Friday, March 2, 2012

Shanghai - Reevaluating Expatriate's Conveniences

The popular city of China called Shanghai, is one among the favorite destination of many multinational companies that employ Expats from across the globe, is currently reviewing steps in easing visa validity of  their multinational workforce.



It was reported by, that "The Shanghai Commission of Commerce is working with the city's exit and entry administration to allow foreign employees of multinational corporations' regional headquarters to have longer visa validity," said, Chen Xianjin, the commission's vice chairman.

Today, expats who are living in the city has a one year visa and renewable annually.  Only the big organizations with sizable employees and senior management officials can have longer visa validity.  There is an intent to institute  about preferential treatment for multinational organizations so that they can have a longer visa validity. At the same time, to encourage other organizations to establish their operation which will bring economic growth in Shanghai. 

Few leading organizations in Shanghai admonished that visa validity should be aligned to the length of the contract of an expatriate. In that way, the employee can focus on his job and responsibilities in a long term instead of an annual basis. 

However, there are reservations of other multinational organizations that are based in Shanghai because of some parts of the initiatives where social security premiums will be imposed to expatriates and employers like their Chinese counterparts. They argued that it will increase their costs in doing business in Shanghai.

JNT Consulting have consulted with multinational organizations that operate in Shanghai.  Experienced in managing the mobility of expatriates assigned in Shanghai, China. Have relocated employees from multinational organizations based in Shanghai to the United States and other parts of the globe.  Has partners in Shanghai who are knowledgeable, experienced and efficient.

What this means for you? 
1. If this will get approved, both the multinational organizations and their expats that are operating in Shanghai will get higher productivity and commitment to better performance. It will reinforce retention of their workforce

2. Multinational employers can expand competitively in Shanghai because they can invest on their expat's visa for a longer term instead to an annual basis 

3.  The Shanghai Commission of Commerce has a strategic economic initiative for the benefit of their city, where multinational opportunities will arrive in Shanghai. However, a possible hindrance is the increasing taxation to corporations and expatriates

4. Shanghai will continue to grow and people from across the globe will choose the location because of the convenience of a longer visa validity compared to other cities.

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About JNT Consulting
JNT Consulting Global Resources offers professional consulting and resources management, provides workforce solutions that achieve the "High Performance Organization" regardless of size and location.

JNT Consulting has its headquarters in San Jose, California and is "Your Partner for Growth & Development”, “Your Professional Coach”, and “Your Provider of Global Resources”. You can contact us by calling +1 650 241-3207 or visit our website.

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