2019-06-17

Foreign Currency Accounts by Resident and Non-Resident Persons in India

In India, regulations on foreign currency exchange are quite strict. Individuals and businesses transferring money outside India often run into issues with the tax and regulatory authorities. To avoid any legal implications, it is essential for individuals and businesses to be aware of the regulations while making any foreign currency transfer or remittances.

The Reserve Bank of India (RBI) is the regulator of foreign exchange dealings in India. It prohibits, restricts, and regulates the opening, holding and maintaining of foreign currency accounts, and the limits up to which a person resident in India can hold the amount in such accounts.

Read the complete article here

2019-06-14

Vietnam’s Visas and Work Permit Procedures

Vietnam’s visa and work permit procedures, can be confusing for first time visitors. Vietnam Briefing explains the steps and what foreigners should pay attention to when planning a long-term visit.

The number of foreign skilled workers coming to Vietnam has steadily increased in recent years, surging to over 80,000 at the end of 2018. Most foreign workers that come to Vietnam are employees of foreign contractors, working for, or establishing, foreign direct investment (FDI) projects, coming from over 100 countries. 

Read the complete article here

2019-06-13

Kenya’s construction and real estate sector

SOTM by africon

According to Deloitte’s construction trends report, Kenya has remained the leading country with the highest number of projects in East Africa for four consecutive years, with projects increasing by 78% from 23 projects in 2017 to 41 projects worth $38.2 billion in 2018. The major construction projects are in real estate, energy and power, and transport, sources also reveal that the Kenyan government is spending billions of dollars on transport projects as Kenya is expected to become the logistics hub of East Africa. 

Read the complete article here

2019-06-11

Minimum Wages in China 2019

Minimum wages in China continue to grow. Through the first six months of 2019, four regions have increased their minimum wages: Beijing, Chongqing, Shaanxi, and Shanghai.

Last year, 15 out of the 31 regions in mainland China increased their minimum wages, while 20 did so in 2017.

Read the complete article here

2019-06-07

Provident Fund Scheme for International Workers in India

Foreign workers taking up overseas assignments pay more attention to the tax regime of the country when determining costs, and often tend to overlook the social security laws of the country, which are equally important.

India requires every business entity employing more than 20 workers to register with the national social security system, and makes it mandatory for employees and employers to contribute towards retirement and insurance scheme.

Read the complete article here

2019-06-06

How to Terminate an Employee in Vietnam

Terminating an employee can be challenging for foreign investors in Vietnam. Vietnamese labour law is generally considered employee friendly and the termination process must be based on statutory grounds, subject to formal requirements and procedures.

The Vietnamese labor law applies to all employers working in Vietnam under labor contracts regardless of whether such employees are Vietnamese or foreign nationals.

Read complete article here.

2019-06-03

Human Resources and Payroll in China 2019-2020

A firm understanding of China’s laws and regulations related to human resources and payroll management is essential for foreign investors who want to establish or are already running foreign-invested entities in China, as well as for local managers and HR professionals who may need to explain complex points of China’s labour policies.

Read the complete report here

2019-05-28

“Companies are dependent on direct search”

An interview with Christian Tegethoff Managing Director, CT Executive Search

What kind of assignments do you usually work in East Europe?

In Poland, the Czech Republic, Hungary, Southeastern Europe and the Baltic we mainly work for clients from West and Central Europe, as well as the Nordics. These are either medium-sized companies or large corporations that have been active in the region for many years and often operate local production sites. There is some preponderance in the B2B sector, especially in capital goods. Our clients also include consumer goods manufacturers, retailers and health care or pharmaceutical companies.

Read the complete interview here

2019-05-24

“High level of intercultural competence required”

Interview with Thomas Piontek

One of your responsibilities at Petrom was recruiting for the Romanian sites. What were the main challenges?

The biggest challenge was clearly the lack of qualified personnel in Romania. That is not really surprising, because 20 percent of the Romanian working population now work abroad. In today‘s European countries, you will find strong Romanian minorities everywhere – blue collars and academics alike. Consequently, the supply of qualified candidates is limited in Romania.

