Average salaries expected to rise amid digital transformation

Average salaries for professionals in Shanghai are expected to rise between 5 and 8 percent this year as the digital transformation deepens amid China’s stable economic growth, recruitment agency Morgan McKinley said in a report today.

Salaries will increase 5 to 8 percent on average for those with regular performance who stay with their current employer, while the increase could reach between 10 to 20 percent for those who take on new opportunities elsewhere, the report said.

The increase is expected to be faster than that of 2017 as the firm has observed new opportunities and more competition for talent.

The report said China has been able to defy the expectations of a marked slowdown this year due to improved global demand for its goods, infrastructure spending, and improved profit by Chinese companies.

“Many companies now understand that retaining talent is more important than attracting new talent, and we expect 2018 to be a much more rewarding year,” said Rio Goh, managing director of Morgan McKinley China. 

“A major area for growth and opportunities for candidates will be the digital marketing and transformation space — 2017 was a great start to what we see as a digital revolution across most companies trying to invest further in their digital technology and markets.”

He said that demand is heightened for IT professionals, research and development talent as well as product development across the payments sector and new technology such as block chain.

Financial services, especially the financial markets and investment sector, will be looking to create a host of new and exciting roles in China, while growth of talent demand in general manufacturing and traditional sectors will be “very conservative,” Goh added.