China Labor Market Competition Eased by 6.3% in the Second Quarter of 2016
Zhaopin China second-quarter labor market report shows online games sector to be most competitive
China Second-Quarter White-collar Labor Market Highlights:
- Competition for white-collar jobs eased by 6.3% in the second quarter of 2016, with an average of 45 applications per vacancy, down from 48 in the first quarter.
- Beijing is the most competitive city with 74.2 applications per vacancy, followed by Chengdu, Shenyang and Shenzhen, respectively.
- Online games is the most competitive sector, with 72.8 applications per vacancy, followed by real estate/construction/building materials/engineering, and aviation/aerospace research and manufacturing sectors.
- The most competitive occupation is finance/auditing/tax, with 107.7 applications per vacancy.
- Pay is highest in Beijing, with an average monthly salary of 9,240 yuan, followed by Shanghai (8,962 yuan) and Shenzhen (8,315 yuan), respectively.
BEIJING, July 13, 2016 /PRNewswire/ -- Zhaopin Limited (NYSE: ZPIN) ("Zhaopin" or the "Company"), a leading career platform in China focused on connecting users with relevant job opportunities throughout their career lifecycles, released its 2016 summer report on China labor market supply and demand for white-collar workers. The report found that labor market competition for white-collar workers eased by 6.3% in the second quarter with an average of 45 applications per vacancy, down from 48 in the first quarter.
Overall market supply and demand for white-collar workers
Zhaopin publishes the competitive index for the labor market based on data collected from its online platform. The competitive index is calculated with the number of resume applications divided by the number of job vacancies. For the second quarter of 2016, the competitive index was 45.1, which means there were an average of 45 applications per job vacancy.
The competition in the labor market has eased in the second quarter, compared with the competitive index of 48 in the first quarter. Traditionally the first quarter, especially after the Spring Festival, is the most active season for changing jobs. Most white-collar workers intending to change jobs have already found new positions, while many college graduates also have confirmed their job offers in the first quarter, which led to a decline in job applications in the second quarter.
Comparison of Competive Index 2015-2016 |
|
Quarter |
Competive Index |
Q3 2015 |
35.4 |
Q4 2015 |
36.8 |
Q1 2016 |
48.0 |
Q2 2016 |
45.1 |
(Competive Index = number of applications/number of job vacancies)
Beijing is the most competitive city for white-collar workers with a Competitive Index of 74.2 in the second quarter, followed by Chengdu (69), Shenyang (68.9), and Shenzhen (55.8), respectively. All of the top 10 are first-tier cities or close to first-tier cities, which indicates large cities are still very attractive to talented workers. These top cities offer a large number of jobs, but the competition is also the most intense.
The least competitive cities are Ningbo (15.1), Nanning (16.6) and Foshan (17.9), respectively. These cities are either less attractive to white-collar workers due to local economic development, or overshadowed by nearby, larger first-tier cities.
2016 Second-quarter Job Market Competitive Index for Cities |
|||||
Ranking |
City |
Index |
Ranking |
City |
Index |
1 |
Beijing |
74.2 |
18 |
Taiyuan |
33.5 |
2 |
Chengdu |
69.0 |
19 |
Zhengzhou |
30.4 |
3 |
Shenyang |
68.9 |
20 |
Hangzhou |
30.0 |
4 |
Shenzhen |
55.8 |
21 |
Qingdao |
29.7 |
5 |
Tianjin |
53.6 |
22 |
Hefei |
28.2 |
6 |
Xi'an |
52.8 |
23 |
Kunming |
27.2 |
7 |
Dalian |
52.4 |
24 |
Shijiazhuang |
26.6 |
8 |
Suzhou |
47.9 |
25 |
Jinan |
24.0 |
9 |
Shanghai |
47.0 |
26 |
Guiyang |
22.5 |
10 |
Chongqing |
46.2 |
27 |
Yantai |
20.8 |
11 |
Guangzhou |
44.6 |
28 |
Fuzhou |
18.7 |
12 |
Changchun |
41.6 |
29 |
Xiamen |
18.5 |
13 |
Harbin |
41.0 |
30 |
Nanchang |
18.3 |
14 |
Nanjing |
40.1 |
31 |
Dongguan |
18.0 |
15 |
Wuhan |
38.7 |
32 |
Foshan |
17.9 |
16 |
Changsha |
38.2 |
33 |
Nanning |
16.6 |
17 |
Wuxi |
34.3 |
34 |
Ningbo |
15.1 |
Competitive Index - number of applications/number of job vacancies |
White-collar workers are more interested in state-owned enterprises (55.8), public companies (54) and wholly foreign-owned enterprises (51.4), respectively. Private companies (43.1) and public institutions (39.3) are less attractive to white-collar job seekers.
