Hiring is increasing in the second quarter of this year as uncertainty over China's economy increases and the central government focuses on growth driven by the service sector.
About 19 percent of Chinese firms will increase headcount in the April-June period, a survey of 4,279 companies by global employment agency ManpowerGroup showed. That's up from 14 percent in the Milwaukee, Wisconsin-headquartered company's previous quarterly report.
Hiring potential is strongest in China's southern Guangdong province, where 21 percent of employers in Guangzhou anticipate a favorable climate for taking on new staff. In Shenzhen, the figure was 20 percent, Manpower said.
Nasdaq-listed recruiter Hudson Global Inc also found hiring demand reviving in the second quarter, combined with some cyclical changes. The automotive, medical and consumer goods sectors have shown their usual demand, Cherol Cheuk, general manager of Hudson Shanghai, said. He highlighted one more industry.
"E-finance is another sector which promises great potential," Cheuk said. "Although the increase is not that significant for the time being, it is for sure that demand will be huge based on the current development pace of China's e-commerce industry."
That chimes with findings from London-based global recruiter Hays Plc's latest quarterly report.
"We are already seeing healthy demand for professionals in China's financial sector," Simon Lance, Hays' regional director in China, said. "Central bank Governor Zhou Xiaochuan promises further liberalization of the sector in the years ahead, and this bodes well for job creation."
Lance said he expects liberalization to increase demand for tax experts. "Tax policies often change and need to be interpreted by professionals," he said. "Most multinational companies have already hired tax specialists to communicate with the authorities in order to minimize tax risk and reduce unnecessary tax payments. There is currently a shortage of tax specialists, and we see this continuing."
Regulations on internal audits and foreign banks in China have become stricter ,and the country is moving toward a fully market-based system of interest rates, Lance said. The result is banks-starting to focus more on their transaction business and away from interest-rate differentials-will hire more product auditors and qualified transaction sales managers will be highly sought after, he said.
China is establishing five private banks on a trial basis in the cities of Tianjin and Shanghai, as well as in Zhejiang and Guangdong provinces. There will soon be more demand for private-sector banking talent, Lance said.
The job market generally has regained momentum in the past few months, and people's attitude toward changing jobs is more optimistic in lower-tier cities than first-tier cities. Those looking for a role change in second-and third-tier cities normally expect a 20 to 30 percent salary increase. People with language and leadership skills or with solid experience behind them could get a up to 35 percent rise.
Troy, Michigan-based Kelly Services Inc found opportunities abounded in second-and third-tier Chinese cities' automotive industries as a number of sector firms shifted focus.
"There was significant hiring activity within the automotive industry with a particular demand for sales professionals in these cities," Leroy Yue, managing director of Kelly Services China, said. "With cities such as Changsha, Wuhan, Chengdu, Hangzhou and Ningbo developing rapidly, demand for talent in factory management grew."
Company re-targeting of investment meant Chengdu performed exceptionally well in lower-tier city polling and showed high hiring levels, notably in the fast-moving consumer goods, manufacturing and real estate sectors.
New stores opened rapidly, and factories were set up, resulting in particular demand for technical professionals, store managers, sales assistants, and research and development professionals, Kelly said.
"Preferential economic policies and huge market potential offered by second-and third-tier cities attracted many businesses to open shops or expand their presence, which drove a buoyant talent market," said Dong Lei, managing director at recruiter Lloyd Morgan Greater China.
Demand this year for corporate banking relationship managers is expected to increase, mainly in second-tier cities. That compares with Shanghai, Beijing and Shenzhen, where the volume is driven by replacement staff, Lloyd Morgan, a division of Clarius Group Ltd, said.
The pace of new retail and luxury store openings has eased, although competition in second-and third-tier cities remains strong, and new commercial centers are arriving in the major cities.
That's maintained strong demand for store managers, deputy managers, supervisors and assistants. There was an obvious uplift for positions related to improving single store performance, customer relationship management and sales training.
"As both international and locally franchised stores have set up shop in second-and third-tier cities, competition among fast-moving consumer goods brands has shifted from main cities like Beijing, Shanghai, Guangzhou and Shenzhen to smaller cities with enormous potential," Dong said.
"There will be many opportunities, especially for those who are well-educated and have grasped one or more foreign languages and have rich experience."
There's demand for engineering experts as second-tier cities such as Suzhou change to attract many high-tech companies, Lloyd Morgan said. That will continue to rise, especially in research and development positions. A similar scenario is seen in human resources.
"Many manufacturing companies moved out of Shanghai to second-and third-tier cities, which softened demand for human resource professionals in Shanghai," Dong said.
"Following the expansion of consumer retail goods and auto components on the Chinese mainland, the demand for versatile HR managers in second-and third-tier cities far exceeds supply."
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