Determinants of Employee Turnover in Chinese-Owned Businesses in Zimbabwe

Determinants of Employee Turnover in Chinese-Owned Businesses in Zimbabwe

Mubango Hazel, Terera Kumbirai, Madziniwa Kennedy

Women’s University in Africa, Harare, Zimbabwe

DOI: https://doi.org/10.51244/IJRSI.2024.11100014

Received: 25 September 2024; Accepted: 03 October 2024; Published: 04 November 2024        

ABSTRACT

Chinese enterprises have rapidly increased their presence in Zimbabwe’s commercial sector, drawing scrutiny on their employment policies. Employee turnover has been excessive in Chinese-owned enterprises due to ineffective personnel management techniques that do not retain employees. This study aimed to examine the factors influencing employee turnover in Chinese-owned enterprises in Zimbabwe. The research employed a descriptive approach to gather data using a questionnaire from a sample of 40 intentionally selected respondents. Research indicates that inadequate compensation, substandard working conditions, job unhappiness, limited career advancement, and an organisational culture that favours Chinese personnel contributed to employee turnover in Chinese-owned businesses. Consequently, these factors adversely impacted the company’s productivity, employee engagement initiatives, and heightened employees’ propensity to resign from the organisation. The research advises Chinese-owned enterprises in Zimbabwe to embrace and adhere to the host country’s employment labour norms, as well as formulate and execute comprehensive human resource plans to mitigate turnover within their companies.

Keywords: employee turnover, Chinese-owned business, productivity, working conditions, Zimbabwe

INTRODUCTION

Elevated workforce turnover is a global challenge for several firms due to a variety of factors. Voluntary and involuntary turnover refer to the departure of employees from a company (Nel et al., 2014). Employees willingly exit companies when they want to terminate their employment, whereas businesses dismiss or lay off employees in instances of involuntary turnover (Hausknecht & Trevor, 2011). From an organisational perspective, employee turnover represents the loss of firm-specific knowledge, skills, and competencies that the departing worker has developed over time (Lee & Whitford, 2013).

Businesses often acquiesce to the expenses incurred by increased staff turnover. Organisations generally are apprehensive about their personnel turnover ratio due to the significant financial burden associated with excessive labour turnover (Samuel & Chipunza, 2009). Direct recruitment costs arise during the search for a replacement, expenses associated with lost production during the interval between an employee’s departure and the acquisition of a replacement, costs stemming from productivity declines due to employee turnover, and diminished productivity of the new hire during the acclimatisation period (Schlechter et al., 2016). Moreover, significant employee turnover, as noted by Holston-Okae (2017), leads to ineffective corporate operations, disengaged employees, and a scarcity of talent in the workforce. Furthermore, the departure of competent and experienced employees to competitors results in a depletion of institutional knowledge and historical context in the impacted organisation (Moynihan & Pandey, 2008).

Simultaneously, Chinese enterprises have made substantial contributions to economic advancement in Africa. Donou-Adonsou and Lim (2018) assert that Chinese foreign direct investment has elevated income and living conditions in several African countries. Chinese business endeavours in Africa have led to notable improvements in trade and investment volumes, access to affordable goods, increased employment rates, infrastructure development, technology, and skills transfer (Muriithi, 2017). Chinese businesses have created employment opportunities for local citizens, both directly and indirectly, across multiple sectors, with a noticeable rise in employment in manual labour, professional, technical, managerial positions, and the service industry (Guo et al., 2022). In Angola, Chinese companies are more inclined to offer free accommodation and meals, whereas other companies exhibit a higher level of formalisation in employment arrangements, as indicated by a larger prevalence of perks that include sick leave, vacation, and health insurance (Lee, 2018). A sample of Chinese enterprises in Ethiopia contribute to training and skill development at levels comparable to other firms in the same sector. Nonetheless, training is predominantly common in the manufacturing sector and is considered much more essential by companies (Oya, 2019).

Similarly, the Zimbabwean government’s implementation of the “Look East Policy” (LEP) in 2003 has not shielded the nation from China’s increasing economic involvement. Chinese firms in Zimbabwe engage in corporate social responsibility activities aimed at enhancing the livelihoods of local populations and fulfilling their responsibilities as responsible contributors to the local economy. Huawei, a leading Chinese telecoms company, is helping to mitigate the technical skills gap in Zimbabwe’s telecommunications sector via its Seeds for the Future program (China Daily, 2023). The predominant investments in Zimbabwe since that time originate from Chinese-owned enterprises in diverse sectors, including manufacturing, retail, and mining. Nonetheless, despite the significant economic impact of Chinese investments on the nation, grave concerns have been expressed over their business practices’ infringement against domestic labour laws (Mapaure, 2014; Ncube & Oni, 2020; The Standard, 2020).

