WorkSmart Asia: Employment

Showing posts with label Employment. Show all posts

1 January 2025

Positive outlook for Singapore employment in 2025

Source: Randstad Singapore's 2025 Job Market Outlook and Salary Guide. Chart. Hiring managers are prioritising those with sales and business development skills.

Source: Randstad Singapore's 2025 Job Market Outlook and Salary Guide. Hiring managers are prioritising those with sales and business development skills.

Singapore’s job economy is set to see improvements in 2025, with services sectors leading growth, said Randstad. The trend is supported by AI adoption and a strong focus on revenue and cost management, the company said.

Randstad Singapore's 2025 Job Market Outlook and Salary Guide highlights the demand for skilled professionals across finance, technology, and professional services as companies navigate digital transformation and growing skills gaps in the workforce.

David Blasco, Country Director at Randstad Singapore said: “Singapore's digital transformation journey is creating unprecedented opportunities and challenges across sectors. As employers grapple with talent scarcity, we're witnessing greater demand for professionals skilled in AI, data analytics and digital infrastructure, alongside a strong focus on revenue generation and business development capabilities.

“The evolution is reshaping traditional corporate roles, with functions from banking and finance to human resources now expected to contribute to business growth and adapt to new technologies. The dual pressures of technical advancement and commercial expectations are elevating hiring requirements for both technical expertise and business acumen, presenting new challenges in talent acquisition and development.”

A recent survey by Randstad Singapore revealed that 49% of employers plan to increase their headcount in 2025, while 40% aim to maintain their current workforce. In addition, 43% of companies are projecting average salary increases of 3% to 5% in 2025. These findings signal positive business sentiment, with organisations regaining their confidence to expand their teams in 2025.

The results also indicate that revenue generation is a key priority for businesses, with 45% of employers expecting the highest hiring activity in sales and business development. Technology remains a crucial focus, with 23% of employers prioritising tech talent acquisition, followed by 13% planning to invest in digital transformation and AI professionals.

Despite optimistic growth plans, employers face significant challenges. Two thirds cite a shortage of candidates with required skills as their primary hiring challenge, while 38% report intense market competition for talent. In response, 38% of organisations plan to increase their budgets for technical roles, while 30% will focus on internal promotions.

Blasco said: "The convergence of AI adoption, sustainable finance and digital transformation is fundamentally reshaping Singapore's business landscape. Success will hinge on organisations' ability to bridge the skills gap, particularly in high-demand areas like AI, sustainability and digital transformation where competition for talent is most intense. As we enter 2025, more companies will seek support from industry experts to secure top professionals while building inclusive, driven and flexible work cultures that attract and retain exceptional talent.”

Explore

Randstad Singapore's 2025 Job Market Outlook and Salary Guide serves as a strategic resource for employers navigating talent acquisition in high-competition areas, providing insights into in-demand skills, talent expectations and salary data for 2025. This year's report features detailed salary benchmarks across nine key industries in Singapore. The report is available on https://www.randstad.com.sg

14 September 2018

LinkedIn reveals emerging jobs in Singapore for 2018

29 January 2018

12 jobs to be restricted to nationals in KSA

The KSA Minister of Labor and Social Development Dr Ali bin Nasser Al-Ghafees has issued a ministerial decision that work in outlets of 12 activities and occupations will be restricted to Saudis from the beginning of the Hijri year 1440, which will around 18 September 2018, the Saudi Press Agency has reported.

The official spokesman of the ministry, Khalid Abaakhel, said that jobs at locations that are scheduled to be restricted to Saudis include watch shops, eyeglasses stores, medical equipment stores, electrical and electronics shops, those selling car parts, building materials, carpets, cars and motorcycles, home furniture and ready-made offices, clothes, men's supplies, household utensils and pastry shops.

He added that decisions of feminisation - the inclusion of female employees - should be observed in respect of the activities and shops that have been decided upon by feminisation, and noted that the decision does not conflict with the decisions to Saudise the activities according to existing memorandums of understanding with the emirates of GCC regions that are in force.

Saudisation, referred to as Nitaqat (نطاقات) refers to the restriction of specific jobs for Saudis with the aim of ensuring that nationals, and not expatriates, work in high-quality jobs in the long term. The strategy also mandates a minimum number of Saudi employees in companies.

Explore:

Read EY's 2017 note about updates to the Saudisation policy (PDF)

21 February 2017

Singapore's 2017 Budget is all about managing uncertainty

Source: Singapore Budget website. View of Singapore.

The Singapore Budget 2017 was a call to reposition the country to the future at a time of deep shifts in the global economy, leading to both challenges and opportunities for Singapore. Singapore Minister for Finance Heng Swee Keat said Singapore should develop strong capabilities in both firms and workers so they can adapt to the changes in economic structures and technology.

"Digitalisation, innovation and highly skilled workers will enable cities and regions to prosper while staying open and connected to the world," he said.

