Talent Flow Will Decide Taiwan's Future

Talent Flow Will Decide Taiwan's Future
United Daily News editorial (Taipei, Taiwan, Republic of China)
A Translation
January 27, 2014

Summary: The business community must become more aware. It must appreciate its workers. It must raise wages to encourage innovation. It must raise productivity. Only then can it retain talent. The government must encourage businesses to cultivate talent, underwite R&D, and encourage innovation. Business and government must work together. Only then can they alleviate the brain drain. The government must cultivate talent. It must have a policy that attracts outside talent. Only then will Taiwan's economy have any hope.

Full text below:

TSMC Chairman Morris Chang recently delivered a blunt speech. He said Taiwan's economy is being suffocated. It is in chaos. He said this was all due to a shortage of human talent. The lack of talent makes entrepreneural innovation, transformation, and reform a pipe dream. The cultivation of talent takes a generation, or approximately a decade. Opening up Taiwan to foreign talent is the fastest way. He also criticized Taiwan for liberalizing only politics and nothing else.

Morris Chang spoke from the heart. He pointed out a fundamental problem that arose in recent years -- a domestic shortage of talent. The public on Taiwan wants the government to demonstrate strong leadership. But the government lacks the necessary talent. As a result political appointees are mediocre. The government is reduced to constantly fighting fires. It is incapable of reforming itself and moving Taiwan forward.

Taiwan's economic growth is overly reliant on IT industry exports, as well as the cost-based, efficiency-driven foundry export model. In recent years, transnational companies based in the US and Korea have offered strong competition. Companies in Mainland China and other emerging markets are catching up. Taiwan's export competitiveness is rapidly weakening. The only way out is a new, innovation-driven marketing model. But As Morris Chang pointed noted, Taiwan companies lack leaders with sufficient vision and wisdom. They lack mid-level talent able to transform and upgrade companies. Taiwan businesses face harsh competition in the market place, front and rear. Many teeter on the brink of extinction.

That is even more worrisome. Taiwan lacks talent. Even worse, it faces a growing brain drain. According to Academia Sinica and National Science Council estimates, over the past decade talent has bid farewell to Taiwan at the rate of nearly 20,000 a year. These elites are rapidly being lost. According to a survey conducted by an international organization last year, Taiwan will have the world's most serious talent shortage by 2021.

National renewal requires human talent. When talent is missing, and a massive brain drain is in progress, everything else is reduced to empty talk. The shortfall in domestic talent necessitates the long term cultivation of talent. It requires the short term introduction of foreign talent and retention of local talent.

The cultivation of talent is the responsibility of businesses. It is also the responsibility of government.

Morris Chang said that graduation from university is merely the beginning of the learning process. He cited his own experience. He said 99% of his knowledge was acquired after the end of his 24 years of academic studies. Therefore businesses are the real hotbed that fosters innovation. Business owners must view talent as a valuable asset. They must constantly consider personnel issues. They must provide a sound environment that nurtures talent. Only then can they innovate. Only then can development become sustainable.

Take government responsibility. It must correct years of misguided "pro forma" and "academic credentials above all" educational policies. It must address the gap between supply and demand. It must narrow the gap between elementary school and high school graduates. The government must revive vocational education. It must cultivate creative talent for society and industry.

There is already a domestic shortfall in talent. Relying solely on cultivating talent is too slow. It cannot save the day. Admitting overseas talent is a feasible and effective shortcut. Alas, the agencies charged with admitting overseas talent are ultraconservative. They are deeply worried about admitting foreign white-collar workers who might create local unemployment. The result is layer upon layer of restrictions on salaries and other factors, Confronted by such obstacles, industries give up. Admitting talent from the Mainland has more to do with political sensitivitiesy. Current laws and regulations strictly limit admission of Mainland professionals. Very few Mainland professionals are allowe to work on Taiwan.

Admitting Mainland talent onto Taiwan involves two matters: mindset and controls. Take mindset. Morris Chang cited Beijing's experience. In 1978, it decided to implement then leader Deng Xiaoping's reforms. As Deng put it, "The entry of talent should be liberalized. The entry of capital should be liberalized. The entry of technology should be liberalized. Even the system itself should be liberalized." Taiwan faces a talent shortage. If people on Taiwan cannot open their hearts and minds, the problem will only become worse.

Take management. Formal restrictions and measures limit the introduction of foreign talent. This prevents industry from introducing talent. Therefore, future controls must be dramatically changed. Controls after the fact should focus on reviews before the fact. This will expedite matters for industry and prevent fiscal abuse. Take the admission of Mainland talent. We propose designating a "free trade zone" as a test case. Mainland talent would be allowed to work there. If it is successful, it can be gradually expanded.

Retaining local Taiwan talent is another pressing issue. The European Chamber of Commerce said Taiwan's high-end brain drain is due mainly to low salaries. Average salaries on Taiwan trail the three other Asian Tigers. Some industries have salaries no higher than Mainland China's coastal cities. When it comes to high wages, Taiwan lags far behind. More and more people are drawn overseas and to Mainland China.

Salaries on Taiwan are low. The reason is overdependence on the OEM export model, in which "The Mainland is our factory," and in which "Taiwan takes the orders, overseas plants make the product." This results in a disconnect between industry sales and domestic wages and domestic employment. To change this model, we need creative talent. This has become a "chicken or the egg" problem.

