Contracting emerging as a go-to hiring strategy
Businesses in Hong Kong are becoming well aware of the benefits around hiring contract workers. With slow economic growth, and organizations facing hiring restrictions are turning to contracting as a way to circumvent the restrictions and ensure that headcount remains sufficient for ad-hoc projects at various points throughout the year. We see this steady increase across various functions, particularly within Banking, Insurance, Construction, Property & Engineering. Hong Kong organizations are also looking at contracting as a way to put headcount into areas of experimentation for the business as companies move into new strategies to cope with digital disruption. In addition, contracting is also an avenue for organizations to try out specific candidates before making to decision to hire for a full time scope. It’s clear that contracting is quickly being adopted, at Randstad Hong Kong, we’ve seen an increase of contract hires by 20% in the past year. Hong Kong job seekers are also starting to become more open to contract roles than in previous years. While permanent roles are generally still preferred, job seekers are aware of the flexibility offered through contracting. Job seekers are also attracted to the ability to work on a wide range of projects from different organizations exposing them to new skillsets and cultures while they look for a job and company that truly appeals to them.
Tech role demand surges forward
Digital disruption is no longer a hot keyword to bring up in meetings, it’s very much part of the business strategy for organizations across Hong Kong who are looking to digitally transform to gain a competitive advantage over their rivals. This is why technology related roles are in high demand across various industries despite some sectors facing hiring freezes and retrenchments in other areas. We are noticing that banking sector talent are looking to join FinTech firms as many feel that it is an area of growth with the potential to make large returns in the long run should the company succeeds. In particular, technology talent in the banking sector is highly sought after as Hong Kong races to set itself up as a Fintech leader on a regional and global level. Candidates from the banking sector looking to join Fintech feel that it is an area of growth with strong potential to make large returns in the longer term if the company succeeds.
Hong Kong employee sentiment towards Chinese firms changing
In an uncertain economic landscape, Chinese organizations are expanding aggressively in Hong Kong and setting up a platform for stronger international presence. We have found that Hong Kong job-seeker sentiment towards working in Chinese firms has been changing. In particular, a strong presence come from those in the financial industry including banks and private equity firms who are looking to get involved with international transactions. These Chinese organizations in financial services have been beating global trends in hiring and are experiencing strong growth when compared to larger global banks. A few years ago, Chinese companies were considered unattractive from an employer brand perspective as job-seekers preferred looking for roles in established global brands. This mindset has started to change as job-seekers face limited job options in the current market and Chinese brands are starting to gain traction on a global level. In addition, Chinese organizations have realized the challenges they face to attract the best talent in the market and are turning to competitive remuneration packages and career advancement opportunities.