Heng also called for deep partnerships domestically. "The government’s role is not to plan every move, but to forge a common understanding of the changes, and foster partnerships with businesses, unions, firms and workers, with each playing a key role. We need to pool our resources and ideas, and solve problems together. Such networks of trust will allow us to seize opportunities and respond to unexpected challenges," he noted.

Retail was singled out among the sectors that are facing structural shifts, and advised to embrace technology to help transform business models. Heng suggested retailers leverage digital capabilities to access new markets through online marketing, and e-commerce platforms.

Budget 2017 provides both near term support measures, with a targeted approach to address sector-specific needs, and also addresses the Committee on the Future Economy’s seven mutually reinforcing strategies for the medium to longer term. It includes measures to strengthen corporate capabilities, particularly in promoting digitalisation, with a new SMEs Go Digital Programme, and strengthened capabilities in data and cybersecurity.

There are also measures to promote innovation and scaling up globally, including improving access to intellectual property (IP), a new Tech Access Initiative, a new International Partnership Fund, and financing support for local companies with overseas infrastructure projects.

For employees

The Budget seeks to deepen Singaporean’s capabilities by developing a skilled and adaptable workforce, with workers that hold their own when operating overseas while also deepening existing skillsets to remain in productive jobs. A Third Enabling Masterplan will be introduced to better integrate persons with disabilities into the workforce and to give support for caregivers.

Heng said that 2017 would see increased wage and training support provided under the Career Support Programme, the Professional Conversion Programme, and the Work Trial Programme. "We will introduce an Attach and Train initiative for sectors that have good growth prospects, but where companies may not be ready to hire yet. Instead, industry partners can send participants for training and work attachments. This will increase the chances of these workers to find a job in the sector later," he added.

Employer support

For employers, Singapore's Wage Credit Scheme is to continue to help firms cope with rising wages. "We expect to pay over S$600 million to businesses this March. Roughly 70% of this amount will be to SMEs," Heng shared.

The Special Employment Credit will continue to provide employers with support for the wages of older workers till 2019. Over S$300 million, which will benefit 370,000 workers, will be paid out in FY2017.

The SME Working Capital Loan will also be available for the next two years. Under this initiative the government co-shares 50% of the default risk for loans of up to S$300,000 per SME. "There has been good take-up for this scheme. Since its launch in June 2016, the scheme has catalysed more than S$700 million of loans," Heng commented.

Two more measures have been introduced to support firms. The Corporate Income Tax (CIT) Rebate has been enhanced further. It was enhanced from 30% to 50% of tax payable, capped at S$20,000 each year for year of assessment (YA) 2016 and YA2017, and that cap is now raised to S$25,000 for YA2017. The CIT rebate is further available for another year, to YA2018, at a reduced rate of 20% of tax payable, capped at S$10,000.

The government will also provide more support for firms hiring older workers. The Ministry of Manpower will raise the re-employment age from 65 to 67 years, with effect from 1 July 2017. This will apply to workers younger than 65 on that day.

The Additional Special Employment Credit has been extended till end-2019 and is expected to benefit about 120,000 workers and 55,000 employers. Under this scheme, employers will receive wage offsets of up to 3% for workers who earn under S$4,000 per month, and who are not covered by the new re-employment age of 67 years old. When combined with the Special Employment Credit, employers will receive support of up to 11% for the wages of eligible older workers.

Heng focused next on the recommendations of the Committee for the Future Economy. "Technology is reshaping businesses, jobs and lifestyles across the world. We must spot the opportunities in the digital economy, and make the most of our strengths as a nimble, well-educated, tech-savvy society," he said.

"As we mature as an economy, we must compete on the quality and novelty of our ideas, and our ability to create value. We need to build a strong innovation and enterprise engine, to complement our traditional strengths in efficiency and speed."

Elaborating further on the technology strategy, Heng said that digital technology, embraceing innovation, and scaling up should be the hallmarks for the year, and introduced new initiatives to help enterprises "build capabilities to go international, go digital, and to innovate". "Digital technology has unique potential to transform businesses, large and small, across the economy. The first way to strengthen our enterprises, especially small and medium sized enterprises (SMEs), is to help them adopt digital solutions," Heng said.

More digital help for SMEs

A new SMEs Go Digital Programme has been created to help SMEs build digital capabilities, to be helmed by the Info-communications Media Development Authority (IMDA) in collaboration with SPRING and other sector lead agencies. The SMEs Go Digital Programme will have three components, Heng said:

+Step-by-step advice on the technologies to use at each stage of their growth through sectoral Industry Digital Plans. "We will start with sectors where digital technology can significantly improve productivity. These include retail, food services, wholesale trade, logistics, cleaning and security," Heng said.

+In-person help at SME Centres and at a new SME Technology Hub to be set up by IMDA. SMEs will be able to ask about off-the-shelf technology solutions that are pre-approved for funding support, or connect to info-communications and technology (ICT) vendors and consultants. "The more digitally advanced firms can get specialist advice from the SME Technology Hub," Heng added.