The business community must become more aware. It must appreciate its workers. It must raise wages to encourage innovation. It must raise productivity. Only then can it retain talent. The government must encourage businesses to cultivate talent, underwite R&D, and encourage innovation. Business and government must work together. Only then can they alleviate the brain drain. The government must cultivate talent. It must have a policy that attracts outside talent. Only then will Taiwan's economy have any hope.

社論－人才流動決定台灣的命運
稍後再讀
中國時報 本報訊 2014年01月27日 04:09

台積電董事長張忠謀在一場演講中直言，台灣經濟的悶和亂，都和人才缺乏有關；沒有人才，企業要創新、轉型升級根本是緣木求魚；人才培養需要一代、約10年的時間，開放國外人才來台是最快速的方法；他更批評台灣除了政治開放，別的都不開放！

張忠謀的直言，點出近年國內人才斷層及人才荒的根本問題。台灣人民希望政府展現積極有力的領導作為，但治國人才不足，政務官平庸化結果，讓政府幾乎淪為救火隊功能，遑論開展新政，領導台灣向前行。

台灣經濟成長過度依賴資訊電子產業出口，以及由廉價要素及效率驅動的代工出口模式，面對近年美韓國際大廠強力競爭及中國大陸等新興市場國家業者急起直追，台商出口競爭力正快速削弱，未來唯一出路，是轉向以「創新驅動」的新產銷模式。但誠如張忠謀指出，台灣企業缺乏「器大識深、識廣」的領導人才，也缺少可以帶動企業轉型升級的中層創新人才；面對前後夾擊的嚴酷市場競爭，很多台商正處於苟延殘喘的存亡邊緣。

更讓人擔憂的是，台灣非但人才不足，而且人才外流問題日益嚴重。根據中央研究院及國科會估計，近10年台灣人才赤字平均每年逾2萬人，亦即菁英人口正快速流失。根據去年一份國際組織調查報告顯示，2021年台灣將出現全球最嚴重的人才短缺危機。

「中興以人才為本」，人才不足、甚至大量出走，一切都將成為空談。要解決當前國內人才不足問題，根本之計在長期培養人才，但短期之策則在引進外來人才及留住本地人才。

培養人才是企業的責任，也是政府的責任。

張忠謀特別強調，大學畢業，才是學習的開始，他並以自身經驗為例，指現在99％的知識是24歲結束學術之路後學來的。所以，企業才是培育創新人才的溫床，企業主必須將人才視為資產，時時思考人才問題，提供人才培育的良好環境，才能不斷創新，永續經營。

至於政府的責任，就是要導正多年來存在國內的「形式主義」及「學位至上」的教育迷思，改善產學和供需脫鉤現象，縮小高教畢業生學用落差。因此，重振技職教育是政府當務之急，也是為社會及企業培養創新人才的基礎工程。

當下國內人才已出現斷層危機，光靠培育人才緩不濟急，開放海外人才來台是可行及有效的捷徑。但是，主管機關對開放海外人才心態十分保守，究其原因，主要是擔心大幅開放外國白領人才來台工作，可能影響本地就業，因而在薪資及配套管理上層層設限，讓業者望而卻步。至於開放大陸人才來台工作更涉及到敏感政治問題，目前皆是引用有嚴格限制的大陸專業人士來台相關法規，讓數量極有限的大陸人才變相在台工作。

其實，解決開放海外人才來台工作問題，關鍵在心態和管理兩個層面。就心態言，張忠謀特別引述1978年大陸決定實施改革開放當時領導人鄧小平的談話：「人才要開放、資金要開放、技術要開放，連制度都要開放」。面臨當前人才短缺問題，台灣若沒有開放的心胸和器識，只會讓問題更加惡化。

就管理層面言，對引進外國人才形式上設限及防弊措施，只是阻礙業者引進可用的人才，因此，未來應大幅改變管理方式，事後管理應重於事前審核，即可兼顧業者便利及防杜流弊。至於大陸人才引進部分，我們主張，應選擇「自由經濟示範區」的特定實體園區，作為開放大陸人才來台工作的試點，若成效良好，即可逐步推廣。

另一方面，留住台灣本地人才亦是迫切課題。歐洲商會指出，台灣高端人才外流問題，主因是薪資偏低。事實上，台灣平均薪資水準不僅落居四小龍之末，部分行業甚至已被中國大陸沿海城市追上；在高端人力薪資方面，台灣落後幅度更大，愈來愈多的人才被磁吸到海外及大陸。

台灣薪資水準低，關鍵是在過於依賴「以大陸為工廠」、「台灣接單，海外生產」的代工出口模式，導致企業產銷和國內薪資及就業脫節；但要改變此一模式，又須先創新人才始能克竟其功。這又變成「雞生蛋」或「蛋生雞」問題。

所以，企業界必須有所覺悟，重視員工價值，以提高薪資刺激創新，才能提高生產力，也才留得住人才。至於政府角色，就是在產業政策及制度面上，鼓勵企業培育人才及研發創新。企業和政府必須共同努力，方可紓緩人才外流問題，再配合育才、引才政策，台灣經濟的未來才會有希望。