2015 Michael Page Greater China Salary & Employment Outlook

AGENDAAbout Michael Page

About the Michael Page 2015 Greater China Salary & Employment Outlook

Factors impacting the recruitment market in Greater China

Key findings: Michael Page 2015 Greater China Salary & Employment Outlook

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ABOUT MICHAEL PAGEAs part of PageGroup, Michael Page is a leading professional recruitment

consultancy specialising in the recruitment of permanent, contract and

temporary positions on behalf of the world’s top employers.

Established in 1994 in Hong Kong

Opened in Shanghai in 2003

Asian market leader by size, profit, and office footprint

17 offices

Regions: Mainland China, Hong Kong, India, Japan, Malaysia, Indonesia, Singapore and

Taiwan

Over 800 people

Over 20 years of success in Hong Kong and 10 years in Mainland China

ABOUT THE MICHAEL PAGE2015 GREATER CHINA SALARY & EMPLOYMENT OUTLOOK Annual report covering the latest hiring expectations, recruitment challenges and salary forecasts

for the coming year.

In 2015, we present the first regional outlook for Greater China.

Report incorporates:

Findings of an online survey of more than 2,000 employers

Interviews with Michael Page subject matter experts

Discussions with human resources directors

Interview with Shaun Rein, founder of China Market Research Group & author of The End of

Copycat China

Interview with Dr. Clint Laurent, founder and Managing Director of Global Demographics

In-depth, holistic research establishes the Salary & Employment Outlook as a highly reputable

report.

KEY FACTORSIMPACTING RECRUITMENT IN GREATER CHINA1. Employee turnover is being driven by the desire to increase salary.

2. Alternative, non-financial rewards are gaining importance as employers resist large salary hikes.

3. Soft skills such as commercial acumen and communication skills are increasingly important to

employers.

4. A shift from a manufacturing-led to a services- and consumption-led economy is underway.

5. Chinese employer brands are growing in prominence, leading to improved company culture.

KEY REPORT FINDINGS

HIRING ACTIVITY IS ROBUST ACROSS THE REGION

Most surveyed employers in

Greater China report that hiring

activity is stronger than in the

last 12 months. 47% of

employers across the region

report that recruitment activity is

stronger or slightly stronger than

the past 12 months.

Just over half of employers in

China (53%) plan to increase

headcount this year, as

compared to 51% in Hong Kong

and 63% in Taiwan.

Strength of current hiring activity compared to the last 12 months

MAINLAND CHINAGREATER CHINA

SALARY CONCERNSARE DRIVING TURNOVER Salary is the biggest factor of

employee turnover across

Greater China, with 36% of

employers attributing it as the

main reason for attrition.

Mainland China follows the

trend, with 35% of employers

reporting the same.

21% of employers in Greater

China believe employees leave

in order to broaden their

professional experience in the

region. Again, mainland China

mirrors this.

Professionals changing jobs can

expect higher pay increases in

mainland China, moderate pay

increases in Hong Kong and

norminal pay increases in

Taiwan.

Key reason for employee turnover

GREATER CHINA MAINLAND CHINA

FINANCIAL REWARDS AND ALTERNATIVERETENTION STRATEGIES

The vast majority of surveyed

employers (84%) across

Greater China are offering

bonuses as part of the

remuneration package. In

China, this is higher, at 85%.

The majority of bonuses will be

6-10% in both Greater China

and mainland China.

On the mainland, talented

professionals know they can

command a significant salary

increase each time they change

jobs, and so are generally more

willing to move for a short-term

gain.

Companies providing bonuses as part of employee remuneration

GREATER CHINA MAINLAND CHINA

FINANCIAL REWARDS AND ALTERNATIVERETENTION STRATEGIES

Employers are increasingly

offering alternative rewards

such as career

development programs.

Jobseekers today want to

know if company has a

strategy, invests in its

people, has a good

reputation and has a safe,

professional working

environment.

Average percentage of bonuses that companies will award

GREATER CHINA MAINLAND CHINA

SALARY INCREASES ACROSS THE REGION

Employers in Mainland China will take the lead when it

comes to awarding salary increasesIn mainland China, 61% of employers plan

to offer salary increases of 6-10%.

The majority of employers in Hong Kong

(65%) expect to offer salary increases of 1-

5%.

In Taiwan, like Hong Kong, most employers

(65%) expect to offer between 1-5%.

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EXPECTED SKILLS SHORTAGES ACROSS THE REGION

Employers expect a shortage of professionals

with experience in the following areas:

1. An overall shortage of talent is creating

upward pressure on salaries.

2. Soft skills are of increasing importance,

with employers looking for candidates with

communication and presentation skills,

commercial acumen alongside those who

think laterally.

3. Bilingual Chinese speakers who have

worked at multinationals and spent time

abroad are highly sought after by

employers in mainland China.

SUMMARY1. Hiring activity is picking up - most surveyed employers in Greater China report

recruitment activity is stronger now than in the last 12 months.

2. Salary concerns are driving turnover across the region.

3. Employers are turning to non-financial rewards as a retention strategy.

4. Salary increases across the region are typically 1-5%.

5. Soft skills are increasingly sought after by employers.

Download the full report here.

For further enquiries, please contact us at: • Hong Kong: http://www.michaelpage.com.hk/contact-us• China: http://www.michaelpage.com.cn/contact-us/shanghai-puxi• Taiwan: http://www.michaelpage.com.tw/contact-us.html

2015 GREATER CHINA SALARY & EMPLOYMENT OUTLOOK