Chinese companies exploit workers via excessive labour, perpetrate sexual harassment on female employees, and intimidate them from union participation. Njerekai et al. (2018)’s research reveals that Chinese-owned enterprises in Zimbabwe prohibit their employees from joining trade unions out of fear of retaliation, do not compensate for overtime, do not have access to leave benefits, and offer inadequate training opportunities. Schaefer’s (2019) further study indicated that enterprises controlled by Chinese nationals in Zimbabwe impose inadequate working conditions on employees and contribute minimally to their professional growth. Simultaneously, other research suggests that Chinese companies often offer lower compensation than other foreign investors, with their wages ranking among the lowest in several African countries, as reported by the International Trade Union Confederation’s Hong Kong Liaison Office (IHLO, 2006). Another complaint asserts that the labour conditions in Chinese companies are inadequate, often posing health and safety hazards and requiring prolonged work hours (IHLO, 2006; Human Rights Watch, 2011). Consequently, the factors influencing employee turnover in Chinese-owned enterprises in Zimbabwe have compelled academics to investigate.

THEORETICAL FRAMEWORK

The theoretical framework of this study is based on the social exchange theory (SET), which prioritises reciprocity norms and social exchanges over negotiated restrictions and commercial transactions (Cropanzano & Mitchell, 2005). Social exchange, as articulated by Blau (1968), is a reciprocal process between persons who share responsibility in a sustained relationship marked by considerable interdependence. The impression of reciprocity is contingent upon the recipient’s assessment of advantages and their sense of responsibility to adhere to the concept of reciprocity (Blau, 1964; Homans, 1961). This hypothesis is crucial for comprehending workplace behaviour and the interactions between employees and employers (Smith, 2015). The SET framework is essential for guaranteeing equitable treatment, offering support, and cultivating trust among employees (Smith, 2015). Mutual agreement, respect, appreciation, dependence, and acknowledgement of ideas form the foundation of an effective employment partnership, while both sides foster a supportive atmosphere (Crossman, 2020; Redmond, 2015). The social exchange theory posits that individuals are inclined to allocate time and effort to connections and activities that provide rewards (Redmond, 2015). Employee’s intention to stay in the organisation is the foundational element in creating a favourable psychological contract between employers and employees. Mutual expectations for a long-term partnership form the foundation of this contract (Cullinane & Dundon, 2006).

The norms of reciprocity in the employment relationship posit that every organisational entity, including employees, leaders, teams, and organisations, may initiate or receive exchanges. The establishment of reciprocal connections between the parties affects employee behaviour (Wittmer et al., 2010). From a personal perspective, the choice to depart from one’s present employment influences the mutual connection between both parties (Singh et al., 2013). The justification for SET and turnover intentions is based on the reciprocal and interactive interaction between employees and their employers (Wittmer et al., 2010). Chen and Yu (2014) identified career trajectories, workplace atmosphere, and social support as determinants that purportedly affect social interchange and employee turnover, concluding that enhancing these elements can improve retention rates. A significant turnover rate undermines social exchange connections. Workers may opt to stay with their organisation as a means of returning the advantages they have garnered from the firm.

METHODOLOGY

Research Design

This study uses a descriptive research approach appropriate for examining employees’ current perspectives on turnover in Chinese-owned enterprises. Descriptive research is defined by its emphasis on “what exists” about variables or situations (Creswell & Creswell, 2018). This methodology facilitates a thorough comprehension of employee perspectives and behaviours, aligning with the study’s aim to evaluate specific factors affecting turnover.

 Population and Sampling Technique

Population and Sampling Technique: The research focused on Chinese-owned enterprises in the brick moulding sector in Harare, Zimbabwe. There were six firms. There were a total of 76 personnel in the human resources department. The human resources department selected individuals based on their comprehensive knowledge of employee recruitment and departures. They were also in charge of conducting departure interviews, indicating their comprehensive knowledge of employee turnover. Yamane’s formula for sample size determination is: n = N/(1 + N(e)²). Therefore, the sample size was 43.