2016 Second-quarter Competitive Index for Different Types of |
|
Type of Company |
Index |
State-owned enterprises |
55.8 |
Public companies |
54.0 |
Wholly foreign-owned enterprises |
51.4 |
Joint ventures |
47.9 |
Private companies |
43.1 |
Public institutions |
39.3 |
In terms of employer size, companies with 1,000 to 9,999 employees are the most competitive (54.1), followed by companies with 500 to 999 employees (50.5), and companies with 100 to 499 employees (49.7), respectively. Micro and small-sized companies are not very attractive to white-collar workers because these companies are not well established and stable.
2016 Second-quarter Competitive Index for Different Size Companies |
|
Size of Company |
Index |
Below 20 |
28.6 |
20-99 |
39.0 |
100-499 |
49.7 |
500-999 |
50.5 |
1,000-9,999 |
54.1 |
Above 10,000 |
47.0 |
Supply and demand by sector
The top three sectors with the most demand for white-collar workers are internet/e-commerce, funds/securities/futures/investment, and real estate/construction/building materials/engineering. The top-10 sector ranking is almost the same as that in the first quarter, except media/publishing/movie and TV/culture communications has replaced advertising/event/PR.
Top 10 Sectors with the Most Job Demand for the Second Quarter of 2016 |
|
Ranking |
Sector |
1 |
Internet/e-commerce |
2 |
Funds/securities/futures/investment |
3 |
Real estate/construction/building materials/engineering |
4 |
Education/training/college |
5 |
Computer software |
6 |
Professional service/consulting (finance and accounting, legal and HR, etc.) |
7 |
Trade/export and import |
8 |
FMCG (food, drinks, alcohol and tobacco, and chemicals for daily use) |
9 |
IT services (system/data/maintenance) |
10 |
Media/publishing/movie and TV/culture communications |
The most competitive sector in the second quarter is online games with 72.8 applications per vacancy, followed by real estate/construction/building materials/engineering (72.4), and aviation/aerospace research and manufacturing (58.7). With government support and huge investment from the capital market, the online games industry has been witnessing remarkable growth in recent years. The huge demand also leads to an influx of talents, heating up the competition.
Top 10 Most Competitive Sectors for the Second Quarter of 2016 |
|
Sector |
Index |
Online games |
72.8 |
Real estate/construction/building materials/engineering |
72.4 |
Aviation/aerospace research and manufacturing |
58.7 |
Energy/mineral/mining/smelting |
56.9 |
Environmental protection |
52.9 |
Electricity/power/water conservancy |
51.0 |
Instruments/apparatuses/industrial automation |
50.7 |
Electronics/semiconductor/IC |
50.6 |
Large equipment/electromechanical equipment/heavy industry |
50.5 |
Internet/e-commerce |
50.4 |
The least competitive sectors in the second quarter are insurance (19.2), agency service (26.4) and office supplies and equipment (30.3). The market in China always has bias toward the insurance industry, pushing it to the bottom in most job reports and surveys. The hot real estate market has created huge demand for agency jobs, which has alleviated the competition.
The Least Competitive Sectors for the Second Quarter of 2016 |
|
Sector |
Index |
Insurance |
19.2 |
Agency service |
26.4 |
Office supplies and equipment |
30.3 |
Trust/warrant/auction/pawn |
30.9 |
Healthcare/beauty/hairdressing/bodybuilding |
31.7 |
Banking |
33.3 |
Entertainment/sports/leisure |
33.8 |
Gifts/toys/arts and crafts/collection/luxury |
34.1 |
Education/training/college |
35.1 |
Advertising/event/PR |
37.0 |
The sectors with the most job applications in the second quarter are internet/e-commerce, real estate/construction/building materials/engineering, and funds/securities/futures/investment, which is in line with the sectors that have the most job demand. Internet/e-commerce have been transforming society and have a huge impact on people's daily lives. The sector has enormous demand for talents and is also attracting massive numbers of white-collar workers to join the bandwagon.