Read the complete interview here

2019-05-22

“No Longer an Extended Workbench”

An interview with Adrian Stadnicki Regional Director Central Eastern Europe, German Eastern Business Association (OAOEV), Berlin 

How has the trade volume between Germany and Central Eastern Europe developed in recent years?

Germany’s exchange of goods with Central Eastern Europe has been developing very positively for years. The region has become a top partner of the German economy. 2018, Germany’s trade volume with the Visegrád Group and the Baltic States amounted to more than 300 billion euros. The Czech Republic, Hungary and Slovakia rank in front of much larger countries such as Turkey, Canada, Brazil and India in terms of their trade volume with Germany.

Read the complete interview here

2019-05-21

Beijing to Raise Monthly Minimum Wage from July 1

On May 9, the Beijing Municipal Human Resources and Social Security Bureau announced plans to raise the city’s minimum wage from July 1, 2019.

The monthly minimum wage for full-time employees will be raised from RMB 2,120 (US$309) to RMB 2,200 (US$321). The hourly wage for part-time employees, however, will remain at RMB 24 (US$3.5) on normal working days and RMB 56 (US$8.2) on statutory holidays.

Read the complete article here

2019-05-16

Labor Outsourcing in Vietnam: 5 Key Reforms from Decree 29

Vietnam recently issued new updates on labor outsourcing regulations under Decree 29/2019/ND-CP (Decree 29). The new regulation came into effect on May 5 and details guidelines on Clause 3 of Article 54 of the Labor Code regarding outsourcing services, deposit payment and the list of permissible outsourced jobs.

Read the complete article here

2019-05-14

5 Big Changes to China’s VAT in 2019

Following the announcements made in the annual Work Report delivered at the Two Sessions, the Ministry of Finance, State Taxation Administration, and General Administration of Customs have jointly issued a series of new policies on value-added tax (VAT).

The new policies, which took effect on April 1, 2019, aim to enhance economic activity in certain sectors by lowering VAT rates and increasing VAT credits.

Read the complete article here.

2019-05-08

Workplace Injury Compensation in India – What Businesses Need to Know

Injured workers and worker compensation are key liability issues for any business in India.

This is particularly the case for companies with large labor forces, such as information technology and business process outsourcing (IT-BPO) or industrial companies, but small businesses are also impacted by labor laws that mandate compensation for employees injured on the job.

What laws govern compensation for workplace injuries?

Compensation for workers in India varies depending on the size of the company.

If the business employees more than 20 employees, the Employees’ State Insurance Act, 1948applies. Under this act, employees and the company pay toward an insurance benefit in case of injury. When a workplace injury occurs, the injured employee is able to avail of both medical and financial support.

Read the complete article here

2019-05-07

Hiring in China: Labor Costs, Job Preferences, Talent Market

As China’s economy matures, it is also producing more high-skilled labor, pushing up overall wage growth. This was illustrated by an early 2019 report by supply chain procurement solutions firm GEP, which stated that median wages in certain Chinese cities now surpass those in parts of Eastern Europe.

The wage growth has been proven by other comparative data as well in recent years. In 2017, the China Economic Review stated that China’s average wage had trebled between 2005 and 2016 to reach a level higher than in emerging economies like Brazil, Argentina, and Mexico.

Read the complete article here

2019-05-06

Provident Fund Scheme for International Workers in India

Foreign workers taking up overseas assignments pay more attention to the tax regime of the country when determining costs, and often tend to overlook the social security laws of the country, which are equally important.

India requires every business entity employing more than 20 workers to register with the national social security system, and makes it mandatory for employees and employers to contribute towards retirement and insurance scheme.

Read the complete article here

2019-05-03

Automotive Parts Imports in Sub-Saharan Africa

SOTM by africon

Based on our analysis of the available data on automotive parts imports in Sub-Saharan Africa, we found that South Africa, Nigeria, Angola, Kenya, and Ghana were the top five importers of filters, spark plugs and brake plugs into Sub-Saharan Africa in the year 2017. South Africa being the largest market, accounted for 47% of these automotive parts imports worth $355 million, while Ghana being the fifth largest market was worth $21 million.

Read the complete article here

2019-05-03

German Investment in ASEAN Part V: Thailand and Vietnam

ASEAN briefing is produced by Dezan Shira & Associates.

