Zhaopin and Renmin University Jointly Publish Second Quarter 2015 China Employment Index Report

Aug 03, 2015, 08:00 ET from Zhaopin Limited

BEIJING, Aug. 3, 2015 /PRNewswire/ -- Zhaopin Limited (NYSE: ZPIN) ("Zhaopin" or the "Company"), a leading career platform in China focused on connecting users with relevant job opportunities through their career lifecycle, and the China Institute for Employment Research ("CIER") at Renmin University today released  the CIER Employment Index Report for the second quarter of 2015 (April - June, 2015). The CIER Index Report reviews and identifies trends in China's employment market. The full report can be obtained at www.zhaopin.com.

A CIER index score of more than 1 indicates that confidence is high for job seekers seeking employment. A CIER index score of less than 1 indicates that confidence for job seekers seeking employment is low.

The CIER index score for a period is calculated by dividing the number of job vacancies on zhaopin.com during a specified period by the number of unique job seekers that apply to jobs on zhaopin.com during the same period. Data in the calculation is derived from Zhaopin's online platform. Data in the calculation is derived from Zhaopin's online platform.

1. CIER index for the overall Chinese economy decreased during the second quarter of 2015

The CIER index increased steadily from 2011 to 2014, reflecting the relative ease with which job seekers in the labor market could find employment. The highest CIER index score ever recorded was 2.46, which was reached during the first quarter of 2015. However, the index dropped back down to 2.03 in the second quarter of 2015.

Recruitment demand during the first half of the year 2015, measured by the total number of job postings on zhaopin.com during the period, increased 19% year-over-year.

Year-over-year change in recruitment demand across various sectors in 1H15

YoY  growth in recruitment demand for 1H15

19%

Financial

58%

IT/Internet

44%

Commerce/import/export

20%

Communication/telecommunications

19%

Retail/wholesale

12%

Pharmaceuticals/biological engineering

11%

Fast-moving consumer goods

9%

Manufacturing

7%

Auto

7%

Durable consumer goods

2%

Traffic/transportation

1%

Real estate/construction/building materials/engineering

-8%

2. Strongest employment confidence seen in the financial and ecommerce sectors

During the second quarter of 2015, the funds/securities/futures/investment sector registered a CIER index score of 5.82, which was first among all sectors, followed by ecommerce with a score of 5.60. Scores for sectors including accounting/auditing, energy/minerals/mining/smelting, aerospace research and manufacturing, electric/power/water conservancy and rental services were relatively low.

Ten best performing sectors of 2Q15

Funds/securities/futures/investment

5.82

E-commerce

5.60

Insurance

5.25

Education/training/college

3.45

Real estate/construction/building materials/engineering

3.36

IT services (system/data/maintenance)

2.89

Media/publishing/film and television/cultural communication

2.57

Agency

2.56

Professional service/consulting (accounting/law/human resource)

2.50

Fast-moving consumer goods (food/beverage/cigarette/wine/daily chemical)

2.48

 

Ten worst performing sectors of 2Q15

Accounting/auditing

0.44

Energy/mineral/mining/smelting

0.54

Aerospace research and manufacturing

0.59

Electric/power/water conservancy

0.65

Rental service

0.65

Inspection/testing/authentication

0.68

Office supplies and equipment

0.72

Academics/research

0.75

Environmental protection

0.80

Cross-sector operation

0.80

During the first half of 2015, recruitment demand for the financial sector[1] increased 58% year-over-year.

Recruitment demand for the funds/securities/futures/investment sector increased during the same period with demand in top-tier cities increasing 75% year-over-year. Recruitment demand for the banking sector in first-tier, almost first-tier and second-tier cities increased 69%, 72% and 99%, respectively.

Year-over-year change in recruitment demand for the financial sector in 1H15

Financial sector

58%

Banking

69%

Trust/warrant/auction/pawn

92%

Funds/securities/futures/investment

57%

 

Year-over-year change in recruitment demand for the financial sector varied across cities in 1H15

First-tier

Almost first-tier

Second-tier

Third-tier

Financial sector

75%

34%

57%

40%

Banking

69%

72%

99%

31%

Trust/warrant/auction/pawn

75%

109%

95%

168%

Funds/securities/futures/investment

75%

30%

54%

37%

Recruitment demand in the e-commerce sector during the first half of the year increased significantly compared with the same period last year, particularly in second and lower tier cities which increased 90% year-over-year.