+Advice and funding support for SMEs that are ready to pilot emerging ICT solutions. "We will work with consortiums of large and small firms to help them adopt impactful, interoperable ICT solutions, to level up whole sectors," Heng promised.

Data and security

Singapore also plans to level up on capabilities in data and cybersecurity. "With increased digitalisation, data will become an important asset for firms, and strong cybersecurity is needed for our networks to function smoothly. The Cyber Security Agency (CSA) of Singapore will work with professional bodies to train cybersecurity professionals," Heng said.

Driving innovation

The Singapore government is also making it easier to tap into expertise at existing research institutes. Heng noted that A*STAR, which already works with firms to identify how technology can help them innovate and compete, will expand its efforts to support 400 companies over the next four years.

Additionally, Intellectual Property Intermediary, a SPRING affiliate, will be working with companies to match them with suitable IP. "It will work with the Intellectual Property Office of Singapore (IPOS) to analyse and bundle complementary IP from Singapore and overseas," Heng said.

A*STAR's Headstart Programme, which allows SMEs that co-develop IP with A*STAR to enjoy royalty-free and exclusive licences for the first 18 months, has been extended to the first 36 months.

"We will also support companies in the use of advanced machine tools for prototyping and testing, which may require costly specialised equipment. A*STAR will provide access to such equipment, user training and advice under a new Tech Access Initiative," Heng said.

Expanding internationally

A new S$600 million International Partnership Fund has been set up to help companies grow overseas. The fund will co-invest with Singapore-based firms to help them scale up and internationalise.

IE Singapore’s Internationalisation Finance Scheme will be enhanced. The government will catalyse private cross-border project financing to smaller Singapore-based infrastructure developers by co-sharing the default risk of lower quantum, non-recourse loans. "We will also catalyse financing for projects undertaken by larger firms in higher-risk developing markets, by providing a share of the needed sovereign risk insurance coverage. Overall, these enhancements will enable more companies to take on more overseas projects," Heng said.

Ecosystem for global innovation

Innovation and growing internationally were also the seeds for the Global Innovation Alliance, which is designed to help Singaporeans gain overseas experience, build networks, and collaborate with their counterparts in other innovative cities. The Global Innovation Alliance will have three programmes:

+The Innovators Academy will enable tertiary students to build connections and capabilities overseas. The academy builds on the NUS Overseas College programme, which connects students to startups overseas. The Innovators Academy will go further by making these opportunities available to students from other Singapore universities. "We aim to grow the annual intake of students from 300 to 500 over the next five years," Heng said.

+Innovation Launchpads will be set up in selected overseas markets, enabling entrepreneurs and business owners to connect with mentors, investors and service providers.

+Welcome Centres are inbound, allowing foreign companies to link up with Singapore partners to co-innovate, test new products in Singapore, and expand in the region.

"The Global Innovation Alliance is a novel collaboration among our educational institutions, economic agencies and businesses. In the initial phase, we will launch the Alliance in Beijing, San Francisco and various ASEAN cities," Heng said.

Building the leaders for internationalisation

To ensure that companies expanding overseas have capable Singaporean leaders with overseas experience, the SkillsFuture Leadership Development Initiative will expand on leadership development programmes. Promising individuals will be sent on specialised courses and overseas postings, beginning with a target to develop 800 potential leaders over the next three years.

For building skills in general, local educational institutions will be offering short, modular courses, and expanding the use of e-learning. Funding support for Singaporeans to take approved courses will continue to be available through the SkillsFuture initiative.

When it comes to applying those new skills, Heng said employers, trade associations and chambers (TACs), unions and the government will work together. "First, we must make sure that skilled workers are matched to where they can best use their skills. We will make the National Jobs Bank more useful for jobseekers and employers, and work with private placement firms to deliver better job matching services for professionals," he said.

Heng also called for employers, TACs, and unions to actively offer structuring training for workers "Employers and TACs who develop training programmes for their workers and the industry can receive funding support from SkillsFuture Singapore," he said.

Industry Transformation Maps (ITMs)

ITMs, announced last year, bring together various stakeholders – TACs, unions, and the government – to align efforts around sector trasnformation. Six of the projected ITMs for 23 sectors have already been launched. The remaining 17 are expected to debut in FY2017.

Heng emphasised that the ITMs are living plans that can be changed. "Where we spot opportunities, including ones that do not fit any existing industry, we will adapt our ITMs to seize them. We must also maximise synergies between related ITMs, such as between the food services and hotel industries," he said.

Heng mentioned Singtel as a shining example of what can be done for skills development both internally and for the industry as a whole. "Singtel not only trains its IT services employees to transition into cyber security roles, it also works with CSA and the IMDA on the Cyber Security Associates and Technologists programme to develop mid-career talent for the broader cyber security industry. Singtel has also launched its Cyber Security Institute to train technical professionals, management and boards to better handle cyber breaches. It also engages students through internship programmes," he said.

