Given the comparatively low infrastructure setup costs, multinational companies regard Malaysia as a prime market for exploring shared service opportunities. Recruitment in Malaysia will continue to be upbeat during the year with many foreign companies expanding operations in the country to build regional presence.
Salary Survey 2015 report by Robert Walters says: “With the scarcity of domestic talent, job movers will expect at least 10%-20% salary increments, although companies may well need to pay more to secure the highest-calibre individuals. As demand outstrips supply, candidates are likely to receive counter-offers from their employers, driving salaries up further.”
For hiring managers looking to recruit and retain top-tier talent, providing career development opportunities will be vital in 2015. For senior professionals in particular, executive management programs and overseas opportunities will be important retention tools.
Managers are advised not to delay making hiring decisions when they have identified the right candidates, in order not to lose top talent. This is especially vital in Malaysia’s candidate-short employment market.
Demand for candidates in the compensation and benefits space is expected to increase further as companies seek to source and retain key talent by improving their remuneration structure in 2015.
There is, however, a clear shortage of talent in this area. Hiring managers will also continue to require professionals in talent acquisition and development, along with strategic HR business partners who can improve and strengthen employee engagement and employer branding.
See: Majority of Malaysian workforce can’t cope with GST, survey finds
As HR shifts to a function that contributes to the business, hiring managers may find that the best way to retain key talent is to give HR professionals decision-making powers as well as freedom to be creative with HR strategies.
Highlights of the Malaysian Recruitment and Salary Trends
As the market continues to feel the impact of Goods and Services Tax in 2015, we expect candidates will seek salary rises that are at least in line with inflation. In response to the impending Goods and Services Tax (GST), we anticipate general salary increments between 7-10% in 2015.
The report further stated, “We expect recruitment to remain strong in 2015. While candidates are increasingly interested in work life balance, compensation and benefits will remain the key incentive.” To secure the best professionals, employers will need to offer competitive packages and unique propositions such as stock or share options, flexible working and attractive career development plans.
Also read: Over 80% of Malaysians worry about not having enough for retirement
Image credit: wikimedia.org