- The National Civil Service Exam is a critical pathway for entry into state government roles in China. The increasing number of exam takers each year reflects the country’s employment trends, especially among young people (typically participants must be under the age of 35), and reflects broader economic conditions, including job market stability and the health of various sectors.
- In 2023, a record 2.9 million people took the exam, with annual increases of around 400,000-500,000 since 2020. The surge in 2021, 35 percent more than 2020, likely resulted from the devastating impact of COVID-19 on the private sector. Beyond this exam, local civil service exams and millions attending public school teacher qualification tests indicate a strong preference among young people for secure public sector jobs, viewed as stable in China.
- The growing inclination of youth towards stable public sector jobs over private employment aligns with the undisclosed high youth unemployment rates since June 2023. This trend is driven by private sector downsizing, lacking new growth drivers, and, finally, frequent layoffs.
- With annual expansions in civil service recruitment since 2019, China may further enlarge the public sector to maintain social stability amidst high youth unemployment, increasing government fiscal burden and making the private sector less attractive to young talents.
Sinolytics is a European research-based consultancy entirely focused on China. It advises European companies on their strategic orientation and specific business activities in the People’s Republic.