Human Capital Services
Common Issues
Companies in China often encounter the following issues relating to human capital:
- Turnover rate is high. People in China switch jobs much faster than the western world. There is an overall difficulty to retain people.
- Job market is not transparent. Qualities of new hires vary a lot.
- Every different province adopts a different social security scheme. For many new comers, it is easy to neglect the social security cost in addition to an employee's gross pay, which could be an addition cost of 40-60% on top of the total pay.
- As China develops, employees' cost structure changes very fast.
- Payroll system is not automated, and heavily relies on manual work. It increases the processing cost as well as leads to the issue of confidentiality.
- Individual income tax rate in China is among the highest in the Asia Pacific Regions, careful planning
- It is difficult to implement a global equity based compensation plan in China due to the foreign exchange restrictions.
Our Services
People Strategy helps you to develop successful human capital strategies and plans in China. We provide you with tailor made solutions in China on recruitment strategies, compensation strategies, organization structures, employee evaluation systems as well as employee retention programs.
International Employment Solutions helps you to design home-country based expatriate compensation and benefit packages with an aim to maximize employee's benefit while minimize the company's total compensation cost, through our various planning techniques on employee benefit programs as well as PRC individual income tax.
Equity incentive helps multinational companies to implement their global equity based incentive plans in China. We also help growing enterprise to design similar plans based on their specific situation to reach a win-win situation by improving the cash flows of the company while maximizing employee performance and retention ratio.
Individual Income Tax Services helps people to minimize and defer their PRC individual income tax liabilities through effective global and PRC tax planning. We also help you to set-up a compliance process which ensures 100% compliance as well as confidentially of the senior management payroll information.
Immigration Services helps you to ensure the full compliance to Chinese labor and immigration rules and minimize you personal involvement in handle the routine application and renewal work.
Payroll system and outsourcing helps you to develop automated payroll systems to timely disburse the payments, minimize unexpected errors and save your in-house handling costs.
Personal Wealth Services provides you with guidance and plans how to increase the value of your personal assets in an organized way.
HR Due Diligence and Post Deal Integration helps you to know the HR side of the acquisition target, what changes are required and how to make the changes happen. Please also refer to our M&A service section to get an overview how we can help you to successfully settle a deal in China.