Skills shortages in China

02/26/2013

Yingying Xu, Ph.D., economist
Management-level human resources constraints are a major challenge for multinational firms operating in China. The rapid growth of China's domestic companies with global ambitions intensifies the stiff competition for highly qualified professionals, and the increasing staff turnover rate now surpasses those of all other major countries in the region. The potential talent pool appears to be enormous, and so the talent shortage challenge seems puzzling. This report analyzes the supply- and demand-side causes of the skills shortage and discusses how the labor markets and skills pools will likely evolve. Issues in Brief

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