Stratified random sampling method was employed to ensure representation from various organisations. The selection method entailed obtaining the entire personnel count from each organization’s Human Resources department and then calculating it to ensure sufficient representation from both strata. Stratification was accomplished by randomly selecting individuals from each group based on their size, thereby enhancing the generalisability of the results (Dempsey, 2003; Peil, 2005).

Data Collection Methods

Data was collected through questionnaires and semi-structured interviews. The surveys were constructed with closed-ended questions to assess employee attitudes and experiences related to turnover. The questions were formulated based on existing literature and pre-tested with a select sample of employees to ensure clarity and pertinence. The final version was delivered both electronically and in person to enhance response rates. Semi-structured interviews enhanced the surveys by enabling respondents to articulate their perspectives more comprehensively. Interviews were performed in a tranquil environment, documented with participants’ approval, and transcribed for examination (Saunders et al., 2017).

Data Analysis Procedures

The quantitative data obtained from the surveys were analysed with SPSS Version 29. The study encompassed descriptive statistics, including frequency distributions and means, to summarise the data. Furthermore, cross-tabulations were utilised to examine the correlations among variables. Thematic analysis was employed for qualitative data derived from interviews. This entailed coding the replies to discern reoccurring themes and patterns. Two researchers conducted the coding method separately to ensure inter-coder reliability and then engaged in a consensus debate to finalise the themes (Braun & Clarke, 2006).

 Ethical Considerations

During the study procedure, ethical considerations were of utmost importance. Informed permission was secured from all participants before data collection, assuring their comprehension of the study’s objective and their right to withdraw at any moment. To safeguard participant confidentiality, measures included the anonymization of replies and the secure storage of data. The appropriate institutional review board obtained ethical permission, confirming compliance with ethical research principles (American Psychological Association, 2020).

RESULTS

The data obtained from the questionnaire and interviews is shown and discussed below.

Table 1. Demographic characteristics

Source: Field survey 2023

The majority of the employees, 37.5% (15), according to the study’s demographic findings, were between the ages of 20 and 30, indicating that Chinese-owned businesses are staffed with very young people who still have a bright career future ahead of them. Most employees are highly educated, with more having earned their first degree. Consequently, maintaining its educated and skilled workforce boosts the organisation’s production. Untreated, educated and skilled workers may depart in search of more favorable conditions.

It was found that 67.5% (27) of respondents worked for the company for less than three years. The duration of experience reflects an employer’s capacity to keep its workforce. These findings support those of Hrebiniak and Alutto (1992), cited in Nyamubarwa (2013), who found that employee seniority and level of education in the organisation were associated with higher individual expectations, job dissatisfaction, and a greater likelihood of leaving the organisation. These findings indicate that long-term employees and those with strong academic credentials will depart Chinese-owned businesses in search of better career opportunities and better remuneration.

Table 2. Factors affecting employee turnover

 Source: field survey 2023

The findings of the study indicated that the factors that influence employees to leave their employment were poor remuneration 95% (38) being the number one factor, followed by organisational culture 75% (30), poor working environment 70% (28), lack of career progression 62.5% (25), job dissatisfaction 57.5% (23), job insecurity 50% (20), and personal issues 45% (18). The following are the themes from the interviews.

Poor Remuneration

 According to a Chiboiwa et al. (2009) study, salaries play a crucial role in employee retention, and if they are disgruntled, turnover may result.

Participant 1: ‘The salary that I am getting is not enough and is way below Zimbabwe’s poverty datum line. After paying rent and other bills, some of us start borrowing again so that we get to the end of the month… This is frustrating because I am stuck here and I have nowhere to go, and jobs are scarce in Zimbabwe.’

Participant 10: “In Zimbabwe, the rate of inflation is increasing almost every month.” Our organisation is still paying us salaries using the Zimbabwean dollar, which has no value in the shops. Only Chinese nationals receive payment in US dollars. So tell me, who can stay in an organisation like that? There is no motivation at all in continuing to go to work.

My monthly salary is insufficient, prompting me to seek a higher-paying job. Promotional opportunities do not exist in the organisation. Do you know that Chinese-owned businesses do not pay for our medical aid but even give us transport and housing allowances? Our National Employment Council Collective bargaining agreement does not prescribe the salary we receive. This is so unfair.’

