German companies in China expect an average wage increase of 8.1 percent in 2013, slower than the 10.2-percent expected growth in 2011. This is despite the fact annual turnover is expected to stay high, said the German Chamber of Commerce in China.

German employers said that one-fifth of blue collar workers and 13.2 percent of white collar workers will change theirs jobs in 2013, the chamber said in its recent report titled Annual Salary Survey 2012.

Nearly two out of three companies regard rising labor costs as a highly relevant HR issue. Less than five percent consider the development to be negligible. As a result of rising salaries German companies are intensifying their efforts to raise productivity. Optimization of internal processes and better training of existing employees are seen as main drivers to boost productivity.

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