China's Work Unit Housing

Work units become housing providers

After the Communist Revolution in 1949, China socialized all economic activity and organized most urban dwellers into state-owned enterprises. These work units, or "danwei", were called upon to provide not just employment, but also housing, education, health care, and community for the workers who belonged to them. Danwei housing was provided for negligible rents based on seniority, job performance, and family size. Over time, serious problems such as crowding, long waiting lists, inadequate maintenance, and other challenges came to characterize life in danwei housing.

Deng Xiaoping initiated reform of this system in the late 1970s, and began introducing market principles into the housing sector. Workers were given the option of purchasing their housing, often for reduced fees, and private development of new housing was encouraged. These reforms continue.

Back to top

Back to top

Back to top