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HAYS ASIA SALARY SURVEY RELEASED - HONG KONG
Specialist recruiter Hays has released its second annual Hays Asia Salary Survey following an enthusiastic reception of the inaugural survey released in 2008. As a reflection of Hays’ recent expansion, this year’s survey now evaluates the salaries on offer within Accountancy & Finance, Banking, Finance Technology and Information Technology, Construction & Property, Oil & Gas and Legal, with the new additions of Human Resources, Sales & Marketing and Pharmaceutical.
This year reveals a powerful shift from the economic position a year ago and Emma Charnock, Regional Director of Hays explores a number of industry trends that have surfaced in response to economic pressures from around the world.
Employers and employees who had grown accustomed to the broader candidate short market have found they must now adjust to a patchy market in which some sectors are enjoying increased candidate availability, while other sectors are experiencing persistent shortages. While the true picture will not become clear until recruitment budgets are reviewed in the first quarter of 2009, the outlook is positive but subdued, with continued growth in a select number of sectors.
Salary rises for accountancy and finance professionals have remained consistent at a rate of around 10 to 15 per cent and work/life balance incentives are now being offered instead as companies look to enhance cost cutting measures.
The banking sector has undergone significant changes over the last 12 months as the effects of the US credit crunch have flowed onto the global market. Although many areas of banking have experienced a tightening in recruitment, wealth management has remained an area of some growth. In Hong Kong, candidate availability is high across the board, shifting the balance of power from candidate to employer and increasing competition. In the insurance sector, there is demand for specialists across a range of roles, however employers have become more aware of this increased competition and candidates will be unlikely to receive more than a 10 per cent salary increase.
Finance technology is one sector leading the way in utilising contract staff to provide adequate support for projects nearing completion. Higher rates of pay are still available in pockets of the sector, particularly where specific skills are required on a short-term basis. In Hong Kong, peripheral package elements are being reduced to combat increasing costs and candidates will need to maintain flexibility over end-of-year bonuses and expense allowances.
The solid hiring in the information technology sector throughout 2008 is expected to continue into 2009. The Hong Kong market is revealing a split between more modest annual salaries and generous contractor rates for project based positions.
In the legal sector, Hong Kong is enjoying an influx of international talent, and the redeployment and secondment of staff across international boundaries is on the rise. Salary increases have stabilized to levels of between 5 and 10 per cent.
Sales and marketing candidates will find their skills to be in continuing demand. For Hong Kong, candidates with the right skills have been able to command modest salary increases, particularly those with strong business development and advertising skills. Salary increases at rates of 20 per cent however have become rare.
In Hong Kong, the areas to watch in the construction and property sector are within infrastructure. Salaries overall are expected to remain stable, however some will experience a slight reduction as candidates with skills in oversupply compete for jobs. Infrastructure salaries are the exception to this due to the demand in the sector.
The Hays Asia Salary Survey also reveals some hints to candidates who are looking to secure work. Candidates need to be more flexible and prepare themselves for a more competitive recruitment process as employers seek candidates with the best fit to their requirements. The candidates themselves should also remain mindful of cultural and job fit before accepting a role.
Candidates should also look towards long-term objectives such as career progression, job security and learning and development opportunities in favor of short-term financial gain. Notably, bonuses are now more closely performance-based, and can no longer be seen as a guaranteed income supplement.
The opportunity is there for companies to reconsider contracting and temporary recruitment as an alternative to permanent recruitment where uncertainty exists. For candidates too this is a favorable option, as higher rates of pay are often available for this type of work.
Skills that will always be in demand, even in this current climate, are those of true specialists. Similarly bilingual and multilingual candidates will find that they are best placed to compete in the current market, with these skills in demand across the continent.
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