2020 Corporate Salary and Benefits Survey

  The twists and turns of 2020 are not only in the headlines, but also in the company’s payroll.
  Li Ruiwen’s salary simply “fits perfectly” with the epidemic trend-before, she worked at a coffee equipment and service provider in Australia with an annual salary of about 250,000 yuan. She originally planned to return to China after her work visa expired in early 2020. The outbreak of the domestic epidemic in January disrupted everything. She was cancelled 4 consecutive times because of the changes in the epidemic. The epidemic spread to the local area in March. She was frozen and suspended from work. She could only rely on deposits to make ends meet. At the same time, the price of the air ticket to return to China has soared from 2,000 yuan to 20,000 yuan, and she must purchase it two months in advance. Fortunately, after Li Ruiwen returned to China in August, the domestic job market initially picked up. She found a job in a fast-moving consumer goods company in Shanghai, with an estimated annual salary of 130,000 yuan.
  ”I’ll talk about finding a job, I won’t pick it now.” Li Ruiwen is actually not satisfied with the salary, but at the moment she must first support herself and at the same time look for better opportunities.
  Even if you stay in the country, your salary increase is actually a “luxury.” In the past 10 years, difficulty in raising salary has become a kind of “normal”. According to data from CIIC Consulting, starting in 2011, the overall domestic salary adjustment rate has shown a downward trend, from 11.8% in 2011 to 6.4% in 2020.
  The “2020 Corporate Salary and Benefits Survey” (hereinafter referred to as the “Survey”) published by “China Business News” also reflects the weakness of salary growth. Among the 2,128 company employees who filled out the questionnaire, 26.89% did not increase their salary last year, and 20.24% of them did not increase their annual salary. These two figures were 18.41% and 8.14% respectively in the 2019 survey.
  Company employees also generally lowered their expectations for the 2020 year-end bonus. Compared with 2019, 32.86% of respondents said that the amount of year-end bonus remained unchanged, and 21.34% had no year-end bonus.
  According to 51job’s “2020 Year-end Bonus Survey Report”, in 2019, 22.5% of the respondents received a year-end bonus equivalent to one month’s salary, while 41.8% and 21.4% of the respondents received year-end bonuses equivalent to two Monthly and three-month salary. By 2020, the number of company employees who can receive two months or more of salary has decreased by 15.3%, while at the same time, the number of company employees who have received one month’s salary level year-end bonus has increased by 8.9%.
  This is the 12th year that we have conducted the company’s salary and benefits survey. In the face of unprecedented shocks, from this year’s report, we can see not only the employment concepts and actual actions of different companies, but also the shock of unpredictable risks to different industries. At the same time, with the frequent spread of news of the epidemic, everyone in the workplace should be prepared for the long-tail effects that will spread from 2020 to the present.
In 2020, salary increases will not be easy

  The stagnation and decline of salary growth are reflected in all dimensions.
  From 2019 to 2021, the industry-wide salary adjustment rate has been declining. According to statistics from CIIC Consulting, private companies maintain the highest salary adjustment rate, while foreign-funded enterprises have the lowest salary adjustment rate; the salary adjustment rate of companies in first-tier, new first-tier, second- and third-tier cities are all on a downward trend, and the new first-tier cities with the highest salary adjustment rate are expected to be in 2021 Decline the most.
  The impact of the epidemic on the macro-environment is a direct short-term cause. Companies are generally shrinking labor costs. At the same time, under the uncertainty of the subsequent impact of the epidemic, they remain cautious about future budget investment. In the long run, the gradual flattening of economic growth is still the background. In 2018, China’s gross domestic product (GDP) grew by 6.7% year-on-year, and in 2019 it further slowed down to 6.1%. The rising labor cost in China has caused more companies to think about how to control labor costs while improving employee work efficiency.
  In order to alleviate the pressure of the epidemic, companies have adopted various human resource measures in the first half of 2020. “Survey” data shows that 29.23% of companies “tighten their staff and no longer recruit”, and 27.58% choose “internal optimization and layoffs”. The top adjustments include reduced promotion opportunities and cancellation of cash benefits. But at the same time, 24.06% of people also said that “the company is doing well and there is no change.”
  Lou Jia has served as a HR supervisor in a foreign company in the home appliance industry for nearly 7 years. The salary is composed of a basic salary of 15,000 yuan and a year-end bonus equal to 4 to 5 months’ salary, maintaining an annual salary growth rate of about 10% to 15% for many years. . However, starting from 2018, the company has been affected by fluctuations in the real estate industry, and the overall industry situation has declined. On the other hand, it has faced the impact of domestic brands. By the beginning of 2020, its performance has been set back again, making her year-end awards watered and facing The first annual salary decline since joining the company.
  In order to reduce costs, some companies choose not to issue year-end bonuses and replace cash incentives with other forms of welfare, thus alleviating the pressure of short-term incentives. In the survey conducted by 51job Worry, in addition to cash, nearly 20% of the respondents’ companies included physical objects as year-end awards, 10.8% of the respondents received a “year-end condolence letter” from company executives, and 7.6% received the company Non-cash awards in the form of stocks and options.
Views of the industry, a few happy and some worry

