Reducing cost of Recruitment in China - from 2008, they have banned hiring Chinese as a consultant from other countries

sdas_80
Dear All, We are a Bangalore based Biotech company. As part of our expansion plans, we hired a senior marketing person in China, with the help of the external consultant in China. We have hired this person in the payroll of other companies in China, for which we have been paying 15% as a Service Fee & 10% additional tax to the Indian government (Every Month) to transfer the amount to china.
We thought of hiring the person as a consultant, but from 2008, they have banned hiring Chinese as a consultant from other countries.
We have been keenly seeking out for your suggestions, which would help us to reduce cost.
Thanks & Regards,
Sunil
tajsateesh
Hello Sunil,
A few queries to get better clarity.
1] Where is this Chinese Mktg person working/positioned--Bangalore OR China?
2] W.r.t. your line "...............with the help of the external consultant in China. We have hired this person in the payroll of other company in China....": Is the external consultant AND the 'other company' the same OR different?
3] Any specific reason(s) why the Mktg person was hired as a Consultant--why not as an employee?
Rgds,
TS
sdas_80
Hi TS,
International companies, cannot hire china employees as a consultant. hence, we have not hired him as consultant.
We have hired him in the payroll of some other company in China, for which we have been paying 15% service fee Plus we are bearing both the sides tax. which results in Higher Cost.
Hence, we were looking out for some alternatives, which would help us to reduce the cost.
Regards
Sunil
tajsateesh
Hello Sunil,
I guess you don't have many options.
I can see the following:
1] Speak to the Chinese Company that they foot the Tax bill @ their end & you do it @ the Indian end--though not really sure how realistic this could be.
2] Since you are in the Biotech sector, can't you look for another nationality consultant who fits-in the bill--where this issue wouldn't arise?
Another option would be to EITHER wait for the members who belong to the Infrastructure sector--which I think has a large concentration of Chinese professionals--and figure-out how they handle this issue OR tap into the CiteHR database YOURSELF & contact them thru Private Messages.
Here's the Link I got in my search:
members in infrastructure industry
You too can use the Research facility @ the top of this page to get more refined results to lead you to the right HR persons who can help you out.
All the Best.
Rgds,
TS
pon1965
The best way is to appoint your company Indian representative at China and engage a local interpreter. In my last Company, they did like this.
Pon
sdas_80
Hi TS,
Thanks for your feedback.
Option 1: is ruled out, since the same is not complied with the statutory financial laws.
Option 2: We have recruited senior position in China for Sales & Marketing, who has a good hold of the geography and customers. Hence, he has started his revenue generation from 01 Month.
Yes, will try to trace members from infrastructure, through linked in.
Cheer's
Sunil
tajsateesh
Using LinkedIn surely would be a good step Sunil.
All the Best.
Rgds,
TS
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