The findings above indicated that poor remuneration was a key factor in turnover in Chinese-owned businesses. The company exploited the desperate state of the populace and underpays its employees in Zimbabwe because of the country’s economic instability and high unemployment rate. Any wage that is lower than the Poverty Datum Line (PDL) is poor and unfair, according to Gwisai et al. (2019). This is in tandem with findings from research that was conducted in Kenya, where it was shown that Chinese business owners marginalised Kenyan workers by employing a low-wage strategy (Kamoche & Siebers 2015). A similar study by Carciotto and Chikohomero (2022) indicated that salaries continue to be excessively low, sometimes below the living wage, especially for low-skilled employees, and that businesses fail to pay employees for all hours worked. Following these findings, Trevor (2014) adds that under-rewarding employees with bonuses and incentives reduces their motivation levels and contributes to higher employee turnover rates. Despite claims of low wage payments in other countries, Giese and Thiel (2014) discovered that Chinese businesses in Ghana frequently paid wage rates that were higher than the national average. Njerekai et al. (2018) found that the Chinese restaurant owners in Zimbabwe paid their staff the minimum pay required by the sector. These findings align with the study (Callier, 2011), as money has a significant impact on employee motivation and attrition.

Working Conditions

The work environment, another factor contributing to employee turnover, encompasses an employee’s physical and psychological surroundings during their daily tasks (Jafari, 2011). Research findings indicate that the toxic work environment at Chinese-owned businesses played a role in some employees’ decision to leave the organisation.

Participant 5 says, ‘We are not allowed to have tea breaks or lunch breaks… Most of the time, we eat lunch while working. Also, taking on vacation leave is not allowed unless you have a very good reason… they say that you want to run away from your duties.’

Participant 8: ‘At times, if one complains of poor working conditions such as a lack of adequate rest or work overload, we are threatened with our jobs or getting a pay cut, so we just suffer in silence.’

These findings concur with research that revealed exploitative working conditions at a Chinese construction company in Zambia (Koyi, 2018). In addition, it was widely believed that Chinese employers regularly mistreated black workers and dissuaded them from making official complaints out of fear of losing their jobs because they thought black workers were sluggish or unappreciative of job opportunities (Bhebhe et al., 2020). In addition, Tilden et al., (2012) contend that elevated staff turnover intensifies the workload and demands on the remaining personnel. When organisational support is inadequate, conflicts arise as a result of a difficult working environment, which can have several negative repercussions, including increased job stress, burnout, absenteeism, negative attitudes, and attrition (Kokt & Ramarumo, 2015). Timothy (2009) concurs that a favourable work environment negatively impacts employee turnover.

Organisational Culture

Employee turnover at Chinese-owned businesses was also discovered to be a result of the culture of the organisation. Medina (2012) concurs that organisational culture significantly influences turnover intentions within every organisation. The Chinese employees benefited from preferential treatment, securing higher positions and better pay, while the other local employees faced unfair treatment. Additionally, many claimed that language barriers made communication extremely challenging. Shona is not understood by the Chinese managers and owners of Chinese-owned businesses, and they had trouble understanding and speaking in the English language.

Participant 7: ‘When an opportunity for a promotion arises… the organisation usually promotes Chinese people; they regard us as undeserving. Even our Zimbabweans who are in supervisory roles do not even make recommendations for our promotions.’

Participant 3: ‘We do not know Chinese Mandarin, but they communicate with us in their native language, and they do not want to learn our Shona language. They do not want to communicate in English too and they tell us to learn their language instead, which is very difficult to do. Most of their receipts and invoices are also written in Chinese, which we are expected to use.’

Kee (2010) found that corporate culture, which includes job challenge, teamwork, creativity, and justice, has a significant and weak negative association with employees’ intention to leave that particular business. Employee turnover is a result of leadership that reflects the culture of Chinese-owned businesses. There is some proof that managers and supervisors can influence staff retention or turnover (Reina et al., 2018). The organisational culture at Chinese-owned businesses provides little in the way of training and supervisory support, and there are limited prospects for career advancement, which leads to significant turnover. Employees also feel undervalued and unappreciated, stressed out from working too much and having a poor balance between work and private life, and finally, they lose faith in their leaders (Branham, 2005).