Regulations to keep pace with digital change

Heng noted that the government is transforming in tandem with industry. The Monetary Authority of Singapore (MAS) has announced a simplified regulatory framework tailored to the needs of venture capital firms, he said. "This will give them greater flexibility, making Singapore more conducive to venture capital investment, thereby enhancing the supply of financing for startups," he explained.

Heng also said more space for innovation is facilitated through a concept called regulatory sandboxing. "This involves setting boundaries within which some rules can be suspended, to allow greater experimentation," he said. "The Land Transport Authority (LTA) has done this with self-driving vehicles, setting out specific zones where they can be tested on roads. Likewise, MAS has set up a regulatory sandbox for fintech."

"Regulatory agencies will further explore how we can facilitate innovation. For instance, our regulators can make their risk assessments for new products and services more swift and effective. A good example is the Health Sciences Authority (HSA), which will be setting up a priority review scheme to evaluate new and innovative medical devices. This will accelerate the commercialisation process and make Singapore a preferred location to launch these devices," he said.

The government will also top up the National Research Fund by S$500 million, to support innovation efforts, and the National Productivity Fund by another S$1 billion, to support industry transformation. "All in, we are putting aside S$2.4 billion over the next four years to implement the CFE strategies. This will be over and above the S$4.5 billion set aside last year for the Industry Transformation Programme," Heng said.

Reactions were mixed. The Singapore Business Federation (SBF) said the Budget announcements this year were 'underwhelming' in terms of short-term measures, but welcomed the longer-term initiatives. The SBF said there is inadequate short-term support to lower business and compliance costs, although the business community has been communicating concerns on rising business costs for some time.

The association welcomed the medium to long-term measures in the areas of internationalisation, innovation and development of digital capabilities, which continue to pave the way for the future economy, however.

“While it is comforting to know that this year’s Budget has a strong focus of preparing our SMEs for the future economy, the current business outlook remains challenging. The business community requires immediate stimulus. We hope to see more details shared at the Committee of Supply debate. The SME Committee will continue to provide the platform for government and businesses to work together to transform our industries,” said Lawrence Leow, Chairman of the SBF-led SME Committee.

“This year’s Budget on the short-term measures to help businesses fall short of our expectations. However, we are confident that the government is monitoring the situation very closely and will respond accordingly when the need arises. Also, SBF and the TACs look forward to working closely with the government on the implementation of the remaining 17 ITMs,” added SS Teo, Chairman, SBF.

Tom Beach, Country MD, Singapore, Telstra, commented that it is encouraging that the Budget announcement and CFE report seek to tackle the challenges which Telstra has also identified in recent research. Telstra's research showed that Singapore is a leader in Asia when it comes to the quality of its digital infrastructure, but also gaps in digital skills and digital partnerships.

"Reflecting the fact that digital skills are becoming central to business success and there is global competition for talent, initiatives to cultivate digital literacy in the workplace and link people with jobs, like the enhancements to the National Jobs Bank, are important. To be truly successful, Government programmes need to be complemented by the private sector continuing to actively train their staff to maximise the benefits from using the latest technologies," he said.

"In addition to training, government- and corporate-driven innovation hubs can also play a role in developing talent and opening up pathways for new businesses to emerge. To grow the country’s digital economy, we trust that Singapore will continue to pursue policies that make it easier for high-growth startups to base their operations here and export their innovative solutions globally."

Beach shared that Telstra believes an era of “co-corporation” is emerging. "Digital partnerships accelerate expansion into new markets and customer segments, facilitate the development of new products and services, and augment existing capabilities. With the newly announced Global Innovation Alliance, Singaporeans – through the Innovators Academy, Innovation Launchpads and Welcome Centres – can now formally gain overseas experience, build networks and collaborate with counterparts in other innovative cities," he said.

Interested?

More details of the new or enhanced initiatives will be shared by the various ministries in charge at the Commitee of Supply debates, which are typically held soon after the Budget announcement.

Read the full Budget 2017 speech or watch the Budget 2017 delivery video (over 1.5 hours)

Hashtag: #SGBudget2017

15 March 2016

MOM forecasts modest labour demand in Singapore for 2016

In 2015, unemployment remained low in Singapore, says the Ministry of Manpower (MOM). Unemployment has remained low, the ministry said in a statement, despite the slowdown in local employment growth.

Employment

Source: MOM website. Figure 1: Local employment change.

Unemployment has remained low and stable since 2011

The unemployment rate for residents in 2015 was 2.8% (up from 2.7% in 2014), while that for citizens remained unchanged at 2.9%.

Total employment growth has moderated

Total employment growth has moderated amidst weaker economic conditions, slower local workforce growth and tightened supply of foreign manpower. Excluding Foreign Domestic Workers (FDWs), total foreign manpower employment grew by 23,300 (0.7%) in 2015, lower than the 122,100 (3.7%) growth in 2014 and the 131,300 (4.2%) growth in 2013.

