Locals Vs Expats. Who Has the Advantage in the Chinese Job Market?

Locals Vs Expats. Who Has the Advantage in the Chinese Job Market?
Sep 25, 2024 By eChinacities.com

As ever, the employment landscape in China is changing. There are fewer foreign workers since Covid but also higher levels of local youth unemployment. More Chinese students are studying abroad but more foreign children are learning Mandarin at school. How do all these factors play off each other and what can you do as an expat worker to make yourself more competitive in the Chinese job market?

Chinese job market 

How its changing

Foreigners who stuck it out through Covid or have arrived since are arguably in a better position than they have been for some time. The era of “face jobs” is well and truly over, but the huge expat exodus during the pandemic has made those who remain a much more sought-after commodity.

A foreigner with a truly valuable skillset will still be hot property, but Chinese workers who have been educated abroad are increasingly giving them a run for their money. In many cases, Chinese talent who speak English fluently and have a more Westernized outlook will trump a Westerner with only conversational Mandarin. And as more kids in the West are starting to learn Chinese as a second language, basic Mandarin skills are no longer that impressive. Both foreign and local employers are looking for, and can expect, the full package these days.

Even English teaching, the most common expat profession, is likely to feel a trickle-down effect as this trend becomes more pronounced. While there are currently plenty of teaching jobs available for native English speakers, as foreigners lose out to Chinese applicants in other fields, teaching openings are likely to receive more expat applicants as a result.

The case for the Chinese

Foreigners looking for employment in China have their work cut out these days. With around 10 million Chinese graduates entering the workforce every year and current high levels of youth unemployment, it’s intimidating to think how many applicants your dream job might be getting. Not only are there not enough jobs for all of China’s workforce, but locals have some clear advantages that expats can’t compete with.

The most obvious advantage is that foreigners typically demand a much higher paycheck. The difference in pay between Chinese and Western staff can be dramatic, with expats regularly securing salaries twice as big as their local counterparts for exactly the same job. Local staff also don’t need their employer to sponsor their visas, accommodations or annual trips back home as many expat workers expect.

It goes without saying, but Chinese people also have the very obvious advantage of being from China. While they will of course know the language, culture and social etiquette better than any foreigner, they are also most likely planning to stay in China for the foreseeable future, unlike the majority of expat workers. For many employers that don’t require a specifically Western skillset, a local hire is a safer investment.

The case for the foreigner

There are, however, still some clear advantages for foreigners, particularly those who can claim to be native English speakers. No matter how long you live in another country, it’s unlikely you’ll ever be able to write, read and speak in a second language quite like a native speaker. Native English speakers are of course hugely preferred when it comes to English education, but they are also in demand in many other industries. Whether in the field of media, consultancy or manufacturing, if a Chinese company needs to conduct any aspect of its business in English, having a native speaker on the team is a real asset.

As Chinese companies continue to expand abroad, foreigners with sales/marketing skills and a good working knowledge of the specific business landscape in their home countries are also still invaluable. This provides a good opportunity for expat workers who are not from English-speaking countries to land a role in China.

Education provides another tick in the expat column. There are some very well-documented differences between the Chinese and Western education systems. While Chinese students tend to be excellent at math and have the ability to memorize huge amounts of information, softer skills, such as presenting, problem solving and critical thinking, are somewhat lacking. So when it’s crunch time and the boss is asking for quick, creative solutions or new ideas, Chinese workers may struggle to think “outside the box.” Companies that require lots of creativity and innovation, therefore, may prefer to employ foreigners who are happy to work without clear guidelines and are more comfortable approaching problems from a different perspective.

How to compete

In today’s global economy, it’s hard enough competing in your home country, let alone in a pond as big as China’s. Everyone needs at least a Bachelor’s degree and two years’ work experience to secure a work visa for China, so consider what else you can bring to the table.

If you’re applying for jobs from your home country, highlight the advantages you have over local talent on your CV and cover letters. Mention any interest in, and knowledge of, China, its customs and its language and/or demonstrate your expertise in your home market. Be sure to allude to any creative or problem solving abilities you possess.

If you’re already in China, the absolute best thing you can do for your career is network. Few people truly enjoy networking in the Western sense, but it’s a whole lot easier in China. The concept of guanxi means you can enjoy preferential treatment from someone you have even the most tenuous connection to. The ability to easily add everyone you meet on WeChat with the scan of a QR code ensures making guanxi is practically effortless. It’s never a bad idea to attend networking events in your industry, but it’s always a good idea to add new potentially-helpful people to your contacts and check in with them from time to time. A large part of any foreigner’s success in China will be who they know and how well liked they are.

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Keywords: Chinese job market

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