● 2018 will see high demand in IT skillsets and contracting opportunities especially in fintech, healthcare and technology sectors in Singapore
● The accounting and finance, human resources, sales and marketing, and technology sectors seek professionals with specialised skillsets in 2018
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| Source: Robert Walters. Fowlston. |
Specialist professional recruitment firm
Robert Walters has released the 2018 edition of its annual
Salary Survey*. The survey shared optimistic predictions for next year, suggesting a strong economic outlook, and said that ongoing digitalisation as well as steady market expansion poised to drive salary growth next year in the Southeast Asian region. Local market candidates with strong technical skills, particularly in information technology (IT), and with international experience will be highly sought after.
The overall job market in Southeast Asia has remained active throughout 2017, despite variable economic conditions. This was largely attributed to the region attracting new market entrants and supporting the expansion of existing businesses. Despite varied country settings, digitalisation continued to be a key priority across most markets. The survey noted that this is mainly driven by a rapidly growing younger population and increased consumerism.
Toby Fowlston, MD, Southeast Asia, Robert Walters said, “The digitalisation trend that is sweeping the region has spurred many businesses to create online or mobile platforms as companies seek to enhance their competitiveness and increase market share with the consumers. As a result of these transformations, many companies were looking to hire professionals with digital expertise, across both marketing and IT, especially those who are proficient in running back office digital infrastructure or with niche technology skills.
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| Wall showcasing the Robert Walters branding. |
“In addition, IT professionals in the areas of cloud computing, cyber security and big data were also in demand as these IT subsectors became key growth areas, and this trend is expected to continue in 2018.”
The focus on business transformation also helped trigger a demand for human resource (HR) professionals with experience in change management experience and especially those with a proven ability in cultural transformation.
However, the region faced challenges in terms of talent attraction and retention due to talent shortages and high staff turnover rates. Hiring managers are advised to look at simplifying and streamlining their recruitment processes to ensure timely hires, and be flexible in hiring candidates with learning potential instead of purely for their technical skills.
Despite the economic slowdown last year, Singapore remained an attractive proposition for companies looking to establish local and regional hubs. This led to key pockets of hiring activity in a number of growing sectors, supported by shifts in consumer behaviour and rising government investment in the local business ecosystem.
In line with the government’s drive to strengthen technology infrastructure and build a Smart Nation, businesses are expected to continue to improve their digital processes, generating permanent and temporary opportunities for people with both traditional and new technology skills. The survey indicates that the e-commerce, insurance and logistics will be some of the key sectors driving digital transformation.
Following this year’s trend, the IT job market will remain active in 2018 as digital transformation continues to be a hot topic, with all sectors investing heavily in modernising their customer-facing e-channels. While robust activity is predicted in various industry verticals this year - fast moving consumer goods (FMCG), retail, luxury and healthcare - for sales and marketing professionals proficient in specialised areas such as commercial excellence, digital marketing and e-commerce and professionals in general who are up-to-date with digital trends, and have strong analytical skills.
Sales and marketing professionals can expect an average increment of 10-15%, similar to the increments enjoyed in 2016 and 2017.
For HR professionals, continuing on trends from this year, 2018 is set to remain client-driven. There will still be a high demand in HR experts who are business-savvy and have change management experience as a trend towards restructuring continues. As firms increasingly recognise the importance of offering their employees solid training opportunities, there will also be demand for senior regional learning and development professionals, especially those skilled in leadership development and organisational design. In Singapore, candidates looking to switch jobs are expected to receive salary increments of between 10-15% in 2018.
Whilst inflation rates in Singapore are likely to remain flat and in general, minimal salary increments are anticipated in 2018, Robert Walters said. In Singapore, increments for 2018 should be between 5% and 15%, the company forecasts. The demand remains for candidates with skills in digital marketing and cyber security in particular. These candidates can expect to see increments in their annual salary reviews, especially those with local market knowledge.