Employment of locals was flat

Employment of locals¹ was flat after high growth in 2013 and 2014. Local employment growth (net increase of 700 or 0%) moderated significantly after exceptionally high growth in 2013 and 2014 (96,000 or 4.4% in 2014 , 82,900 or 4% in 2013).

The moderation reflects a confluence of structural and cyclical factors. Structurally, MOM is starting to see the effects of slowing local workforce growth. The strong local employment growth to meet labour demand in the earlier years was supported by continued increases in the size of our working-age population, as well as gains in the resident labour force participation rate (LFPR) with more women and older residents joining the labour force. However, these effects are expected to taper significantly in the medium term due to our demographic realities.

Growth of the working-age local population is slowing

This is due to the shrinking size of successive cohorts of younger locals entering the workforce, and more from the “baby boomer” cohorts retiring and exiting the workforce. In 2020, for every one local exiting the working-age cohort, 1.1 locals are expected to enter, down from 1.4 in 2015².

The LFPR may not improve much further

At 83.1%³, Singapore’s LFPR for residents aged 25 to 64 in 2015 is already higher than that of the OECD average and that of many economies. Singapore’s LFPR for resident males aged 25 to 64 (92.7%) is among the highest in the world, and the LFPR for females aged 25 to 64 (74.1%) has been catching up with that in developed economies⁴.

Even as local employment growth is expected to slow down in the medium term, the moderation was intensified in 2015 due to cyclical weakness in various sectors and the significant net decline of casual workers from the labour force. The slowdown was uneven – local employment declines in some sectors offset local employment growth in other sectors, resulting in the low net overall increase in local employment.

The declines were mainly in externally-oriented sectors such as manufacturing and wholesale trade, and concentrated in the trade-related segments. Real estate services, amid the lacklustre property market, and retail trade, with a slowdown in the increase in new retail space available in 2015 and a decline in retail sales (excluding motor vehicles) volume, were also negatively affected. On the other hand, local employment grew in professional services, financial & insurance services, information & communications, community, social & personal services, and administrative & support services.

Foreign employment growth continues downward

Foreign employment growth (22,600 or 2%, excluding FDWs) has fallen since 2011 (Figure 2), although this was uneven across sectors. The increase in foreign employment was driven primarily by the Services sector, which saw an accelerated pace of foreign workforce growth. Notably, there was a significant increase in the number of work permit holders (WPHs), especially in food & beverage services. In contrast, the number of foreign workers in the marine, process and manufacturing sectors declined amid low oil prices and weak external demand.

Income

Singaporeans' income is up

Median income grew for citizens in 2015. The nominal median monthly income from work of full-time employed citizens (including employer CPF contributions) rose by 6.5% over the year to S$3,798 in June 2015, or 7% in real terms⁵.

There has been a sustained rise in income at the median and 20th percentile over the last five years. The median income (including employer CPF contributions) of full-time employed citizens rose by 32% (5.6% p.a.) in nominal terms from 2010 to 2015, or 16% (3.% p.a.) after adjusting for inflation. Amid on-going initiatives to boost income of low-wage workers, income at the 20th percentile of full-time employed citizens rose by a comparable 31% (5.5% p.a.) in nominal terms, or 16% (2.9% p.a.) in real terms, over the same period.

Redundancy and workforce re-entry⁶

Redundancies have continued upward since 2010, with a decline in re-entry rates

A total of 15,580 workers were laid off in 2015, up from 12,930 in 2014, and the highest since the global financial crisis in 2009. The increase in redundancies was accompanied by a decline in the rate of re-entry into employment among workers made redundant⁷, with both trends reflecting the weaker economic conditions in 2015.

Sectoral outlook

Construction

Total employment growth in the construction sector continued to slow in 2015 (8,600) as compared to previous years (14,300 in 2014, 35,200 in 2013). The slowdown in employment growth was largely due to a moderation in output growth.

Manufacturing

Amid weak external demand, total employment in the manufacturing sector fell in 2015, the bulk of which was due to a decline in the number of foreign workers. Value-added manufacturing shrank by 5.2% in 2015 (a reversal from the 2.7% expansion in 2014), driven largely by a contraction in the transport engineering cluster (in turn largely due to weakness in the marine & offshore segment).

For this year, the employment outlook for the manufacturing sector remains soft. In particular, hiring demand in the marine and offshore segment is expected to be weak. Lower oil prices have weakened the prospects for new rig orders for firms in the marine and offshore segment, and increased the risks of further deferments and cancellations of existing orders. In addition, there could also be negative spillover effects on firms in the precision engineering cluster that support the oil and gas industry.

Services

Services accounted for most of the employment growth in 2015, although growth has slowed compared to 2014. Total employment (excluding FDWs) in this sector increased by 36,500 over the year (compared to 111,700 in 2014). Productivity declined in sub-sectors such as accommodation & food services and transportation & storage, but increased in the wholesale & retail trade and finance & insurance sectors.

