China’s National Day travel madness exposes paid leave taboo

China’s National Day travel madness exposes paid leave taboo

Staff Reporter

2013-10-08

While it seems a given that governments should should create practical and adequate conditions that allow employees to enjoy their vacation days, China faces unique cultural pressures that leave many in the office year-round. An important step to take would be staggering employee vacations, according to a report in Chinese-language news portal QQ.com. People who work in Western countries usually use their paid leave to take vacations, as they do not get several consecutive days off for national holidays. In China, however, people are used to taking vacations and making trips during national holidays such as the Golden Week National Day and the Spring festival Lunar New Year holiday since they are given several consecutive days off at the time, said the report.This situation results in low-quality vacations because of the crowds at major tourist spots.

It is widely known that the Chinese government does not make much of an effort to safeguard the public’s right to utilize their paid leave. The number of days allocated to annual leave is lower in China than in other countries, and the number of holidays employees are really allowed to take is even lower.

Statistics compiled by a magazine showed that only 31.3% of Chinese people enjoy paid leave every year, and 17.6% said they frequently take their paid leave. Some 26% of those polled take leave once in a while, and 21.8% never enjoy any paid leave even if they are eligible to do so.

The lack of strict regulations to penalize companies that do not allow their staff to take paid leave is the main reason that Chinese workers cannot enjoy their vacations on days other than national holidays, said the report.

Some people, on the other hand, believe the government should not interfere too much on the issue of whether employers should provide paid leave to their workers because too much enforcement may lead to a reluctance to hire more workers.

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Kee Koon Boon (“KB”) is the co-founder and director of HERO Investment Management which provides specialized fund management and investment advisory services to the ARCHEA Asia HERO Innovators Fund (www.heroinnovator.com), the only Asian SMID-cap tech-focused fund in the industry. KB is an internationally featured investor rooted in the principles of value investing for over a decade as a fund manager and analyst in the Asian capital markets who started his career at a boutique hedge fund in Singapore where he was with the firm since 2002 and was also part of the core investment committee in significantly outperforming the index in the 10-year-plus-old flagship Asian fund. He was also the portfolio manager for Asia-Pacific equities at Korea’s largest mutual fund company. Prior to setting up the H.E.R.O. Innovators Fund, KB was the Chief Investment Officer & CEO of a Singapore Registered Fund Management Company (RFMC) where he is responsible for listed Asian equity investments. KB had taught accounting at the Singapore Management University (SMU) as a faculty member and also pioneered the 15-week course on Accounting Fraud in Asia as an official module at SMU. KB remains grateful and honored to be invited by Singapore’s financial regulator Monetary Authority of Singapore (MAS) to present to their top management team about implementing a world’s first fact-based forward-looking fraud detection framework to bring about benefits for the capital markets in Singapore and for the public and investment community. KB also served the community in sharing his insights in writing articles about value investing and corporate governance in the media that include Business Times, Straits Times, Jakarta Post, Manual of Ideas, Investopedia, TedXWallStreet. He had also presented in top investment, banking and finance conferences in America, Italy, Sydney, Cape Town, HK, China. He has trained CEOs, entrepreneurs, CFOs, management executives in business strategy & business model innovation in Singapore, HK and China.

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