“Clear vocational qualification license goes along with administration streamlining. It should be considered from the overall stage,” Premier Li Keqiang said at the State Council executive meeting held on June 1.

The meeting decided to cancel another 47 vocational qualification licenses and cognizance items to further reduce the barrier for employment and entrepreneurship.

“The supply-side structural reform needs reducing systematic trading cost. In this way market vitality can be stimulated, which is good for entrepreneurship and innovation,” said the Premier.

Premier Li said the market should play its decisive role as long as national safety, personal security, food safety and environment security are not involved. The government should be responsible for service and supervision, the Premier said. Usually there are no direct relations between qualification evaluation and the government, so market-oriented principle should be followed, he said.

The Premier inspected Wuhan Iron and Steel (Group) in Hubei province a week ago. Officials there told him that many workers were facing the problem of getting licenses.

“Many workers are not willing to change jobs but have no other option. Moreover, they need another license. This seriously affects their reemployment,” Premier Li said at the meeting.

“The employment pressure is big, as the number of our university graduates reaches record high. Many students have no choice but to spend a large amount of time preparing for all kinds of qualification license tests,” The Premier said.

“Why some officials are still not willing to loosen the barrier even when they know these licenses restrain mass entrepreneurship and innovation? Because these tests generate income,” said Premier Li. “The work will be promoted anyway. Every department should review the problem and propose items that can be canceled.”

The meeting also decided to set up a list system for vocational qualification. “It should be made public and supervised by our people,” said the Premier.