Chinese and South Korean authorities are scrambling to verify reports that hundreds of Korean-invested plants in China's Shandong province have closed down and left thousands of workers without pay. Exploding manufacturing costs across southern China, combined with more restrictive labor and environmental standards are being blamed for the closures, which have forced many manufacturers to shift operations to cheaper regions in central China, or to countries like Viet Nam.
See "China, SKorea probe complaints over workers left payless by factory closures", International Herald Tribune, February 27, 2008