Overall employment growth this year is expected to be supported by the Services sector. In particular, the domestic-oriented services sectors are expected to remain a major contributor to employment growth. Sectors such as community, social & personal services should continue to see firm demand for manpower, especially in the healthcare segment.

2016 outlook

In line with the Ministry of Trade and Industry’s (MTI) projected GDP growth of 1% to 3%, MOM expects labour demand to be modest in 2016. MOM expects redundancies to continue to rise in sectors facing weak external demand and that are undergoing restructuring. On the other hand, domestic-oriented services sectors such as community, social & personal services and food & beverage services are expected to continue to demand labour.

Wages are also expected to rise at a "more moderate pace" compared to 2015, while consolidation and exits of businesses are also expected given the economic conditions.

Foo See Yang, Vice President and Country General Manager of Kelly Services Singapore, commented that the results from MOM’s 2015 Market Labour Report are in line with the current economic situation of slow total employment growth in 2015. "Despite growth for the third consecutive quarter in 2015 at 0.9%, this is much lower than the 3% to 4% growth levels seen in 2011 through 2014. With the new normal being a slowing economy, Kelly Services expects companies in Singapore to continue to take a cautious approach to hiring for the rest of the year," said Foo.

"Amid the uncertain economic backdrop and as the Singapore economy continues to restructure and adopt a manpower-lean mentality, we are observing a growing number of our clients adapting by hiring contract and free agent talent, even at managerial and senior levels. This concept, known as talent supply chain management, integrates contract and free agent talent into hiring strategies which allows companies to stay flexible to meet their short-term business objectives, maximise the use of their resources while also planning for the long-term. In addition, it is critical that companies adopt a contract-friendly culture and policies that allow for career growth and progression for their contract employees.

"Similarly, talent will need to shift their mind-sets and embrace contract roles with a continued tight labour market and job vacancies on the decline. Individuals will need to ensure they have the desired skills for the jobs that are available. With this year’s budget predicted to be more focused on supporting the greater economy, individuals should continue to take initiative to upskill and leverage the available SkillsFuture funds the government is currently offering."

Foo added that contract and free-agent work arrangements are in line with the findings from the most recent Kelly Services Global Workforce Index (KGWI), which shows that workplace flexibility is increasingly important for talent of all generations.

Interested?

Read the WorkSmart Asia blog post about Kelly Services Global Workforce Index findings for the Asia Pacific region

1 Refers to Singaporeans and permanent residents.
2 Data from the Singapore Department of Statistics
3 LFPR statistics are from Labour Force in Singapore, June 20154 A detailed analysis is available in an annex to MOM’s Statement on Labour Market Developments (March 2015) (PDF)
5 Gross monthly income data are from the Labour Market Report, 2015, MOM
6 Data on redundancy and re-entry into employment are from the Labour Market Report, 2015, MOM
7 This refers to workers made redundant in Q315, who secured re-employment by December 2015.

23 October 2015

CIER Employment Index shows slowing employment rates in China

Chinese career platform Zhaopin and the China Institute for Employment Research (CIER) at Renmin University have released the CIER Employment Index* Report for the third quarter of 2015, covering July to September, 2015.

The CIER Index increased steadily from 2011 to 2014, reflecting the relative ease with which job seekers could find employment. As the economy slows, the employment market has slowed with it. CIER Index scores have since trended downward during the past two quarters, from a high of 2.46 during the first quarter of 2015. The CIER Index decreased during the third quarter of 2015 to 1.96, down from 2.03 during the second quarter of 2015, indicating even weaker employment confidence in the market.

During the third quarter of 2015, e-commerce registered a CIER Index score* of 5.63, which was first among all sectors, followed by the funds/securities/futures/investment sector with a score of 5.33. The CIER Index for the ten best performing sectors were all above 2.5, demonstrating strong confidence in finding employment in these sectors. The CIER Index for the ten worst performing sectors were all lower than 1.0, demonstrating an excess of job seekers in these sectors.

The ten best-performing sectors include finance and emerging service sectors such as e-commerce. The ten worst-performing sectors were all related to traditional manufacturing and services.

Sectors most likely to employ in Q315	CIER Index
E-commerce	5.63
Funds/securities/futures/investment	5.33
Insurance	4.51
Education/training/college	3.32
Real estate/construction/building materials /engineering	3.22
Agency	2.93
Logistics/warehousing	2.79
Professional service/consulting (accounting/law/human resource)	2.74
Traffic/transportation	2.71
Farming/forestry/animal husbandry/fishery	2.50

Sectors least likely to employ in Q315	CIER Index
Accounting/auditing	0.44
Energy/mineral/mining/smelting	0.58
Aerospace research and manufacturing	0.62
Rental service	0.64
Electricity/power/water conservancy	0.69
Office supplies and equipment	0.70
Inspection/testing/authentication	0.71
Academia/research	0.72
Property management/business centre	0.79
Environmental protection	0.82

Total recruitment demand from the IT/Internet sector** during the third quarter of 2015 increased 41% year-over-year. Demand from the e-commerce sector in third and fourth-tier cities increased by more than 100% year-over-year, while demand in the first, emerging-first and second-tier cities increased by over 50% year-over-year. Recruitment demand from the online games sector in second and third-tier cities increased by 72% and 130% respectively during the third quarter of 2015.

