Chinese executives have something to look forward to.
Their salaries are projected to increase at a rate of 8 percent annually in the next four years, whereas executive salaries in the US will only increase at a rate of 3 percent, according to management solutions company ECA Global Perspective.
This means that by 2017, top execs in China will have a higher buying power than those who run companies in the US.
ECA defines "buying power" as when the "c ost of living indices are applied to the net salaries to calculate relative buying power." In the ECA's Salary Trends Survey, the company says that the buying power of an executive in China was at only 57 percent compared to their counterparts in the US in 2007, but this number has increased to 75 percent today.
Things are even looking up for junior managers. In 2007, someone in this position had a buying power of less than one-third of their US equivalent, whereas today this rate is closer to 40 percent.
Check out the chart below:
To produces a transparent comparison, ECA converted all salaries to euros at the exchange rate on July 1, 2012 as a common currency.
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