Year-over-year change in recruitment demand for the IT/Internet sector in 1H15

IT/Internet

44%

E-commerce

71%

Computer hardware

-21%

Computer software

32%

IT service(system, data, maintenance)

20%

Online games

22%

 

Year-over-year change in recruitment demand for IT/Internet sector across various cities in 1H15

First-tier

Almost first-tier

Second-tier

Third-tier

Fourth-tier

Fifth-tier

IT/Internet

37%

51%

55%

60%

38%

28%

E-commerce

56%

82%

92%

110%

92%

94%

Computer hardware

-13%

-12%

-21%

-48%

-62%

-74%

Computer software

24%

45%

42%

37%

16%

15%

IT service(system, data, maintenance)

25%

20%

17%

38%

-19%

-29%

Online games

17%

39%

12%

35%

36%

110%

 

[1] The financial sector includes funds/securities/futures/investment, banking and trust/warrant/auction/pawn.  

3. Higher CIER index scores were found among private enterprises, joint-stock companies and joint ventures, while lower CIER index scores were found in government agencies and publically listed companies

The CIER index for various types of companies during the second quarter of 2015 were (from highest to lowest):

CIER index for different types of companies in 1Q15 and 2Q15

1Q15

2Q15

Private enterprise

5.76

4.61

Joint-stock company

1.83

1.61

Joint venture

1.42

1.20

SOE

1.16

1.05

Wholly foreign-owned enterprise

1.29

1.01

Public institution

0.69

0.78

Publically listed company

0.82

0.72

Government agency

0.73

0.59

The CIER index score for public institutions, publically listed companies and government agencies were all below 1, reflecting lower confidence across this sector.

4. Market outlook

The CIER index continued to trend upward from January 2011 to June 2015, with significant seasonal fluctuations. The CIER index for February 2015 was the lowest during the first six months of 2015.

Monthly CIER index scores are expected to continue to rise throughout most of the second half of 2015, with the exception of October 2015, which will decrease due to seasonality. The predicted monthly CIER index scores for the following months are: 2.17 (July 2015), 2.60 (August 2015), 2.88 (September 2015), 2.76 (October 2015), 3.00 (November 2015) and 3.10 (December 2015).

About Zhaopin Limited

Zhaopin is a leading career platform in China, focusing on connecting users with relevant job opportunities throughout their career lifecycle. The Company's zhaopin.com website is the most popular career platform in China as measured by average daily unique visitors in each of the 12 months ended June 30, 2015, number of registered users as of March 31, 2015 and number of unique customers for the three months ended March 31, 2015. Zhaopin is the second largest online recruitment services provider as measured by revenues in 2014. The Company's over 97.3 million registered users include diverse and educated job seekers who are at various stages of their careers and are in demand by employers as a result of the general shortage of skilled and educated workers in China. In the fiscal year ended June 30, 2014, approximately 18.1 million job postings[2] were placed on Zhaopin's platform by 335,168 unique customers including multinational corporations, small and medium-sized enterprises and state-owned entities. The quality and quantity of Zhaopin's users and the resumes in the Company's database attract an increasing number of customers. This in turn leads to more users turning to Zhaopin as their primary recruitment and career- related services provider, creating strong network effects and significant entry barriers for potential competitors. For more information, please visit http://www.zhaopin.com.

Safe Harbor Statements

This press release contains forward-looking statements made under the "safe harbor" provisions of Section 21E of the Securities Exchange Act of 1934, as amended, and the U.S. Private Securities Litigation Reform Act of 1995.  These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates," "confident" and similar statements. Zhaopin may also make written or oral forward-looking statements in its reports filed with or furnished to the U.S. Securities and Exchange Commission, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Any statements that are not historical facts, including statements about Zhaopin's beliefs and expectations, are forward-looking statements that involve factors, risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Such factors and risks include, but not limited to the following: Zhaopin's goals and strategies; its future business development, financial condition and results of operations; its ability to retain and grow its user and customer base for its online career platform; the growth of, and trends in, the markets for its services in China; the demand for and market acceptance of its brand and services; competition in its industry in China; its ability to maintain the network infrastructure necessary to operate its website and mobile applications; relevant government policies and regulations relating to the corporate structure, business and industry; and its ability to protect its users' information and adequately address privacy concerns. Further information regarding these and other risks, uncertainties or factors is included in the Company's filings with the U.S. Securities and Exchange Commission. All information provided in this press release is current as of the date of the press release, and Zhaopin does not undertake any obligation to update such information, except as required under applicable law.

[2] Zhaopin calculates the number of job postings by counting the number of newly placed job postings during each respective period. Job postings that were placed prior to a specified period - even if available during such period - are not counted as job postings for such period. Any particular job posting placed on the Company's website may include more than one job opening or position.

For more information, please contact:

Zhaopin Limited Ms. Jessica Ye Executive Vice President ir@zhaopin.com.cn

Christensen In China Mr. Christian Arnell Phone: +86-10-5900-1548 E-mail: carnell@christensenir.com

In U.S. Ms. Linda Bergkamp Phone: +1-480-614-3004 Email: lbergkamp@christensenir.com  

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SOURCE Zhaopin Limited



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