The Chinese government asked Evergrande to prioritize on settling payments for migrant workers and contractors of its real estate projects before the Lunar New Year, Bloomberg reported. 

Evergrande’s progress in rolling out new-built houses and completing their projects is slower than expected, so the salary payment to employees is dragging on. 

On Dec. 16, 367 Chinese creditors filed a lawsuit against Evergrande, seeking to recover the funds as soon as possible

An inner source said that, with Evergrande’s existing money on the books, the payment of wages for workers at the projects and payment of debts for the contractors and providers will be given priority.

The total amount of debts owed by Evergrande is 84 billion yuan ($13.2 billion), Sound of Hope reported. 

Evergrand had more than 160,000 employees in its workforce in June 2021, and many of its suppliers within the industry are relying on Evergrand’s business and payments. 

According to published data from the Chinese Communist Party, about 52 million migrant workers make a living in the construction industry.

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