>Using village survey data collected by Development Research Center in 2749 villages with combination of macro data，the chapter finds that a long-standing situation of surplus labor in rural China has gradually transited into a new relation between labor supply and demand.In terms of aggregated quantity there still exits some surplus in rural areas.If the employment structure is taken into account，however，a substantial shortage of skilled labor is happening.Shortage of young labor forces has been translated to inner areas from the coastal ones.Hence，it is time to further exploit labor forces with middle-aged or above and to promote technological progress in agriculture.