Chinese Auto Components Firm Offers Apartments to Employees as Long-Term Retention Incentive

A Chinese automobile components manufacturer has attracted attention for introducing an unusual employee-retention strategy that links long-term service with home ownership. Zhejiang Guosheng Automobile Co., a Wenzhou-based company that manufactures automotive fasteners, has launched a programme under which loyal employees are rewarded with residential apartments.
As part of the initiative, the company has purchased 18 apartments located close to its manufacturing facility. Employees who complete five years of service become eligible to receive a flat, making the scheme one of the more distinctive retention benefits in China’s manufacturing sector. The company employs around 450 people.
The apartments were acquired about two years ago, when real-estate prices were relatively lower. The company’s owner reportedly invested more than 10 million yuan, or approximately ₹12.7 crore, in the purchase. By securing the properties early, the firm was able to lock in costs while creating a high-value incentive for employees.
This year, five apartments have already been allotted. According to reports, some recipients joined the organisation in junior roles and have since advanced into leadership positions. Employees who receive an apartment are required to commit to an additional five years of service, reinforcing workforce stability and long-term continuity.
All the apartments are located within a five-kilometre radius of the workplace, easing daily commutes. Each unit measures between 100 and 150 square metres, with current market estimates valuing each apartment between ₹1.2 crore and ₹1.5 crore.
The ownership transfer follows a structured process. Employees sign a housing agreement and move in after renovations are completed. Once they fulfil the service commitment, the property is formally transferred to their name, while renovation costs are borne by the employee.
The initiative reflects a broader trend of companies experimenting with long-term, life-stage benefits to attract and retain skilled talent amid increasing competition and rising attrition in the manufacturing sector.
The post Chinese Auto Components Firm Offers Apartments to Employees as Long-Term Retention Incentive appeared first on HR Talk.
​