From Overseas Press

Three tips to keep your top Chinese talent

(chinadaily.com.cn)
Updated: 2010-10-13 15:08

How can a multinational company retain well-trained top Chinese employees to "ensure they do not leave to work for a competitor taking the company's proprietary information for a minor pay increase?" asked Joel Backaler, a blogger in Forbes on Oct 12.

According to him, some Asia Pacific-based senior executives complained that many Chinese white-collar workers believe "If you're not switching jobs every two years, then you're doing something wrong."

However, the author said that "there is no surefire solution for retaining talented local employees, but many innovative western multinational firms have developed strategies to keep their prized hires within the firm." He then listed three strategies worth considering:

Be flexible about employee titles

In general, a inflated title may make an employee consider he or she is "underpaid for the rank and demand more compensation." However, "some companies have committed an employee to a standard company-wide title and pay grade internally, while granting the employee a more appealing outward facing title on their business cards and in the marketplace."

Think long-term when it comes to incentives

The "ideal path for a top graduate on the white collar career track is to graduate, get married, and buy a house." By understanding this phenomenon, one company would "provide an interest free loan to selected employees to buy cars and match a portion of the payment for five years. If the employee leaves the company before five years, they would lose the car and the company's contribution. For those who stick around, they receive a car at a significantly reduced price."

Shatter the glass ceiling

The "Asia Pacific CEO at most Western multinational companies is often a foreigner from headquarters." But this is "unsustainable for a business seeking to localize for the long-term." When ambitious employees see their glass ceiling, they may leave for a competing local firm where there is more potential for career advancement. So that it's important to let them see a clear career path at the current company.