China Relocation and International Assignment Survey China is on the move. If you are originally from the West, you might think moving to China is a little bit too exotic for you. But perhaps once you arrived to one of China’s major metropolises you might actually find that it has many of the things which you would find at home to make you feel comfortable, including an English speaking expatriate community to form a support system. However, this may not be the case for China Tier 2 or China Tier 3 cities as specified by the Chinese government which are determined by population size and economic growth potential.[1] For designated Tier 2 and 3 cities, many of the familiar amenities and infrastructure that could be found in the West and in the modern Chinese cities such as Beijing, and Shanghai is not available. But because businesses need to go to these Tier 2 or Tier 3 cities so do their talented employees. Therefore questions arise about how to relocate employees to these cities such as, how do companies fairly compensate employees who make the journey to the far reaches of rural China to live and work? How does an employee secure housing in more remote locations in China?  This month’s Paragon Pulse survey explored these questions and more. For the Paragon Pulse respondents 75% said that for employees moving to Tier 2 or Tier 3 cities would receive the following benefits in combination with their relocation policy: Language Training, Temporary Living, Annual Leave and Education Support. While 50% of respondents also said that transferring employees would receive Cultural Training, Property Management, Rental Payments, and Transportation. In addition to the question about how housing is handled in Tier 2 or Tier 3 cities all respondents indicated that housing was paid directly to the landlord or property management firm of the home being leased. This would indicate that companies find that the best strategy is to deal with landlords and property management firms directly.  It is clear from these results that as China continues to grow its economy in these Tier 2 and Tier 3 cities talented employees will be moving there in greater numbers and therefore it is essential for companies to find the right mix of additional benefits to guarantee successful relocations within China.     Paragon will be exhibiting at ERC Global Workforce Summit – APAC on March 10-11, 2010. Come by to say “Hello!” if you are going to be attending the event. For more information about upcoming worldwide events that Paragon will have a presence at please go to the events page of the Paragon website.  [1]http://www.articlesbase.com/business-opportunities-articles/understanding-chinese-tier-cities-for-business-469861.html	Survey Participation     February's Pulse data represents results from corporate relocation professionals from organizations of the following size:   1,000 to 10,000           0% 10,001 to 20,000         40% 20,001 to 50,000          0% 50,001—100,000          20% 100,001 +                   40%   Final survey results are included in this document.
		February 2010 Survey Results    What additional benefits/services does your company provide to move from Chinese Tier 1 cities to Tier 2/3 cities? Choose all that apply: Candidate Assessment 0% Succession Planning 0% Language Training 75% Cultural Training 50% Property Management 50% Temporary Living 75% Rental Payments 50% Annual Leave 75% Elder Care Support 0% Spousal Support 0% Educational Support 75% Hardship Allowance 25% Transportation 50% Heat Allowance (in summer) 0% Single Child Allowance 0% Other, please specify 50%         How does your company currently deal with housing in China for those on assignment? Choose any that apply: Housing is leased by the company, and families are rotated in as space becomes available 0% The company pays for housing directly to the landlord or property management firm 100% The company pays the employee a housing allowance 20% The company pays for housing in local currencies 60% Other, please specify 0%         How does your company determine the type of housing that a transferee receives? Choose all that apply: Family Status 20% Career Level 40% Departure Location 0% Other, please specify 40%         Does your company work with local governments in Tier 2/3 cities to develop infrastructure? Yes 40% No 60%
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