Stable job market for Hong Kong in new year

Key Survey findings: (Source: Michael Page Employment Index report Q1)

• Companies expecting to increase headcount in Q1 steady at 37%.
• Majority of recruitment (65%) will be in revenue-generating roles, an increase of 21% from the previous quarter
• 38% of surveyed employers plan to increase contract and temporary staff

19 Dec 2011: The outlook for Hong Kong’s employment market remains steady heading into the new year according to findings in the latest Michael Page Employment Index, with 37% of surveyed companies planning to increase staff numbers in the first quarter and a further 56% keeping headcount level.

While there is a general confidence in the domestic economic outlook, the majority of companies (65%) expect recruitment activity to be in front-line areas such as sales and account management. This result is a significant increase on the previous quarter findings of 44%, indicating that companies are looking to invest in revenue-generating roles to ready their business for future growth.

“There is some positive sentiment in the Hong Kong job market but most demand is expected to be seen within the commercial sector given the sense of nervousness that exists within the banking and financial services markets,” says Mr. Anthony Thompson, Managing Director of Michael Page, Hong Kong and Southern China

“Employers are mindful of the events in Europe and the United States which may potentially impact the domestic market, and there is some negative sentiment around this. The longer these events carry on, the more caution there is among companies,” Mr. Thompson says.

Demand for contract and temporary staff is also expected to be relatively healthy in the first quarter of 2012. Some 38% of surveyed employers are planning to increase their contract and temporary headcount, balancing the need for additional resources and the fluctuating global economic environment with a flexible headcount.

“While we are expecting to see an increase in headcount in Q1, companies are indicating they are likely to take a conservative approach with their hiring intentions based on the situation in international markets. A flexible workforce enables companies to respond quickly to changes in the economic climate,” Mr. Thompson adds.

Staff retention is also expected to be a continuing issue in Hong Kong into the new year based on the report findings, with 31% of surveyed employers expecting staff turnover will rise and 37% indicating that talent attraction and retention will be the key business challenge for their business – an increase from 20% last quarter.

 

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