Top 10 Sectors with the Most Job Applications for the Second Quarter of 2016 |
|
Ranking |
Sector |
1 |
Internet/e-commerce |
2 |
Real estate/construction/building materials/engineering |
3 |
Funds/securities/futures/investment |
4 |
Computer software |
5 |
Education/training/college |
6 |
Professional service/consulting (finance and accounting, legal and HR, etc.) |
7 |
Trade/export and import |
8 |
IT services (system/data/maintenance) |
9 |
FMCG (food, drinks, alcohol and tobacco, and chemicals for daily use) |
10 |
Media/publishing/movie and TV/culture communications |
Supply and demand by occupation
The top occupations with the most vacancies for white-collar workers in the second quarter are sales, administration/logistics/secretary, and software/internet development/system integration.
Top 10 Occupations with the Most Job Demand for the Second Quarter of 2016 |
|
Ranking |
Occupation |
1 |
Sales |
2 |
Administration/logistics/secretary |
3 |
Software/internet development/system integration |
4 |
Sales management |
5 |
Finance/auditing/tax |
6 |
Customer service/pre-sales and after-sales support |
7 |
Marketing |
8 |
Education/training |
9 |
Human resources |
10 |
Securities/futures/investment management/service |
The most competitive occupation in the second quarter is finance/auditing/tax with 107.7 applications per vacancy, followed by civil engineering/construction/decoration/municipal engineering (106.7), transportation services (85.5), and HR (78.7).
Top 10 Most Competitive Occupations for the Second Quarter |
|
Occupation |
Index |
Finance/auditing/tax |
107.7 |
Civil engineering/construction/decoration/ |
106.7 |
Transportation services |
85.5 |
Human resources |
78.7 |
Senior management |
75.0 |
Purchasing/trade |
67.2 |
Chemical engineering |
66.1 |
Software/internet development/system |
65.1 |
Administration/logistics/secretary |
64.4 |
Machine design/manufacturing/maintenance |
63.8 |
The least competitive occupations are healthcare/beauty/hairdressing/bodybuilding (11.3), followed by insurance (15.4), community/residency/housekeeping (16.8), and sales (18.3), respectively.
The Least Competitive Occupations for the Second Quarter of 2016 |
|
Occupation |
Index |
Healthcare/beauty/hairdressing/bodybuilding |
11.3 |
Insurance |
15.4 |
Community/residency/housekeeping |
16.8 |
Sales |
18.3 |
Trust/warrant/auction/pawn |
20.0 |
Cooking/catering/food R&D |
21.3 |
Advertising/event |
21.8 |
Education/training |
22.2 |
Hospital/medical care/nursing |
22.3 |
Marketing |
23.8 |
The occupation with the most job applications in the second quarter is software/internet development/system integration. Finance/auditing/tax, and administration/logistics/secretary are ranked second and third, respectively.
Top 10 Occupations with the Most Job Applications for the Second Quarter of |
|
Ranking |
Occupation |
1 |
Software/internet development/system integration |
2 |
Finance/auditing/tax |
3 |
Administration/logistics/secretary |
4 |
Civil engineering/construction/decoration/municipal Engineering |
5 |
Human resources |
6 |
Sales |
7 |
Sales management |
8 |
Purchasing/trade |
9 |
Art/design |
10 |
Internet product/operation management |
Salary analysis
For the 34 key cities monitored by Zhaopin, the average monthly salary for online positions in the second quarter is 7,233 yuan, a slight increase from 7,018 yuan in the first quarter. Beijing is the city with the highest pay, with an average monthly salary of 9,240 yuan, followed by Shanghai (8,962 yuan), Shenzhen (8,315 yuan) and Guangzhou (7,409 yuan), respectively. As the most developed regions in the country, first-tier cities offer the best salaries for white-collar workers. Due to the economic slump, cities in the Northeast are among the lowest in salaries.
