China decides to open its talent service market in measured strokes after its WTO accession. As the first step, the "Regulations on the Management of Talent Market" published in 2001 permits foreign funds to set up joint-venture talent agencies together with Chinese talent institutions on Chinese land. Recently the "Provisional Rules on the Management of Chinese-foreign Joint Ventures on Talent Service" was jointly put out by the Ministry of Personnel, the Ministry of Commerce and the State Administration for Industry and Commerce. Our reporter interviewed an official from the Talent Exchange and Development Department of the Ministry of Personnel on the.

 Q: What are the qualifications for applying for setting up talent joint ventures?

A: The conditions include: both Chinese and foreign applicants should be enterprises engaged in talent intermediary service for over three years; the enterprise to be set up should have a minimum staff of five people who have higher education degrees and certificates for talent service, as well as fixed place, fund and office facilities; the registered capital should be no less than US$300,000, and the fund percentage of foreign investor not lower than 25 percent, Chinese investor not lower than 51 percent.

Q: What are the administration departments and examination and approval procedures for talent service joint ventures?

A: The personnel, commerce and industrial and commerce administrative departments of provinces, autonomous regions and municipalities are responsible for the examination, registration, management and supervision of joint ventures on talent service. They should reply within 30 working days after having received an application. If the application is approved, a license for talent intermediary service should be granted, and a record put at the personnel, coomerce, and industrial and commerce administrative departments of the State Council; if it is refused, a written notice should be given explaining the reasons.

Q: What are the restrictions for talent employment?

A: When talent service joint ventures employ people to work abroad, they should go through procedures according to related regulations of the Chinese government. The following people cannot be employed to work abroad: 1. technical and management staff engaged in key projects and scientific researches of state and provincial level, and without permission of responsible departments; 2. civil servants during their tenure of office; 3. staff sent by the state to support western region development, who are during their rotation period; 4. staff working in departments involving national security, or those who are during the observation period after working in departments involving national security; 5. people who are under judicial investigation; 6. people at other special posts who cannot go abroad according to related regulations, or those who can only go abroad under approval.

(People’s Daily October 10, 2003)