  Although the impact of the epidemic is industry-wide, there are still some high-growth industries with strong anti-risk capabilities that remain strong. The special scene of the house has unexpectedly stimulated the online business of some companies.
  According to the research report released by CIIC Consulting, the salary adjustment rate in the Internet, medical and health and high-tech industries still maintains the leading position, all exceeding 7%. But the Internet industry will see the largest decline in salary adjustment rates in 2020. “The salary adjustment rate in the Internet industry is polarized. The big companies are good, and the mid-tail companies are not good. Because many Internet companies rely on advertising revenue for their profit models, they are affected by the transmission of the real economy.” CIIC Consulting Human Capital Data Center Senior product expert Zhang Xin analyzed.
Under the influence of the epidemic, what changes have your work experienced?

Data source: “2020 Corporate Salary and Benefits Survey”
During the epidemic, what did the company do to enhance your sense of belonging?

  As the real economy, industries such as consumer goods and automobiles are the industries that have been hit hardest by the epidemic. In 2020, they have experienced a significant decline in salary adjustment rates. “Among them, basic consumer products and luxury goods are not affected much, while consumer products of intermediate grade and low brand tonality are more affected.” Zhang Xin said.
  The manufacturing salary adjustment rate rose by 0.1% in 2020. Although the rate is small, it is the only increase in several major industries. Although the Manufacturing Purchasing Managers Index fell sharply in February 2020, it rose rapidly after the resumption of work in March, exceeding the same period in 2019. The overseas epidemic in the second half of the year caused some orders to be transferred to China.
  The development trend of some industries is continuously optimistic. According to Zhang Xin’s observations, “the high-tech industry is driven by the new infrastructure policy, and the momentum is good, much better than everyone expected at the beginning of the year.”
  Cao Yanping, senior partner of Mercer China and general manager of Mercer Talent Information Products China, believes that in the long run Consumer products related to new technologies are also improving. “These products are closely related to general environmental trends and national orientation, such as the electric vehicle industry.”
  The situation of the industry affects everyone in the workplace. After returning to China, Li Ruiwen joined a condiment company. Although consumer products were frustrated as a whole, people’s demand for independent cooking rose due to home isolation, and condiments became a favorable category. Therefore, the company expanded aggressively in the second half of the year. “Today I said that this place lacks staffing. Tomorrow HR will start hiring people for the boss’s questions.” Li Ruiwen was a little surprised at the company’s confidence.
  Jiang Xuan has experienced different online and offline situations in the education and training industry in the past year. In the first half of the year, he was responsible for online course products at an established educational institution. During the epidemic, he promoted remote work as usual, and departmental revenue increased by 17% in the first quarter of 2020. However, in order to balance the loss of offline business, the company even stopped paying performance pay in their department, and it did not recover until he left in June.
  He immediately entered another educational institution known for its offline high-end training as an online class teacher. Perhaps stimulated by the first half of the year, the company plans to vigorously develop online courses. Anxious to develop business, but lack of relevant experience, the company has not been able to recruit enough students for a long time, Jiang Xuan can only become an offline teacher, spent half a year with only one class a week.
The environment is changing, what the company people do

  The environment is not good, and company people have become cautious.
  According to Mercer’s survey, in the first half of 2020, the voluntary turnover rate of employees was only 5.4%, and this number was 12.1% in 2019. Under special circumstances, “keep your job first” is the general mentality of company people. In the “Survey”, 58.07% of the respondents said that they are “fairly satisfied” with this year’s income status because “this year’s situation is special, and it would be nice to maintain stability.”
  In the past, it was a routine operation to quit after winning the year-end bonus, but 51job’s data shows that in 2020 only 13.3% of respondents will switch jobs because they are not satisfied with the year-end bonus.
  However, companies are still generous with scarce talents in important positions and are willing to spend limited costs on these key talents. Rather than extensively adjusting all employees according to a uniform proportion or amount, more and more companies tend to adjust their salaries based on performance results. This puts forward higher requirements for the company’s self-iterative ability.
  According to the “Survey”, up to 50.52% of the respondents would charge themselves if the salary did not rise, and 38.91% would choose to move to other companies in the same industry.
In order to reduce the impact of the epidemic, what human resource adjustments has your company made this year?

Data source: “2020 Corporate Salary and Benefits Survey”
What kind of workplace anxiety and crisis have you experienced this year?

Data source: “2020 Corporate Salary and Benefits Survey”
What do you plan to do if the salary does not rise?

Data source: “2020 Corporate Salary and Benefits Survey”
In the post-epidemic era, where does your sense of occupational security come from?

