Foreign Executives have been working in China and Asia for decades. Originally on expatriate contracts, a high number of them have now decided to stay in China. This is either done by renewing their contract, making the transition over to another company or by using their experience and expertise in an Interim role.

The use of Interim Managers is a common business tool in Europe and the USA, but is a fairly new solution in China. There are many different situations where businesses decide to use Interim Managers. China is currently witnessing a sustained period of business restructuring, mergers & acquisitions and rationalisation. This is where experience really does count.

Interim Management Solutions, based in Shanghai, is the leading provider of Interim Management services in China. With the largest database of foreign professionals, they place Interim executives in a variety of different industries all over Asia; from Luxury goods and Retail to machine manufacturing. They are part of the J.M Gemini group; one of the longest running and most successful recruitment agencies in Asia. Business Development Executive, Christopher Hodgson comments:

The current economy in China demands experience. Many of our Interim Managers have over 10 years experience within Multi-national companies. We are seeing a dramatic increase in the demand for highly experienced foreign executives for temporary assignments.

Christopher continues

The Managers and executives from Interim Management Solutions have lived through and managed growth, efficiency drives, cost savings and large scale change. Because Interim Managers are highly qualified experts with a proven track record and are available on short notice, the demand for such people in Multi-nationals are enormous.

A typical assignment can last from six months to over two years. An example of this kind of assignment is Interim Manager – John Moor. John is a British citizen and a highly experienced IT Professional, providing IT Project Direction and Management, with over 15 years experience in the IT field of which 3 years working in China (mainly Beijing & Shanghai). He has vast experience with Microsoft Systems and has even managed the relocation of an entire IT division to a new facility in the UK.

His current assignment for Interim Management Solutions is as Director of Information Technology for a textile company based in Nanjing, Jiangsu province. He is now in the 11th month of a 12 month contract where his main KPI was to specify and deliver a new ERP system.

John’s hands-on experience has been invaluable in bringing the company’s IT infrastructure up to the required standards necessary prior to rolling out a successful ERP platform. Being able to adapt and provide solutions not in the original assignment are all part of the skill set of the Interim Manager

Interim Managers are available in a variety of Industries. Dealing with both Foreign and local executives, Interim Management Solutions currently holds the largest database of Interim Managers in China.

For more details visit www.jmgemini.com/ims

Or send your enquiry to ims@jmgemini.com or call (86-21) 6427 9100

Finding Jobs In China

The article cites the case of Mikala Reasbeck, who could only find a part time job after graduating from college in Boston (counting pills in a chemist at $7 an hour). What did she do? She went to Beijing, knowing that she’d have a better chance of finding a good job in China than she would in the US.

After one week looking for work, she had a full time job teaching English.

That won’t come as a surprise to anyone who’s lived in China – there are TEFL jobs (Teaching English as a Foreign Language) everywhere in China. What may come as a slight surprise is the salary she managed to get: 14,000 to 16,000 yuan per month. That’s pretty good for a TEFL position. There are definitely such jobs around, but it’s at the higher end of the market.

Mikala has a degree in writing, literature and publishing, but is not a qualified teacher so I’d say she’s been lucky. I’ve had a similar salary and I’m not qualified teacher either, but then I was teaching ICT. I’d been in the computer industry for 13 years when I got the job, including time spent as a trainer.

Mikala’s not alone – the article reports that many young foreigners, faced with bleak prospects in their own countries, are going to China to look for work. Although many are finding jobs such as teaching English, there’s a growing number who are finding professional positions in their favoured industry.

Getting A Visa

One interesting thing that the article pointed out was that China was preferred as a destination over some other countries, such as Russia and the EU, because it was easier to get a visa to work in China:

Employers need government permission to hire foreigners, but authorities promise an answer within 15 working days, compared with a wait of months or longer that might be required in some other countries.

The article does mention that visa restrictions were tightened ahead of the Beijing 2008 Olympics and while it doesn’t say whether they’ve subsequently been relaxed, it does say that there were more people holding a visa at the end of 2008 than there was at the end of 2007:

Some 217,000 foreigners held work permits at the end of 2008, up from 210,000 a year earlier, according to the National Bureau of Statistics. Thousands more use temporary business visas and go abroad regularly to renew them

That would indicate that visa restrictions have been relaxed.

As it also says, there are many more people who do not have an official work permit (ie Z visa). It’s been that way for years. I don’t know of a foreigner in China who hasn’t worked on business visa (F visa) or even a tourist visa (L visa) at one point or another.

There are always issues related to visas when you have a job in China.

Many companies will give you an F visa to start with, then try to switch you over to a Z visa when you’re there. Sometimes it can be done, sometimes you have leave the country and re-enter (hands up all those who’ve had an unexpected holiday in Hong Kong!).