The ten member states of the Association of Southeast Asian Nations (ASEAN) have seen a steady inflow of German investment in recent years. Current trends are expected to continue in the coming years. We looked at German investment in Brunei and Cambodia in the first part of this five-part article, covered Indonesia and Laos in the second part, focused on Malaysia and Myanmar in the third part while looking at the Philippines and Singapore in the fourth part. We now focus on Thailand and Vietnam in this concluding part of the article.

Read the complete article here.

 

2019-04-26

Expatriates in India: Visa, Work Culture, Socioeconomic and Payroll Considerations

India is the second most favoured destination for expatriates that want to work in the emerging markets. Over the past few years, India’s rapidly growing infrastructure, industry, and services sectors have opened to greater foreign investments and multinational corporations.

This development has led to numerous employment opportunities for foreign nationals working in skilled and specialized roles in the country. Accordingly, the sectors in India that attract the largest number of foreign professionals are administrative roles in construction and engineering, followed by telecommunications and IT, and financial services.

Read the complete article here

2019-04-26

“Placing the Right Country Manager is Decisive”

Interview with Christian Tegethoff, Managing Director, CT Executive Search.

What steps do European companies typically take when entering the Indian market?

The approach is not very different from that in other countries. Many companies first visit fairs in India to gain an overview of the market. This includes the local customer structure and competition as well as licensing and customs issues.

Especially smaller companies then often decide to work with one or more dealers. These distribution partners usually also act as importers, assuming the transport and customs clearance responsibility for the producer. For the European company, this is a low-risk option because virtually no investment is required.

Read the complete article here

2019-04-25

“Key to Success is Doing Business the Indian Way”

An article by Arjun Erry, Partner and Tavishi Das, Associate, Hunt Partners Mumbai

What characterizes the executive segment of the Indian HR market?

The talent pool in India is shallow for senior and upper middle management. There is an acute shortage of qualified, accomplished managers with the right mix of corporate norms, entrepreneurial zeal, and integrity.

Competition for talent is therefore very high in India. In the current job market, the combination of talent and a global mind-set in a candidate is inadequate. Employers are selective and compete fiercely to hire the right candidate from the limited available pool.

Read the complete article here.

2019-04-22

German FDI in ASEAN Part IV: The Philippines and Singapore

ASEAN briefing is produced by Dezan Shira & Associates

German investment in the ten member states of the Association of Southeast Asian Nations (ASEAN) has been increasing steadily and has the potential to grow further in the coming years. We focused on German investment in Brunei and Cambodia in the first part of this five-part article, covered Indonesia and Laos in the second part, and looked at Malaysia and Myanmar in the third part. We next focus on the Philippines and Singapore.

Read the complete article here

2019-04-22

India Income Tax Calculator for AY 2019-20

In addition to the tax and surcharge, the government levies health and education cess at 4 percent on the total tax computed.

There are separate rates for senior individual residents (above 60 years) and ‘super senior’ individual residents (above 80 years).

The International Payroll and Human Resources team at Dezan Shira & Associates has developed a simple calculator to help taxpayers determine their tax returns against the above rates of tax.

Read the complete article here

2019-04-19

The ‘996’ Work Culture That’s Causing a Burnout in China’s Tech World

Why the 996 work culture will not end anytime soon

The grueling work ethic is both defended and eulogized by employers in China’s technology sector as the very reason for its sudden and accelerated growth over the last 10 years. Jack Ma himself celebrates the constant grind because he believes that it has been integral to the successes of unicorns like Alibaba and Tencent.

Employees at most tech companies are either encouraged or required to put in long, unpaid hours to show their commitment to their jobs and loyalty to the company. Many companies offer their employees a suite of facilities – such as gyms, nap rooms, and laundry services – to further encourage them to spend long hours at the office.

Read the complete article here

2019-04-11

How to Calculate and Withhold IIT for Your Employees in China

To help foreign investors and taxpayers understand how China computes individual income tax (IIT), China Briefing offers a guide outlining how to calculate and withhold IIT for both resident and non-resident individuals.

IIT calculation and withholding for resident individuals

When a company pays wages and salaries to a resident individual, the IIT amount must be computed using the cumulative withholding method, with the IIT withheld on a monthly basis.

Read the complete article here