Randstad Hong Kong’s 2023 market and salary outlook report includes key labour trends and employer insights on salaries, bonuses, hiring outlooks and talent expectations. Download the full report for more information to guide your talent attraction and workforce planning strategy in the next year.
The annual report provides employers and job seekers with the latest labour market insight and updates on salary and labour movements to guide recruitment and career decision-making.
hong kong’s talent pool tightens further
The Census and Statistics Department reported in August 2022 that the city’s total population fell by 1.6% to 7.29 million people - the steepest decline since 1961. Around 113,200 residents left the city over the past year, a 26.9% increase from the year before.
While it may seem like a small figure compared to the scale of the entire population, the dip in the total workforce number has been felt by companies.
In response to the tightening labour market, the Office for Attracting Strategic Enterprises (OASES) and a Top Talent Pass Scheme was introduced in 2022 to attract more global businesses and talent to work in Hong Kong SAR.
These initiatives, along with others announced as part of China’s 14th five-year plan, would further enhance the city’s position in aviation, innovation and technology, intellectual property as well as arts and culture. Companies are also gearing up for a surge in talent demand after border reopening - a phenomenon experienced by many countries shortly after borders reopening.
In 2023, there will still be a high demand for talent equipped with the right skill sets to support business development and expansion plans.
employers should avoid going into a salary war
Companies are feeling the pinch and finding it difficult to retain current employees and recruit new hires due to the talent exodus as people relocate to other cities for greater flexibility and job opportunities.
To attract the best talent in the job market, companies in Hong Kong SAR have entered a price war, with some offering unprecedented salary increases to secure highly skilled workers.
According to a preliminary survey conducted by Randstad Hong Kong, 1 in 4 respondents said that they expect a minimum salary increment of between 10% and 15% when they switch jobs in 2023. Another 18% of respondents want a minimum pay raise of up to 20% when switching employers next year.
However, the workforce is rather realistic and reasonable when it comes to managing their expectations. 35% of respondents in the survey said that they expect their employers to adjust and increase their salary by 5% to 10% to help manage rising cost of living and hiking inflation.
In this competitive market, employers must also evaluate their employee value propositions (EVP) to deal with their workforce challenges and attract the talent they need. HR leaders should step up their game in offering alternative benefits packages and promoting their employer brand to attract more quality talent.
an all-rounded employer brand strategy is the key to getting talent to your side
Today’s talent may be attracted to a high salary and bonus as these meet their immediate financial needs and offer them a sense of stability. However, if companies don’t provide employees with a reason to stay, they will simply go to the next highest bidder without any second thought.
According to the Talent Expectations survey, 29% of Hongkongers define work-life balance as having enough personal time to do the things they like with the people they care about. Colleagues and bosses who they enjoy working with are the reason why they enjoy coming to work as well.
Your employer brand strategy isn’t about creating the most number of touchpoints. Rather, it should focus on connecting with talent on a much more personal level to understand their challenges and expectations.
Ultimately, highly satisfied employees who feel purposeful about their job are your most valuable stakeholders. They are more productive, and they attract others who share the same values as them to want to work for the company as well.
download the randstad hong kong’s 2023 market and salary outlook report
The 2023 Hong Kong’s Market Outlook and Salary Snapshot report looks at talent analysis and new salary benchmarks in the following industries:
- Banking & Financial Services
- Accounting & Finance
- HR & Business Support
- Sales & Marketing
- Life Sciences
- Property, Construction & Engineering
- Sourcing & Supply Chain
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Our specialised recruiters partner closely with employers and talent for the perfect match with our true-fit methodology - a qualitative measurement designed to evaluate a talent’s suitability across three dimensions - job fit, boss fit and company fit. Connect with our recruitment consultants for the latest market insights and your talent recruitment needs.