Taiwan LED Talents Exodus to China

A recent report by Chinese-language newspaper Commercial Times noted a new phenomenon of Chinese companies headhunting  talent in Taiwan's LED industry. Three years ago, Chinese LED manufacturer San’an Optoelectronics uprooted a large number of engineers from leading Taiwanese LED company Epistar. The event was coined as the “108 Heros Incident” by Chinese media. Now, Chinese companies headhunting activities have escalated in scale and scope.Headhunting activities are also implementing Central Committee of the Communist Party’s “Ten Thousand People Plan” (literal translation) to obtain oversea ethnic-Chinese talent.

Chinese companies fight for talent is no longer a single episode. The extent of stealing talent now covers upstream epiwafer manufacturers, midstream LED package manufacturers, and downstream lighting module manufacturers. Taiwanese employees have responded to the Chinese companies tactics by leaving behind Taiwanese companies,  even manufacturers now need to rethink their relationship with Chinese manufacturers. Recently, Forepi’s board approved China’s San’an Optoelectronics investments. Taiwan’s Ministry of Economic Affairs (MOEA) also approved the investment review, making Forepi the first Taiwanese LED company with Chinese investments.

Most social commentaries have pointed out Taiwan’s implementation of employee stock bonuses aroused the green eyed monster in the general public against the wealthy. The government’s response to public opinion has led to diminished corporate competitiveness, and inability to attract talent. For industry elites, though, receiving benefits equivalent to their worth and allowing them to make the most of their strengths is also very important. Taiwan is an international country, and has received many benefits from globalization. But it must also face negative impacts of globalization upon Taiwanese manufacturers.  

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