New visa laws and air pollution make it increasingly difficult to attract and retain foreign talent, according to the American Chamber of Commerce’s 2014 Business Climate Survey Report.
365 AmCham member companies responded to the annual survey.
After the introduction of the new Exit-Entry Administration Law in July 2013, nearly twice as many respondents said it was more
difficult to get a visa or work permit than said it was easier:
Companies’ leading concerns related to visa and work permit issues are the length of time the pubic security bureau holds foreign nationals’ passports during the annual renewal process and the lack of transparency regarding legal requirements and procedures:
The proportion of companies reporting that air quality is a difficulty in recruiting and retaining senior executive talent rose to
nearly half in this year’s survey. As labor costs rise and companies continue to face difficulty recruiting managers, air quality concerns may be an increasingly important factor.
Human resources issues are an enduring challenge for foreign companies in China. This includes rising wage expectations and difficulty attracting, developing, and retaining managers and skilled workers. But China’s cooling economy poses the greatest risk to companies, according to the survey.