34% of them look forward to a 6% pay hike.
Amidst the tight labour market, Singapore employees are expecting their employers to raise their salaries by up to 6%, the 2017 Hays Asia Salary Guide revealed.
According to the study, there still seems to be a disconnect in the salary expectations of Singaporean workers and what employers are offering. Around 11% of employers will award more than 6% increases, whereas 34% of candidates surveyed in Singapore are expecting more than 6%. On average, however, most employers in Singapore plan to award salary increases from between 3% to 6%.
“Employers need to balance the need to remain competitive on salary to attract new talent while managing salary budget for existing staff carefully. While employees’ salary expectations are fairly modest in Singapore, tensions could arise if salaries for new hires move up too fast,” says Christine Wright, Managing Director of Hays in Asia.
Meanwhile, across all Asian countries surveyed, 85% of employers said they provide staff benefits in addition to salaries and bonuses. Health/medical remains the most commonly offered benefit, followed by life assurance, a car allowance, pension, housing allowance, and club or gym membership.
This year, 66% of employers are thinking of awarding bonuses to all employees, while 25% are intending to award bonuses only to some workers.
The study also revealed that 96% of employers in Singapore are still struggling to find the skilled individuals they need.
“The ability to attract and retain the best talent always provides a company with a competitive advantage, but in 2017 with skill shortages persisting and significant changes and challenges on the horizon, it is more important than ever,” Wright noted.
She added, “Recruitment and retention of talented employees will undoubtedly be one of the biggest challenges facing employers this year, and heightens the need for a review of recruitment policies and procedures in the midst of a war for top talent."
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