Lack of Career Advancement and Job Dissatisfaction

Another factor influencing employee turnover is a lack of career advancement in organisations. According to the findings, Chinese-owned businesses do not offer prospects for career advancement or promotions, so their employees are not likely to stay. Because regular employees cannot advance to higher grades because of this “glass ceiling,” the company’s workers are less motivated. They quit the organisation as a result in search of businesses that offer better prospects for career advancement.

Participant 2: ‘most of us leave the organisation because the chances of career advancement are very slim. The organisation maintains a flat structure and reserves the majority of its management positions for Chinese nationals. Even though we have more academic qualifications and experience, we remain in our positions for years to come.

The provision of professional development possibilities in firms, according to Donald (2015), providing professional development opportunities in companies helps to reduce employee turnover rates. This study revealed that the absence of study or vacation leave for employees in Chinese-owned businesses hindered the company’s ability to foster career advancement by discouraging workers from pursuing further education. Cascio (2014) also argued that allowing employees to take time off to further their education contributes to their advancement. The study’s findings also indicated that job dissatisfaction influenced the staff turnover of Chinese-owned businesses.

Participant 4: ‘Because of the poor working conditions and remuneration as well as career progression, my job is not satisfactory…I just endure coming here to work because I have mouths to feed and bills to pay. Otherwise, I am on the job market and if I find a better job, I will not hesitate to leave this organisation.’

This is also in line with findings from research by Al-Suraihi et al. (2020) and Muhammad and Jahangir (2014), which showed that job dissatisfaction has a direct and adverse association with an employee’s intention to quit their jobs, which in turn has a positive correlation with actual employee turnover. In addition, employee turnover is a result of job dissatisfaction with the work itself, the management, and the pay (Keng et al., 2019). This demonstrates that job discontent at Chinese-owned businesses decreased employee productivity, diminished organisational employee engagement, and raised employees’ intention to quit. If the leadership, compensation, management, and working environments are satisfactory, employees are more likely to stay with the organisation.

Impact of Employee Turnover on Business Productivity

Figure 1. Employee turnover on business productivity

Source: Field Survey 2023

The researcher asked the respondents for their opinion on the effect of employee turnover on the productivity of Chinese-owned businesses.The findings showed that 75% of the respondents thought employee turnover had an impact on the organisation’s productivity, while 25% said it had no effect at all. The interviews revealed this, with some of the participants stating:

Participant 9: ‘Because most of us employees are leaving the organisation, it is affecting productivity and morale because of the manpower shortage, and some recruits needed a lot of time to be trained. This frustrates the employees that remain behind.’

Participant 6: ‘When staff members leave Chinese-owned businesses… …the organisation has no urgency and is taking a lot of time to find a replacement and this is affecting output. The remaining employees experience overwork, leading them to perform at their highest level.

 On the contrary, Participant 9 says, ‘Productivity is not affected since recruits are the ones who leave mostly and the old employees who are high performers continue to work hard…Therefore, there are no performance gaps.

The study’s results demonstrate that turnover significantly impacts the productivity of Chinese-owned businesses. Organisations suffer severe financial consequences as a result of turnover interruptions. These results align with the findings of Schlechter et al. (2016), who identified several consequences associated with turnover, including the recruitment costs incurred during the search for a replacement, the loss of labor during the transition period, the loss of productivity during the departing employee’s tenure, and the reduced productivity of the new hire during the onboarding process.

The human capital perspective asserts that employee turnover adversely affects organisational performance due to the simultaneous loss of organisational memory, along with the skills, knowledge, and abilities developed by employees through training and experience (Ployhart et al., 2014). Hashim and Mohamad (2018) agree that a company’s cost of replacing its talent can account for up to 25% of its total annual expenses. Employee turnover can impact customer service by harming productivity, leading to a loss of human capital and lower levels of service delivery for the organisation’s clients (Holtom, 2016). They must divide their time between training new hires and handling routine activities, a company’s remaining employees may suffer as a result of this high staff turnover. This results in lower employee productivity and efficiency.

DISCUSSION

This study’s findings provide essential insights into the factors influencing employee turnover in Chinese-owned enterprises in Zimbabwe. The demographic profile of responses reveals a mostly youthful and educated workforce, with a significant number of employees aged 20 to 30. This demographic is frequently defined by ambitions for professional growth and job fulfilment, rendering them especially attuned to office environments and organisational ethos. The presence of highly educated employees indicates substantial potential, and their retention is essential for improving organisational productivity.

