Chinese Workers to Receive Second Highest Pay Raise in Asia in 2016 - Study
Desiree Sison | | Nov 13, 2015 04:55 AM EST |
(Photo : Reuters) Chinese workers stand to receive the second highest wage increase in 2016, according to a new survey.
Chinese office workers have a lot to be excited about following the release of an international survey on Thursday, which revealed that they will receive the second highest wage hike in Asia next year.
The survey, conducted by UK-based human resources consultancy ECA International, stated that real wages will increase 6.2 percent on average in China next year, taking inflation into account.
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The ECA's Salary Trends Survey 2015-2016 said that the increase, although lower than the 6.3 percent wage increase this year, will still be the second largest in the region - despite China's recent economic slump.
"China's slowdown does not seem to be having a direct impact on salaries, and companies there have faced a talent shortage," Lee Quane, ECA's Asia regional director, said in a press conference..
Quane noted that Chinese companies have no choice but to increase the salaries of their workers in order to retain talented staff in their stable. He added that wage increase issue is still a key challenge for employers.
Workers in Vietnam stand to enjoy the largest wage increase in Asia in 2016 with a 7 percent increase while India will experience a 4.5 percent increase next year, a little higher than Taiwan's 3 percent and Singapore's 2.2 percent.
Employers in Hong Kong are offering their workers a 1.5 percent increase in their salaries next year, slightly down from the 1.6 percent wage increase this year.
Quane said the low wage increase that Hong Kong is offering its workers next year reflects the tightness of the labor market specially in the financial and professional service sectors
The ECA survey polled 153 multinational companies in China; asking how much increase in salaries they have given their workers this year and will give next year.
ECA also polled 336 multinational companies in 70 countries; asking how much salary increases they offered to workers this year and their planned salary increase for workers next year. The survey was conducted from August to September this year.
The survey showed that overall salary wage increase in Asia is expected to be 3.1 percent in 2016, down from 3.7 percent this year.
The ECA survey showed that Japan will experience the lowest wage increase in the region next year. ECA said that in recent years, Japan has tried to increase their workers' wages but admitted that this was not sustainable.
TagsChinese workers, ECA, survey, wage increase, Hongkong, Vietnam, Taiwan, second largest wage hike in Asia, ECA Salary Trend Survey, economic slump, Asia, employers
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