Shanghai employers go to US to hire returning Chinese expats

In response to a government mandate to make Shanghai a global financial center by the year 2020, Shanghai officials have teamed up with 17 major financial institutions to recruit in the United States, Canada and Singapore, with a focus on overseas Chinese talent.

"Financial institutions in Shanghai are just beginning to develop and build their capacities," said a Shanghai municipal representative, who did not want to be named, during an interview with China Business Weekly.

"There is a lack of sufficient human resources at the senior levels," the source said.

A Dec 5 job fair held in New Jersey and organized by the Shanghai Financial Development Services Office listed 117 jobs and attracted more than 700 candidates.

A similar job fair held last year at the height of the financial crisis attracted so many candidates that organizers were concerned about fire safety.

Ultimately, last year's fair yielded 66 hires, according to officials. This year, the fair was held in a larger space at the Westin Hotel in New Jersey.

Hopeful candidates waited in long lines that stretched around the room for a chance to speak with representatives from companies that included Bank of Communications, China Unionpay and the Shanghai Futures Exchange.

In addition to the attractive salaries being offered, a 1 million yuan cash bonus will go to those recognized by the government's 1,000 People Plan, a project announced earlier this year to facilitate the recruitment of overseas Chinese talent in various fields

Of last year's 66 hires, six were recognized under the 1,000 People Plan.

Some reports suggested that the new employees will also receive tax breaks, but officials deny this.

In the past, major corporations have often recruited foreigners to fill senior management positions in China. However, experts have noted a major trend toward overseas Chinese returning home to work in higher-level positions.

Of the applicant pool, less than 10 were foreigners, said John T. Wu, the president of Triway International Group, which helped organize and market the event.

The Washington DC-based Triway targeted overseas Chinese and Chinese American talent, working closely with Asian-American interest groups and universities to reach potential candidates. The candidates were required to speak fluent Mandarin.

But government officials said that relevant experience would ultimately matter most.

"There is not a particular concern about the nationality of a person," the representative said.

"So long as they are qualified for the positions, they would all be considered," he said.

However, he conceded that foreigners might have less understanding of Chinese culture. The positions would likely require hired staff members to work closely with local firms, making language fluency and cultural understanding a priority.

Some experts are predicting that the recruitment of Chinese talent back to China - or the "reverse brain drain," as some have dubbed it - will bring about significant changes.

"I believe that this will dramatically change the structure of major businesses in China," said Jim Yang, an international account manager with human resources website Monster.com. "The foreign expats will be replaced."

Yang has observed this shift of overseas Chinese professionals returning to China in both his accounts and among personal contacts, with many middle-aged people returning to China with hopes of a second career, he said.

"Everyone is trying to go back to China," Yang said. "The economy is much, much better. The financial market is at the very beginning and, especially for people working on Wall Street, there are a lot of opportunities for people to utilize experience gained in the US here."

"Regulation-wise and financial product-wise, there is a lot to gain from the United States," she said. "There's a lot of talent here."

She declined to provide her surname, as she is still employed.

Wu of Triway International Group echoed her thoughts.

"With the financial crisis right now, a lot of people are looking for jobs," he said.

"It's not only a good opportunity for the candidates, it's also an opportunity for the companies, and for the future of Shanghai," Wu said.

(China Daily 12/21/2009 page8)