Recruiting in China

Foreign companies may soon axe jobs in China given the slowing growth in the country, according to a report on Sina's news portal.

Hewlett-Packard CEO Meg Whitman has already announced intentions to cut 27,000 jobs worldwide by the end of next year, and the decision may affect 20% of its employees in China, the report said.

Sources from the American IT giant dismissed the 20% claim however, saying only a small percentage of Chinese workers will be affected.

In addition to HP, IBM may also cut its workforce soon due to global declining sales, which reports that it will let go between 6,000 and 8,000 employees, including those in China.

IBM said in October that demand in China had slowed. Executives from IBM China said the restructuring of the workforce will continue as the company pursues transformation in a changing industry.

Meanwhile, consumer goods giant Unilever has decided to cut 2,000 jobs in emerging markets including China to reduce labor costs as a result of sliding sales in the third quarter.

Aon Hewitt from Korn/Ferry International, the world's leading headhunting firm, said recruitment by multinationals in China has slowed greatly this year compared with last year. Figures from Chinese job bank Zhaopin also showed that the number of newly created openings by Western enterprises has dropped 5% this year, despite an overall 30% increase in new job offers on its site.