Year-over-year change in recruitment demand from the IT/Internet sector in Q315

IT/Internet	41%
IT services (system, data, maintenance)	9%
Computer software	24%
Computer hardware	0%
E-commerce	65%
Online games	18%

Total recruitment demand from the financial sector*** increased 29% year-over-year during the third quarter of 2015. Recruitment demand from the banking sector increased 45% year-on-year, while recruitment demand from the funds/securities/futures/investment sector increased 28% year-on-year.
As China's financial markets develop, recruitment demand from the financial sector in third- and fourth-tier cities grew more rapidly than in first- and second-tier cities during the third quarter of 2015, increasing by 70% year-over-year. This increase reflects the expansion of financial services to lower-tier cities in China.

Year-on-year change in recruitment demand from the financial sector in Q315

Financial sector	29%
Funds/securities/futures/investment	28%
Trusts/warrants/auctions/pawn-broking	50%
Banking	45%

Recruitment demand from the traffic/transportation sector grew steadily in part due to various economic stimulus measures, especially those from construction funds established by banks to support infrastructure development. According to statistics compiled by China's National Development and Reform Commission, total approved investment in railway and road construction projects totalled RMB421.6 billion in September 2015. As a result, recruitment demand from the traffic/transportation sector increased 18% year-over-year during the third quarter of 2015, against 3% year-over-year growth during the second quarter of 2015. Demand from third-tier cities and below increased 87% year-over-year.

China's Belt and Road Initiative has created new growth opportunities for foreign trade during the third quarter of 2015. Seeking to take advantage, many Chinese firms increased overseas investment, resulting in increased demand for relevant professionals. Recruitment demand from the trade/import & export sector increased 18% year-over-year.

The real estate sector has yet to make a recovery since last year. Large firms continue to feel the negative impact as they see their financial and operational performances suffer. Recruitment demand from the real estate sector continued to fall, decreasing 15% year-over-year during the third quarter of 2015.

Year-on-year change in recruitment demand across sectors in Q315

IT/Internet	41%
Financial	29%
Traffic/transportation	18%
Trade/import & export	18%
Telecommunication	17%
Retail/wholesale	14%
Medicine/biotechnology	13%
Manufacturing	10%
Fast-moving consumer goods	7%
Automobile/motorcycle	4%
Durable consumer goods	1%
Real estate	-15%

Geographically, the CIER Index score for Eastern and Central China during the third quarter of 2015 were flat sequentially. The CIER Index score for Western China decreased significantly on a sequential basis as competition for a limited number of jobs heated up. Recruitment demand in Central China increased 24% year-on-year during the third quarter of 2015, significantly higher than Eastern China's 17% and Western China's 14% year-over-year growth rate. The implementation of the national urbanisation strategy has spurred economic growth across in China's central plains and middle Yangtze River regions. As the government works to transform traditional industries, the Central China region has established local industry clusters, some of which were moved from Eastern China.

Area	CIER Index		Year-on-year change in recruitment demand
Area	Q215	Q315	Q315
Eastern China	1.95	1.95	17%
Central China	1.63	1.60	24%
Western China	1.44	1.35	14%

City	Year-on-year change in recruitment demand
City	Q315
First-tier	14%
Emerging first-tier	15%
Second-tier	23%
Third-tier	37%

There is more confidence seen at the micro- and small enterprise level. The CIER Index for companies of various sizes during the third quarter of 2015 were (from highest to lowest):

Company size	CIER Index		Year-on-year change in recruitment demand
Company size	Q215	Q315	Q315
Small	2.83	2.55	17%
Micro	1.77	2.16	52%
Medium	1.36	1.37	19%
Large	1.26	1.21	5%

The CIER Index score for small and micro-sized enterprises was higher than middle and large-sized enterprises. Thanks to government policies that encourage innovation and entrepreneurship as drivers for the new economy, SMEs have greater growth potential and therefore greater demand for labour. During the third quarter of 2015, recruitment demand from micro-sized companies increased 52% year-over-year. Recruitment demand from micro, small-and-medium sized companies was much higher than that of large-sized companies.

According to Zhaopin and CIER, monthly CIER Index scores adjusted for seasonality are expected to trend downwards in coming months as a result of the macroeconomic environment in China. China's "Internet Plus" strategy has begun an irreversible trend which will continue to create more employment opportunities and restructure the labour force in China. Many industries are now finding the need for various Internet-related professionals which is creating a cross-industry flow of Internet professionals. Emerging industries such as big data and cloud computing are creating new businesses which are spurring employment growth. The demand for Internet/IT talent is expected to continue to grow, especially within the e-commerce sector.

