Businesses in China's far western Xinjiang region are now required to hire at least half of their new employees from among local residents, according to a government policy issued Wednesday.

All the companies registered in Xinjiang and those who take up projects in the region, are subject to the new policy.

The regional government will offer the newly recruited locals subsidies worth half of their pension fees for three years.

It also urged businesses to recruit more people from the ethnic minorities.

Government subsidies are also available for college graduates committed to countryside development, community workers and service sector workforce.

Xinjiang had created nearly 300,000 jobs in its urban areas in the year to August, or 84.8 percent of the government target for the whole year, the government said.

But the employment picture in Xinjiang, especially for the ethnic minorities, is still bleak amid the financial crisis, it added.