Starting from the second half of last year, the transaction volume in Shenzhen's third-tier market has plummeted, with a decline of over 70%. This has directly led to major intermediaries scaling back operations and laying off staff to cut operating costs. According to estimates by Li Yaoshi, General Manager of Shenzhen's Zhongyuan Real Estate, over 50% of the industry's workforce has left, while Zhongyuan Real Estate, with minimal reduction in branch offices, has only experienced a 20% personnel loss.
"Taking into account the personnel losses from related industries such as mortgage companies and guarantee firms, the intermediary industry's attrition rate will exceed 60%," said Liang Wenhua. He explained that due to market influences, the staff at Shihua Real Estate has been reduced from around 4,000 to approximately 2,500.
The departing employees have split their paths, with some leaving the brokerage industry and others opting for a period of rest. Liang Wenhua noted that as the market heats up, many have started to see promising prospects and development platforms in the brokerage sector, leading to a surge in returnees. According to statistics, over 700 former employees have already returned to Shihua, accounting for about 60-70% of the previous leavers. March's transaction volume doubled compared to February, and early April's volume also saw an increase year-on-year. It is expected that the transaction volume in April will exceed 4,000 units, with the number of returning employees continuing to rise.
Returants will not receive special treatment
Returning employees have a higher level of familiarity with the industry and recognition for the company compared to externally hired personnel. Does this mean intermediary firms will show more "favor" to these employees? Li Yaozhi stated that they would not, as it would be unfair to those who have consistently remained in their positions if special favor is shown. Therefore, returning employees, whether they are regular staff or managers, must start from the bottom.
The opinion was also endorsed by Liang Wenhua, who believes that special training will be provided to returning staff to meet the current market demands. "The market is dominated by buyers now; viewing a property may require at least five to ten visits, which necessitates staff to be more meticulous and patient. Therefore, we have a series of training programs in law, ethics, professionalism, and product knowledge," Liang Wenhua explained.
Recently, Shihua Real Estate launched the "Spring Talent Recruitment Program," attracting a large number of applicants, including some former employees who have returned to the company after leaving. Reportedly, many former staff who resigned have started to return to various agencies in recent months. Liang Wenhua, the General Manager of Shihua Real Estate, believes that the rise in Shenzhen's real estate transaction volume in March has restored employees' confidence in the industry. He predicts that as transaction volumes continue to increase, more people will return to the brokerage industry.