 The survey identified inadequate compensation as the primary reason for resignation, with 95% of respondents citing it as a major factor. This corresponds with an earlier study by Chiboiwa et al. (2009), which highlighted the significant impact of compensation on staff retention. Participants’ discontent with their earnings, especially during Zimbabwe’s economic woes, underscores a significant issue for workers. Numerous individuals reported earning incomes below the Poverty Datum Line (PDL), which exacerbated their financial difficulties. This circumstance engenders discontent and desperation, prompting employees to pursue higher-paying positions elsewhere. The study’s results align with the research of Gwisai et al. (2019) and Kamoche and Siebers (2015), demonstrating that inadequate salaries and substandard working conditions frequently result in elevated turnover rates. The compensation discrepancy between local employees and Chinese nationals intensifies emotions of inequity and discontent among the workforce. This imbalance adversely affects morale and weakens the organisation’s endeavours to sustain a steady and dedicated staff.

 Employees describe a hostile work environment as a notable factor influencing turnover. Numerous participants reported an absence of fundamental working rights, including breaks and vacation time, indicative of exploitative practices. The results align with studies demonstrating that an adverse work environment contributes to heightened job stress and burnout (Kokt & Ramarumo, 2015). Employees articulated sentiments of feeling devalued and overburdened, intensifying their want to go.

 The qualitative data indicated that threats of job termination or salary reductions for expressing concerns regarding working conditions fostered a culture of fear, deterring employees from confronting issues that may enhance their work environment. Such situations may result in increased absenteeism and lower organizational engagement as employees perceive a lack of support and appreciation.

The lack of professional advancement was a common issue, since employees said that the organisational hierarchy favoured Chinese nationals for promotions. The notion of a “glass ceiling” constrained the ambitions of local employees, resulting in diminished motivation and engagement. This discovery corroborates Donald’s (2015) claim that professional development opportunities are essential for talent retention. When employees see a lack of future prospects inside the organisation, they are inclined to pursue options outside that provide growth and promotion.

Participants express heightened discontent due to the lack of funding for staff training and development. Numerous individuals expressed a sense of stagnation in their roles, despite possessing qualifications and experience. This view aligns with Cascio’s (2014) results, which indicated that organisations that do not encourage staff education impede retention.

The research examined the effect of staff turnover on organisational productivity. Seventy-five percent of respondents stated that turnover negatively impacts productivity. Participants said that frequent departures resulted in labour shortages and heightened responsibilities for the remaining staff, thereby undermining morale and performance. This result aligns with Schlechter et al. (2016), who emphasised the financial ramifications of turnover, encompassing recruiting expenses and reduced output during the transition phase. Conversely, turnover can augment human capital when new employees present innovative ideas that contest established procedures and routines (Abelson & Baysinger, 1984).

Nonetheless, several individuals articulated an opposing perspective, indicating that strong achievers maintained their dedication and consistently excelled despite change. This paradox suggests that although certain personnel may acclimatise to changes, the cumulative impact of turnover adversely affects organisational efficiency and service performance.

CONCLUSION AND IMPLICATIONS

The study shows that several factors motivate employees to depart from Chinese-owned businesses. The elements encompass insufficient career advancement, compensation, job satisfaction, organisational culture, and working conditions, which adversely impact corporate operations. Turnover costs the organization a significant amount of time and resources. To overcome these obstacles, the organization must establish robust measures for future planning. More research is required on the development and implementation of human resource management techniques to mitigate turnover rates in Chinese-owned enterprises abroad. This study’s findings highlight the urgent necessity for Chinese-owned enterprises in Zimbabwe to confront the fundamental factors contributing to employee churn. By providing competitive salaries, cultivating a friendly workplace, and establishing transparent career growth opportunities, these organisations may improve employee happiness and retention. Furthermore, acknowledging their staff’s varied requirements and establishing fair standards will be critical for cultivating a dedicated and efficient team. Resolving these difficulties helps workers and enhances the organisation’s long-term profitability and sustainability.

The study recommends that the government should enact statutes that protect local labour from exploitation from foreign owned organisations. There should be enforcement of these policies with regular checks and balances on policy compliance to improve the working conditions of these employees. Also, local Chinese businesses should comply with the local labour laws and implement human resources policies that protect the rights of the all employees in their businesses.

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