Li-An Zhou[1]
On March 14th, the Guanghua School of Management and the Institute of Economic Policy at Peking University co-hosted an economic situation and policy analysis panel following the conclusion of the 2024 Two Sessions (the Annual Sessions of the National People's Congress and the National Committee of the Chinese People's Political Consultative Conference). Ten scholars from the Guanghua School of Management engaged in discussions on a variety of topics, including "Macroeconomic Analysis and Key Growth Issues," "Addressing Challenges in New Quality Productivity," and "Building a Financial Powerhouse with Strengthened Risk Management." The panel discussion provided insights derived from the Two Sessions, conducted an in-depth analysis of the current economic landscape, and deliberated on prospective policy directions.
Overview
The "Village CEO" employment program, an innovative initiative born from grassroot government efforts, plays a crucial role in multiple aspects of promoting comprehensive rural revitalization.
The cornerstone of rural revitalization is the revitalization of industries, necessitating strategic planning, brand management, marketing, and financial support. These complex operational aspects require specialized and professional management skills, which may be challenging for some village officials.
As an emerging professional category, "Village CEOs" are currently in limited supply, necessitating focused efforts to develop additional talent in this sector. Furthermore, challenges to the program include clarifying the roles and responsibilities between village committees and village CEOs, as well as designing appropriate compensation and support frameworks for these managerial positions.
Coordinating new urbanization and the comprehensive revitalization of rural areas represents a strategic initiative to adapt to the evolving social structure of China, respond to the demands of the new era, and align with the inherent patterns of urban-rural development. This initiative aims to promote the integrated development of urban and rural areas on a broader scale and deeper level, and to elevated standards. In this context, the Chinese government has implemented a series of policy measures dedicated to fostering talent development in rural areas. Notably, in recent years, local governments in provinces such as Zhejiang, Guangdong, Yunnan, and Chongqing have been actively experimenting with the "Village CEO" program. This innovative program recruits professionals and teams with expertise in rural development, business operations and management to actively engage in and enhance the management and development of rural areas, yielding notable successes.
I. The "Village CEO" Program: A Market-Driven Approach to Channeling Talent into Rural Areas
The "Village CEO" program has been introduced and piloted across various regions, reflecting its alignment with the prevailing needs of rural development in our country. This model successfully attracts young professionals and entrepreneurs from a variety of backgrounds. Their core responsibilities encompass managing rural industries, securing investments, and building harmonious rural communities. These individuals collaborate closely with village committees and collectives to facilitate rural revitalization. The government evaluates their performance annually and offers compensation based on market standards, including a base salary supplemented by performance-based incentives.
The cornerstone of rural revitalization is the revitalization of industries, necessitating strategic planning, brand management, marketing, and financial support. These complex operational aspects require specialized and professional management skills, which may be challenging for some village officials. This underscores the critical need for recruiting external business management talent. Currently, two primary strategies are employed to harness such talent. The first strategy leverages local talents—individuals who propel their communities toward prosperity by developing unique industries or high-value agriculture. The second strategy seeks to attract college graduates, veterans, or migrant workers for entrepreneurial endeavors, or encourages retired individuals to return and contribute to their hometowns. However, both approaches have inherent limitations. The presence of local talents capable of effectively leading comprehensive development is infrequent, and the motivation for external talents to return and engage in rural construction often relies heavily on their emotional connections to their hometowns, which restricts the availability and diversity of such talent.
II. The Significance of Village CEOs in Comprehensively Advancing Rural Revitalization
The employment of village CEOs originates from an innovative practice by grassroots governments and plays multiple roles in comprehensively advancing rural revitalization:
Firstly, recruiting village CEOs represents a departure from the traditional reliance on the spontaneous return of local talents to their hometowns. It establishes market-driven channels and mechanisms that actively encourage talent to relocate to rural areas, providing a pivotal tool for driving talent-led rural revitalization. The "Village CEO" program defines clear job responsibilities, work requirements, and compensation packages. By recruiting on a national scale, the program draws a diverse pool of applicants and motivates them through evaluations and market-aligned incentives.