In terms of locales, increased urbanisation and social development will continue to draw talent towards Eastern China and Central China as demand from several hundred small-and-middle sized cities outside of China's 40+ super cities grows. During this process, employment options in small-and-middle sized cities will grow as a more favourable employment environment for job seekers is created.

*The CIER Index score for a period is calculated with data from zhaopin.com by dividing the number of job vacancies during a specified period by the number of unique job seekers that apply to jobs during the same period. Data in the calculation is derived from Zhaopin's online platform. Zhaopin calculates the number of job postings by counting the number of newly placed job postings during each respective period. Job postings that were placed prior to a specified period - even if available during such period - are not counted as job postings for the period. Any job posting placed on the company's website may include more than one job opening or position.

A CIER Index score of more than 1 indicates that confidence is high for job seekers seeking employment. A CIER Index score of less than 1 indicates that confidence for job seekers seeking employment is low.

**The IT/Internet sector includes IT services (system, data, maintenance), computer software, computer hardware, e-commerce and online games.

***The financial sector includes funds/securities/futures/investment, banking and trusts/warrants/auctions/pawn-broking.

16 July 2015

Contract positions an ideal solution for Singapore companies

The latest Singapore Contracting Survey from international recruiter Robert Walters shows that contract employment is on the rise as hiring managers utilise dynamic specialist professionals to address challenges in permanent headcount approvals. A majority of headcount freezes are often directed by head offices which leave hiring managers in Singapore searching for a flexible interim workforce solution.

The survey - completed by over 300 professionals in Singapore who are contracting or have been in a contract position - aimed to examine the benefits and challenges of working as a contractor, and provide insights to employers on how they could better leverage the contract workforce.

Joel Hides, Director, Robert Walters Singapore comments: “The reality of the current employment market across sectors is that permanent headcount restrictions exist. When news around a hiring freeze is released, this usually results in an increase in contracting opportunities. Hence, specialist contractors in Singapore are now seeing a higher percentage of jobs available for short-term employment. These opportunities are excellent chances of gaining experience in varied industries.”

Employers have the option of accessibility to specialist skills when needed for project-based assignments, maternity cover or filling in for permanent headcount freezes. In addition, line managers are also able to trial the contractor for skill sets, cultural fit and soft skills before deciding if they would like to convert the position to a permanent role.

Other findings:

• Eight in 10 contractors prefer employment contracts which exceed six months.

• More than half (55%) saw monetary incentives as a motivation for contracting positions.

• Nearly half (46%) felt that key benefits of working as a contractor include the opportunity to gain exposure to different industries.

• The lack of job security (42%) ranks as the largest challenge of taking up a contracting position.

• Almost three quarters (72%) of contractors chose recruitment agencies to secure their last contracting position.

Interested?

Read more about the study

posted from Bloggeroid

25 May 2015

Online hiring still slow in Singapore

Source: Monster infographic. Click on the image to view a larger version.

Despite a slight increase from March 2015, Singapore’s online recruitment is still in decline overall in April 2015, according to the latest Monster Employment Index (MEI) Singapore. The MEI, a gauge of online job posting activity, recorded an 8% decline this April, when compared with the same month in 2014.
However, this is an increase from March 2015, when a record 13% year-on-year decrease was recorded. “For the fourth month since January 2015, the Monster Employment Index Singapore saw annual declines again. However, the rate of decline slowed down between March and April 2015,” said Sanjay Modi, Managing Director, Monster.com (India, Middle East Southeast Asia and Hong Kong).

Source: Monster.

“As well as an ongoing need for skilled education professionals, Singapore is seeing growing concern over issues related to cyber security, keeping the demand high for mid-level IT professionals in the technology sector. In addition to this, the healthcare sector is also seeing an increase in hiring activity, thanks to a demand for professionals engaged in research laboratory and medical related technical sales.”

Both tables source: Monster.

Among all 14 industry sectors in the Index, the lowest growth was recorded in the consumer goods/fast moving consumer goods (FMCG), food & packaged food, home appliance, garments/textiles/leather, gems & jewellery industry and the government/public sector undertakings (PSU)/defence industry, at -16% and -11% respectively.

Once again, the education and IT, telecom/ISP and business process outsourcing (BPO)/IT enabled services (ITES) industries performed the best, at 14% and 4% respectively.

Across the 12 occupational groups monitored by MEI, software, hardware, and telecom roles are experiencing the highest growth for April 2015, at 14% year-on-year. This is the only occupation group in positive figures, with the second highest growth role being real estate at -4% year-on-year.

Purchase/logistics/supply roles saw the lowest growth at -11%, followed by engineering/production and marketing & communications, both at -10%.

The Monster Employment Index Singapore is a monthly gauge of online job posting activity, based on a real-time review of millions of employer job opportunities culled from a large representative selection of career web sites and online job listings across Singapore. The Index does not reflect the trend of any one advertiser or source, but is an aggregate measure of the change in job listings across the industry.

Pages