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COMPANIES URGED TO ADAPT HIRING AND RETENTION STRATEGIES TO ADDRESS HONG KONG ' S TALENT EXODUS
The Digital Salary Survey 2023 , by Robert Walters , has found that more than 80 % of employers are concerned or very concerned about a skill / talent shortage in Hong Kong , while 75 % predict the most acute talent shortage will be among mid-to-senior level employees .
Hong Kong overview
2022 was a challenging year for the Hong Kong recruitment market . It was typified by a supply-demand imbalance – the candidate market continued to shrink while many companies were trying to fill replacement and new positions .
Many mid-to-senior level professionals , who make up the core working groups , and junior staff have relocated abroad over the past few years , although the rate of departures slowed down in the second half of 2022 .
The professional services sector – which traditionally employs more expatriate professionals – has faced the biggest hit as relocating ex-pats has taken some headcounts overseas .
The tech talent pool has become limited too , as tech professionals possess skills that are transferable globally . As a result , the market was very candidate-driven ; compensation packages and titles were inflated and counteroffers became the norm .
Technology remains the bright spot for hiring in 2023
With a global recession a legitimate fear , many global banks and financial firms will put hiring plans on hold . This will alleviate some of the supply-demand imbalances we have seen over the past 18 months . Nevertheless , the demand for tech talent is expected to remain very strong across all sectors . There will be a strong demand for cloud and cybersecurity talent as companies are planning to establish security operations centres in Hong Kong .
There has been a greater emphasis on customer experience in recent years , leading to the introduction of more automation and streamlining projects and driving the demand for skilled and experienced talent across both permanent and contract roles . At the same time , the growth of e-commerce should increase demand for positions in 2023 .
Employee retention becomes key in 2023
With addressing the skills gap and talent shortage top of the agenda , companies are feeling mounting pressure to retain employees . The majority of employers ( 95 %) stated that employee retention will be a concern for their companies in 2023 , especially among managerial and seniorlevel positions .
However , only 65 % of companies have proactively put measures in place . The most adopted strategies include hybrid work policies ( 60 %), improved learning and development ( 50 %), increased wellbeing initiatives ( 48 %), promotion outside of the normal cycle ( 45 %) and pay reviews outside of the normal cycle ( 38 %).
Companies are also looking at investing in up-skilling their existing employees in agile methodologies and new technologies . x www . intelligentcxo . com
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