Secondly, the "Village CEO" system facilitates the effective separation of economic and non-economic management functions within village collectives, enabling professionals to handle specialized tasks. This approach improves village governance structures, bolsters the collective village economy, and injects sustainable developmental momentum to enhance and extend the achievements in poverty alleviation and rural revitalization. The success of rural revitalization hinges on the revitalization of industries, requiring a high degree of professionalism in business management and the engagement of specialized, skilled entrepreneurial talent.
Thirdly, with its broad implementation, the "Village CEO" initiative is poised to create a cross-regional network of professional managers dedicated to rural sectors. This strategy is expected not only to broaden employment prospects for young individuals and forge new professional categories but also to attract diverse urban talents to rural settings. It facilitates the two-way exchange of high-quality productive resources between urban and rural areas, furthering the integration and cohesive development of these regions.
Consider the example of "Hedgehog Girl" He Yongqun. In 2021, He Yongqun was appointed as a village CEO in Wanchong Community, Chenggong District, Kunming, through the "Ten Thousand Talents to Revitalize Ten Thousand Villages" initiative organized by the Organization Department of the CPC Yunnan Provincial Committee. She successfully led a team comprising more than ten entrepreneurial university graduates in establishing an extracurricular practical teaching base in the village. Through a variety of activities, including extracurricular practice sessions, seasonal camps, family outings, and team-building exercises, she effectively promoted local agritourism and other ventures such as a commercial pedestrian street, deep processing of local pears, and dining and tourism services. These initiatives attracted approximately 500,000 visitors annually and generated over 20 million yuan in tourism revenue, demonstrating significant economic impact and community engagement.
III. Policy recommendations for Retaining Village CEOs and Addressing Talent Supply Shortages
Currently, the recruitment of village CEOs is limited to a pilot phase in selected regions and encounters some complexities. As an emerging professional category, there is a marked shortage in the availability of village CEO talent, necessitating intensified efforts towards their development to ensure future sustainability. Furthermore, clearly defining the roles and responsibilities of village officials compared to village CEOs, establishing appropriate compensation packages for these professional managers, and providing necessary support are critical issues that need continuous exploration and resolution in practice. Addressing these elements is essential for creating a stable and effective framework that supports the role of village CEOs in driving rural revitalization efforts.
1. Systematically Study and Summarize Successful Experiences to Establish National-Level Advanced Demonstration Zones for Cultivating Village CEOs
Successful experiences from regions that have initially implemented the 'Village CEO' program should be systematically researched and summarized to provide a model for other regions nationwide. To further encourage local exploration and innovation, the establishment of national-level advanced demonstration zones in areas that have already accumulated successful experiences in cultivating village CEOs can be a possibility.
2. Encourage Local Governments, Universities, and Enterprises to Collaborate and Strengthen Training Programs
Collaboration on training programs for village CEOs should be encouraged among local governments, universities, and enterprises to intensify efforts in creating conditions to attract, develop, and incubate more professional managers. A portion of agricultural finance funds can be considered for allocation to support village CEO training; select universities and enterprises with good training facilities can host and organize village CEO training programs; talent recruitment platforms can be utilized to create dedicated village CEO recruitment channels, enhancing the match between job seekers and rural talent needs.
3. Reform the Governance Structure of Village Collective Economies, Clarifying the Division of Labor and Collaboration Between Village Committees and Village CEOs
Governance structure of village collective economies should clarify the responsibilities and collaborative relationships between village officials and village CEOs to maximize the expertise of village CEOs and manage the distribution of interests among village collectives, villagers, and the village CEO team. Based on asset clarification and valuation, value-added contributions of village CEOs to village collective assets and incomes can be scientifically assessed to determine an incentivizing income sharing ratios for village CEOs while ensuring the economic interests of village collectives and villagers.
4. Encourage County-Level Governments to Employ Village CEOs and Provide Necessary Talent Support Policies
County-level governments should be encouraged to employ village CEOs and prioritize the deployment of village CEOs to villages with weak collective economies. To enhance the appeal of the 'village CEO' program, it is important that employers provide compensation aligned with market standards, along with comprehensive talent support policies. These should include provisions for housing, education for children, social security contributions, and financial assistance. Such measures will not only motivate candidates to commit to the program for extended periods but also facilitate their integration and success in rural environments.
[1] Professor Li-An Zhou is a professor of applied economics at the Guanghua School of Management, Peking University.
