US retail giant Wal-Mart reached collective-bargaining agreements with unions in Shenyang, Liaoning province and Quanzhou, Fujian. The agreements include pay raises of around 8% for employees in the two cities for this year and next year. Wal-Mart employs 48,500 people at 105 hypermarkets in China.
Urban salaries grow
The average salary of employees working in China’s urban areas rose by 18.7% to US$3,561 in 2007, the largest gain in six years. Average salaries comprise basic wages, bonuses, and all allowances and subsidies. Sound corporate performances and rising low-level salaries were credited for the overall increase.
HR woes top survey
A survey conducted by management consulting firm McKinsey found that 37% of companies cited recruiting talent as their biggest operational problem, ahead of those who cited regulatory concerns, bureaucracy and IPR infringement. Forty-four percent of respondents said insufficient talent was the biggest barrier to global expansion.
MNC pay packages jump
Employee compensation packages at multinational corporations (MNCs) operating in China grew to record levels in 2007, according to a report by MRI China Group. Packages in the banking sector grew by 53%, while industrial and manufacturing packages placed second, growing 40%. Survey data were collected from 115 US or European MNCs.
42m ready for tech work
China has a “human resources reservoir” of 42 million people in science and technology, according to a report the China Association for Science and Technology, up from 35 million in 2005. Males outnumber females 2:1, while 65.7% of those with a science and technology background were under 40 years old.