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The latest report by human resource consultancy Hudson indicate
that more firms are raising headcount in the first quarter, paying
bigger bonuses and boosting starting salaries of new recruits.
In a survey of over 400 executives across key business sectors
last November, 51 per cent of the firms forecasted increased hiring
in the first quarter - a sharp increase from the 34 per cent in the
fourth quarter of last year. Only 4 per cent of respondents said
that they will decrease headcount this quarter. This is the
greatest quarterly jump ever seen since Hudson launched report in
Asia in 1998.
Bonuses are also set to rise, with 50 per cent of employers
expecting to pay year end bonuses of more than 10 per cent,
compared to 28 per cent the previous year, while another 17 per
cent expect to pay 20 per cent in bonuses. Employers in the banking
and financial services sector plan to pay the highest bonuses,
offering substantially more than they did last year, with nearly
two-thirds - or 65 per cent - saying that bonuses will be more than
10 per cent while 35 per cent plan to give over 20 per cent.
Most businesses are also looking to pay higher starting salaries
to attract managerial talent. Some 42 per cent expect to raise
starting salaries by more than 10 per cent, while only 8 per cent
said that they will not do it.
Many companies are also developing strategies for employee
engagement and talent retention, with 29 per cent identifying
mentoring schemes and training programmes as the most valuable
measures. Companies are also increasingly optimistic about the
future, with 78 per cent of respondents forecasting that their
organisation's performance will be excellent or good this
