Demographic shift 'a top challenge in 2014'

Shifting demographics and higher employee turnover are some of the top challenges CEOs will face in 2014, a study by Hay Group found.

An aging workforce will result in a skills shortage and increased pressure on the pension system, according to Stephen Kaye, president and CEO of Hay Group.

"Companies need to invest in strategic human resources plans to hire and retain talent," he said on Monday at a news conference about the coming Hay Group International Conference, explaining that employees are uncertain about their future at a time of transformation in the economy.

Last year, China saw a 17.7 percent in talent turnover, a 3.5 percentage point increase compared with the previous year, the Hay Group's survey showed.

At the same time, disruptive technologies are being developed that are challenging traditional business models. People want to use the same easy technology at work that they enjoy at home.

"In this fast-changing environment, many employees may feel confused and uncertain about their futures," said Kaye.

The Hay Group International Conference will be held in Shanghai from Nov 27 to 28.