Data source: “2020 Corporate Salary and Benefits Survey”

  I have already felt that the promotion opportunities for the HR department are small. Coupled with the stimulus of the epidemic, Lou Jia began planning for career transformation from the beginning of 2020, and finally completed the internal transfer in August, from a functional department to a core business department, engaged in e-commerce operations work. In order to compete for employment, she specifically consulted colleagues in the e-commerce operation department, learned operation knowledge on station B, and wrote a company product operation plan specifically for the target e-commerce platform.
  The changes brought about by this career transition are greater than she imagined. “It turns out that HR’s work is following the rules, but the e-commerce operation is actually sales. You can take the initiative to adopt any skills to achieve your goals.” Lou Jia told China Business News that she now needs to study the latest gameplay and trends of e-commerce platforms. For the first time, I felt an eye-opener, “breathing is all free”.
  Reflected in the salary, although the basic salary has been reduced, and there are performance bonuses for e-commerce operations positions, Lou Jia has increased his income by about 20%, and overall annual salary has dropped by only about 5% compared to 2019. But if she does not change jobs, her annual salary in 2020 is estimated to be reduced by about 15%.
  The shift in professional content stimulates Lou Jia to pick up things that he wants to do but dare not do. She hired two HRs and planned to open an online shop for human resources consulting services, providing headhunting, interview counseling, resume counseling and other services. After passing the 30-year-old mark, she became more and more vigilant about the “35-year-old crisis”, “I see that in the entire company, people in their 40s will leave. Some people may have started a private business before and then switched to full-time work. Others may be dismissed by the company; the company will not give you too many opportunities for those who are still in the company in their 40s. So I have to think about the next step at the age of 32. ”
  Interestingly, according to ” According to the survey, 34.26% of people intend to start a sideline business. After the epidemic quarantine led to a reduction in income, doing a side job once became a popular topic in the workplace. Careers with low barriers to entry and quick start, such as takeaway riders and online ride-hailing drivers, have become popular options. The continuation of the sideline business can not only subsidize the household, but may even change the career path in the future.

  Li Ruiwen, who has experience as a barista abroad, wants to continue his coffee business. She partnered with a few friends to establish We-Media, opened accounts on station B and the official account, and successively released self-made videos such as coffee teaching, “If I open a coffee shop with my friends and expand, I may Consider doing it as the main business.”
  Starting from November 2019, Jiang Xuan has taught part-time in other education and training institutions. This part-time job will bring him nearly 100,000 yuan in income in 2020, which is almost the same as the salary of his own job. However, not long ago, Jiang Xuan’s high school division was abolished as a whole. The current class has not yet finished. Jiang Xuan and the other two teachers have planned to start a training class to take the students out. This also made him aware of his “lack of enrollment ability”, which may be his professional skills that he will focus on in the future.
Will your salary be good in 2021?

  After a temporary weakness in 2020, the domestic economic situation in 2021 is gradually improving. The year-on-year growth rate of export trade volume and total retail sales of consumer goods turned from negative to positive in the second half of last year. Exports and domestic demand jointly drive economic recovery.
  ”The situation will be better now than in 2008 and 2009. At that time, nearly one-third of the companies would freeze their salaries.” Cao Yanping added.
  Zhaopin’s report shows that the competition index and average recruitment salary in the job market have basically returned to the same period last year. In the fourth quarter of 2020, the average recruitment salary in 38 major cities across the country was 8,923 yuan/month, achieving a positive month-on-month increase for the first time in a year.
  However, in the face of the uncertainty of another small-scale outbreak of the epidemic, and the subsequent continued impact, companies generally adopt a conservative attitude. According to data from CIIC Consulting, the salary adjustment rate of all companies will continue to decline in 2021, and is expected to be 6.1%. At present, only 28% of companies said they have plans to raise their salaries, and most companies are still waiting to see.
  However, as business operations resume, some companies will consider implementing salary adjustments that have not been realized in 2020 until 2021. “For example, some companies will increase their salaries by 5% in 2020, and may increase their salaries by 10% in 2021. The data predicted by everyone is more optimistic.” Zhang Xin said.
  Mercer’s survey data shows that every industry has a low willingness to hire in 2021, and the number of employees is expected to remain basically the same or further decrease. At the same time, cost control and efficiency improvement will become the norm in corporate management in the future, and the company may accurately improve the effectiveness of talent incentives through changes in the performance system.
  Correspondingly, the company’s forecast for 2021 salary is not optimistic. According to the “Survey”, 52.84% of the respondents believe that their salary in 2021 “should be able to increase slightly”, and 33% feel that “there is no hope, it would be nice to maintain the status quo.” These two figures are 56.22% and 29.44% in the 2019 survey.
  ”I have a financial plan to save 1.6 million before the age of 45.” Jiang Xuan calculated that this would achieve the desired financial freedom. In 2020, a few obstacles were placed between him and this goal and let him go. There are many detours. In the new year, he intends to manage his training business well and continue to set off toward his goals.
  At the request of interviewees, Li Ruiwen, Lou Jia, and Jiang Xuan are pseudonyms in the text