Last time I checked (2007), the rules were that you had to leave the country to change from an F visa to a Z visa. Of course rules change and local authorities sometime seem to be able to bend them (if the company is asking them in the right way).

Do You Need To Speak Chinese?

I don’t speak Chinese (well only a little), but I’ve never had any problems getting a job in China!

In my experience, Chinese language ability is not required for TEFL positions. I’m sure it would be seen as an added bonus, but 99% of people teaching in China either have very limited Chinese language abilities, or none at all. What they do know is usually only what they’ve picked up while they’ve been living in China – they couldn’t speak Chinese when they first arrived.

Of course, getting a professional job in China may be different, but there are possibilities for people who don’t speak Chinese. The article says:

While many jobs require at least a smattering of Chinese, some employers that need other skills are hiring people who do not speak the language.

It cites Bangyibang.com CEO, Grant Yu, who has said he may employ people who cannot speak Chinese if they have other skills:

I don’t believe language is the biggest obstacle in communication, as long as he or she has a strong learning ability.

It also mentions Feng Li, a partner in a private fund that invests in the mining industry, who is planning to recruit foreign employees to read legal documents and communicate with clients abroad.

Of course, the vast majority of professional job vacancies that I’ve seen do state that Mandarin is required, so I’m unsure how many professional vacancies there are that really don’t require Chinese language skills. It wouldn’t hurt to learn Chinese!

Shaun Rein, managing director of China Market Research Group, said that there is more competition for foreigners seeking employment in China, from the well educated, English-speaking Chinese youth of today:

You have a lot of Chinese from top universities who are making $500-$600 a month. Making a case that you are much better than they are is very hard.

In response to the issues of not speaking Chinese and the competition from Chinese graduates, I’ll come back to what I said in my December post:

If you have specialist expertise, you’ll be in demand.

China is still a great place to find a job.

The China Daily recently reported that China is still a land of opportunity for expats, saying:

While many firms around the world are laying off staff, or about to, recruitment experts say Chinese firms are actually hiring more expats.

The China Daily article singles out the pharmaceutical, high-tech and research & development industries as those where expats “can write their own check”. If you have specialist expertise, you’ll be in demand. The exception appears to be the property and real estate industries. While companies are tightening up and dropping “dead wood”, they are still hiring specialists.

Expats Better Off Looking For A Job In China

One message that comes through in the article is that expatriates are probably better off in China than they would be if they returned home. Jill Malila, Asia market development leader at Mercer China said:

“Job opportunities on this side of the world are greater than in North America or Europe, so expatriates will have greater opportunities here than in their home country”.

I’d add that you’ll also have less competition. At home, you’ll find a shrinking job market with a bigger pool of competitors (increasing as people get laid off).

I’d also add that the cost of living in China is very favourable. If you’re having trouble finding a job, your savings will go further if you’re living in China than they would if you went home (at least in most cases).

Adjusting Remuneration Expectations

Although there are jobs for people with specialist expertise, remuneration may not be as good as it has been in the past. This seems to contradict the ‘they can write their own check’ statement, but it makes sense, remembering that remuneration was extremely lucrative in the past.

Kelly Qian of The Jace-Kelly says many expats are accepting a more localized compensation scheme:

“They are being put on a local plus package. If you are a local plus, the company will probably help you bear some of your tax, or consider giving you some housing allowance”.

“Whereas for real expatriate hiring, they normally help you equalize tax to your hometown, give you housing and take care of your kids’ education, and most of the time the whole family will be entitled to international benefits.”

Olly Riches, China manager at Michael Page adds:

“People are being less demanding about fringe benefits and salary within reason,” he says. “Because expats know about localization and what’s going on elsewhere in the world, they are being more flexible.”

My reading of the situation is that true experts are likely to still get a great deal, but ‘tier 2’ expatriates will have to make do with less than they might have been able to get in the past.

The TEFL Sector

From what I can tell, the TEFL (Teaching English as a Foreign Language) market has not been significantly affected.

The college I used to work for are currently searching for 5 to 6 teachers and, if anything, there seems to be an increase in TEFL jobs advertised on the Internet. For example, over on Dave’s ESL Cafe, there’s a definite increase in the number of jobs advertised on the China job board:

• First 10 days of November: 19 jobs
• First 10 days of December: 36 jobs
• Week starting Monday 20 October: 12 jobs
• Week starting Monday 8 December: 21 jobs

Final Thoughts

While China isn’t immune to the effects of the global recession, if you’re an expat currently living in China, you’re probably best of staying put. In fact, if you’re not already living in China, but you have specialist skills or knowledge, then it may be worth considering a job in china.