Recruitment practices in institutional transition of China

Abstract

The paper examines how recruitment practices of foreign companies developed over time in China. The data included 33 personal interviews with HR managers and top managers of over 20 Finnish owned subsidiaries in China. The study shows that the recruitment channels have changed from closed and internal from Chinese partner of the joint ventures to current open and external, i.e. labour market based. Internet has become the most important recruitment portal. Use of formal recruitment procedures gained increasing status. These developments were influenced by the changes in Chinese institutions, labour market development, information technology and MNC practices. Although some of the recruitment practices seemed to be similar to those in the West the purpose of using the practices carried distinguished Chinese characteristics.