Wage growth to slow in 2014

Recent developments in China have shown that the overall macro-economic fundamentals remain stable. The central government is aiming for a sustainable growth model. Stimulus programs will be limited to key sectors, while more reforms will be implemented.

Economic growth should remain stable, but on lower levels at around 7-8% for 2013 and 2014. Double digits GDP growths rate will be a thing of the past.

The labour market remained tough in 2013 and we witnessed problems to find and retain semi-skilled workers. However these problems were significantly less pressing then in 2012. Wage growth may slow down a little in 2014, but employers still have to watch and monitor developments closely.