2016 Second-Quarter Average Salary for Cities |
|||||
Ranking |
City |
Average salary |
Ranking |
City |
Average salary |
1 |
Beijing |
9,240 |
18 |
Kunming |
6,230 |
2 |
Shanghai |
8,962 |
19 |
Nanjing |
6,197 |
3 |
Shenzhen |
8,315 |
20 |
Zhengzhou |
6,191 |
4 |
Guangzhou |
7,409 |
21 |
Changsha |
6,186 |
5 |
Hangzhou |
7,330 |
22 |
Tianjin |
6,178 |
6 |
Ningbo |
7,152 |
23 |
Hefei |
6,173 |
7 |
Foshan |
7,017 |
24 |
Dalian |
6,144 |
8 |
Dongguan |
6,998 |
25 |
Wuxi |
6,095 |
9 |
Xiamen |
6,886 |
26 |
Jinan |
6,067 |
10 |
Suzhou |
6,719 |
27 |
Qingdao |
6,057 |
11 |
Nanjing |
6,680 |
28 |
Shijiazhuang |
5,886 |
12 |
Chongqing |
6,584 |
29 |
Xi'an |
5,872 |
13 |
Fuzhou |
6,522 |
30 |
Shenyang |
5,842 |
14 |
Guiyang |
6,437 |
31 |
Taiyuan |
5,841 |
15 |
Chengdu |
6,402 |
32 |
Yantai |
5,765 |
16 |
Wuhan |
6,331 |
33 |
Harbin |
5,659 |
17 |
Nanchang |
6,235 |
34 |
Changchun |
5,332 |
The best-paying sector in the second quarter continues to be professional service/consulting (finance and accounting, legal and HR, etc.) with an average salary of 10,362 yuan, followed by agency service (9,844 yuan) and funds/securities/futures/investment (9,059 yuan). Professional service/consulting offer the best pay because of the specialized know-how and the high pressure of job requirements.
Top 10 Highest Paid Sectors for the Second Quarter of 2016 |
|
Sector |
Average salary |
Professional service/consulting (finance and |
10,362 |
Agency service |
9,844 |
Funds/securities/futures/investment |
9,059 |
Energy/mineral/mining/smelting |
8,272 |
Online games |
8,241 |
Telecom/carrier operators/value-added service |
8,061 |
IT service (system/data/maintenance) |
8,042 |
Trust/warrant/auction/pawn |
7,875 |
Communications/telecom/network equipment |
7,689 |
Real estate/construction/building |
7,635 |
The top three occupations with the highest salaries in the second quarter are senior management (18,608 yuan), IT management/project coordination (13,407 yuan) and securities/futures/investment management and services (10,345 yuan), which is the same as the previous quarter.
Top 10 Highest Paid Occupations for the Second Quarter of 2016 |
|
Occupation |
Average salary |
Senior management |
18,608 |
IT management/project coordination |
13,407 |
Securities/futures/investment |
10,345 |
Sales management |
10,047 |
Trust/warrant/auction/pawn |
9,885 |
Software/internet development/system |
9,666 |
Project management/project coordination |
9,287 |
Real estate development/broker/agency |
8,877 |
Banking |
8,870 |
Hardware development |
8,389 |
Among different types of companies, joint ventures offer the highest salary (8,049 yuan), higher than private companies (7,368 yuan) and public companies (7,184 yuan). The average salary of public institutions is the lowest at 6,394 yuan. The average salary at all types of companies, except public companies, recorded slight increases compared with the first quarter 2016. The average salary at private companies surpassed that of public companies in the second quarter.
2016 Second-Quarter Average Salaries for Different Types of |
|
Type of Company |
Average salary |
Joint ventures |
8,049 |
Private companies |
7,368 |
Public companies |
7,184 |
Wholly foreign-owned enterprises |
7,168 |
State-owned enterprises |
7,055 |
Public institutions |
6,394 |
Except for companies with more than 10,000 employees, the smaller the company, the higher the salary. The average salary of micro-sized companies with fewer than 20 employees is the highest at 8,443 yuan. The average salaries at other companies are all below 8,000 yuan. More and more companies are restructuring and raising salary packages to attract talented workers. Smaller companies are the first to take action. With disadvantages in brands and training, smaller companies are paying higher salaries and offering more benefits to compete for talents with larger companies.
2016 Second-Quarter Average Salaries for Different Size Companies |
|
Size of company |
Average salary |
Below 20 |
8,443 |
20-99 |
7,997 |
100-499 |
7,416 |
500-999 |
7,256 |
1,000-9,999 |
7,012 |
Above 10,000 |
7,472 |
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 March 31, 2016, number of registered users as of March 31, 2016 and number of unique customers for the three months ended March 31, 2016. The Company's over 115.3 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, 2015, approximately 25.6 million job postings[1] were placed on Zhaopin's platform by 418,423 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.
[1] 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. Daisy Wang
Investor Relations
[email protected]
ICR Beijing
Mr. Edmond Lococo
Phone: +86 10 6583-7510
[email protected]
SOURCE Zhaopin Limited
Related Links
WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?
Newsrooms &
Influencers
Digital Media
Outlets
Journalists
Opted In
Share this article