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China's wage inflation forcing foreign firms to look at Southeast Asia
Wage inflation on top of the loss of preferential tax policies has seen mainland lose its appeal.
The economic turbulence in China has another hidden layer to it - losing jobs to Southeast Asia as multinational companies relocate their manufacturing units to those countries as a way to enhance cost efficiency.
"I definitely think Southeast Asia is a threat to China's job market," said Christine Wright, Asia managing director of recruitment agency Hays. "Now places like Vietnam and the Philippines are a lot cheaper and we'll see more companies looking to set up their manufacturing there.(...)
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