure that there will be no more zero-employment families," added the mayor.
The government will also increase subsidies for low-income and underprivileged residents.
According to regulations that took effect on Jan 1, the subsidy for low-income families will grow 15 percent from last year, while the subsidy for disabled residents will increase by 20 percent.
In addition, government-offered unemployment insurance will increase from last year's 420 yuan a month to 574 yuan.
Cui said the income tax on household businesses has also been lowered, with the first 10,000 yuan now tax free. Before the levy began at 5,000 yuan.
He estimated that 40,000 businesspeople benefit from the new policy.
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