Laowai Career

China has long been a magnet for Laowai Career, and while Hong Kong is attractive to financial practitioners, Shanghai and Beijing are the most popular destinations for foreigners. About half of them are from the United States and 20% are from the United Kingdom. Foreigners usually earn a good salary when they work in China, sometimes even more than in some European and American countries. However, in China, the labor contract is usually renewed every year, so there is a certain risk of instability when renewing the contract every year.

Although the number sounds small compared to Britons or Australians who have permanently moved abroad, it represents a variety of specialized jobs and high-quality talents, highlighting the importance of starting overseas experience in China in their resumes.

Once in China, most foreigners seem to like the country. HSBC's survey of more than 7000 foreigners around the world found that China was ranked as the best performing work destination overall, ahead of Germany and Singapore, based on feedback on remuneration and child-rearing abroad.

However, foreigners' enthusiasm for China is not necessarily rewarded by the local job market. "In terms of jobs that require a second language, employers are now more inclined to hire Chinese with overseas experience," said Suya, a consultant at Henderson consulting. "Hiring foreigners is expensive, and more importantly, there are language and cultural barriers."

Nevertheless, many passionate and proficient foreigners can find suitable positions in various career stages in China. In order to gain unique experience and work practice, many young foreigners like Leah Yu, a Californian who just graduated from University, enter the workplace at the expense of their income. "Chinese companies offer very low entry-level pay compared to the west," she said, "but many young people trade low wages for work experience in China and then get high paying jobs that satisfy them later in their careers. For most foreigners who want to be based in China, it is still difficult to find jobs in pure Chinese enterprises. More jobs are provided by foreign enterprises in China. About 85% of foreigners work for multinational companies, mainly in marketing, followed by banking, financial services, and engineering.

Industry insiders say employers now hire more foreign managers from Asia than from the west, because the former also has the necessary skills, while the latter often pays 50% more. In addition, Chinese enterprises do not attach great importance to the business and sales experience accumulated in the West. They pay more attention to the relationship rather than a business strategy. There are exceptions, of course. In terms of advanced technology or production technology, professionals with more specialized skills and knowledge, such as engineers and experts in the oil and gas field, will find more and better employment opportunities in China.

As more Chinese native talents acquire language skills from overseas and pass various education and qualification certification systems that were once unfamiliar, space for foreigners to work in China is shrinking. In the next few years, Chinese and foreign enterprises in China will continue to attach importance to overseas technology and experienced executives, but the demand for English speaking general talents is undoubtedly rapidly shrinking. Today's job market requires foreign job seekers to have better language skills and broader Chinese experience.