Survey highlights for 2018 include:
● The accounting and finance sector will see increased consolidation in the market generating a high demand for candidates with broad skillsets – proficiency in financial reporting and systems implementation, or financial planning and analysis (FP&A) and treasury. Tax compliance, advisory, transfer pricing and FP&A business partnering skills are of particular interest. Those who can double up as business partners and add value from a finance perspective will be highly sought after. Robert Walters forecasts that 10-15% salary rises are likely for
accounting and finance experts when moving jobs.
● In the IT sector, there will be a high demand for business/consumer-facing professionals who have deep learning and machine learning skills. User experience/user interface (UX/UI) professionals, specifically front-end developers who have a strong instinct for design, were in demand in 2017 and will continue to be be in demand in 2018. This is because attractive interfaces remain a differentiating factor in user acquisition. Companies are also looking for cloud architects.
● As regulatory requirements remain a core issue in the banking sector and increased digitalisation in companies looking to secure their systems, tech professionals with cybersecurity skills will also continue to be in demand, as they were in 2017. However, with a currently limited talent pool, hiring managers will find it a challenge finding techno-commercial digital professionals, local developers and solution architects.
● Robert Walters says a 3-5% rise in salary is likely for banking and financial services professionals who change jobs. Fowlston noted that firms continue curbing new hires and
increasing offshoring to less expensive countries such as the Philippines. Infrastructure in other countries is getting
better as well. According to Fowlston, Thailand is becoming a regional hub, and is seen as a potential entry point into
frontier markets. He also said that banks continue to strengthen their anti-money laundering (AML)/combating the financing of terrorist (CFT), know your customer (KYC) and customer due diligence (CDD) functions.
● It is anticipated that the HR sector will also see a great demand for professionals who are strategic talent acquisition leaders, able to head regional teams and design and develop solid recruitment strategies and talent management initiatives. The survey recommends that hiring managers simplify and streamline the recruitment process to ensure timely hires and to also consider taking on candidates based on potential and learning ability rather than technical skills.
● Other in-demand skillsets include multitasking abilities, resilience to change, and proficiency in multiple languages spoken in ASEAN.
● Key industries that will drive digital transformation in 2018:
- E-commerce
- Insurance
- Logistics
● Banking and financial services sectors will see demand in these qualities for IT professionals:
- Workspace transformation
- Cloud infrastructure and virtualisation
- Project and programme management
- Business analytics with strong regulatory understanding
The
2018 Salary Survey indicates that contract work is a viable option to overcome the skills gaps required across various sectors, with candidates becoming more open to contracting opportunities to broaden their corporate exposure.
While this year saw employers hiring more mid-level professionals for interim positions, particularly for projects that require niche skill sets, there was also a rise in short-term contract legal roles, triggered by a limited talent pool and tighter budget constraints. This trend is likely to continue in 2018 as employers recognise the value contractors can bring to a business, particularly for legal professionals in the fintech, healthcare and technology sectors. Companies are looking for people with experience in International Swaps and Derivatives Association (ISDA) negotiations and who are multilingual in ASEAN languages. Robert Walters notes that the legal sector has seen year-on-year salary increments on average of 3-7%.
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| The Balik Kampung campaign. |
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The company introduced the
Balik Kampung campaign in 2015 to attract and connect with overseas Singaporeans who want to return home to work in Singapore. The company said it currently has access to 3,000 untapped overseas candidates, and suggests that the
Balik Kampung candidates could contribute to a long-term local permanent or contract talent pipeline, especially as demand for domestic talent continues to rise, Robert Walters said. "There's still nobody else that we're aware of
that actually plays (in this space)," Fowlston said.
Robert Walters operates in Singapore, Malaysia, Indonesia, Thailand, Vietnam and, since last year, the Philippines. It has had a presence in Southeast Asia for nearly 20 years. While some recruitment consultancies have consultants which work with one client and cover hiring for all disciplines, Robert Walters consultants focus on one core discipline.
Explore:
Request a copy of the Salary Survey
Read the
WorkSmart Asia blog posts on the
2017 Salary Survey and the
launch of the Balik Kampung campaign
*Compiled by Robert Walters' dedicated research division, the Salary Survey is based on an analysis of placements made across its network of offices and specialist disciplines during the course of 2017. Now in its 19th year, the survey is used by employers, HR managers and employees for benchmarking salary levels within their industry.
