Over Half of All Singaporean Employers Confident About 2020 Growth
High Level of Business Confidence
Although 2019 was marked by various economic challenges such as the US-China trade war, Singapore’s business environment remains buoyant as a study by recruitment firm shows that 55% of Singaporean employers cited high levels of confidence in their business growth prospects going into 2020.
The top reason for high business confidence in Singapore’s business environment is the current economic climate with 57% of the 228 business executives surveyed stating it as a factor in the study. The second reason, as stated by 54% of the respondents, is companies’ access to suitable talent. The third reason, as stated by 50% of the respondents, is business growth and greater market opportunities.
Increased Hiring and More Jobs
Employers were also asked about their recruiting intentions for permanent employees in 2020. Four out of 10 (or 40%) of IT and finance business leaders say they would increase their headcount by adding new permanent positions to their teams, while another 40% expect to retain staff levels and concentrate on filling vacancies.
The report also added that amid a steady increase in the number of temporary positions created in the professional sector in Singapore, businesses are now prioritizing filling temporary vacant roles, instead of increasing their headcount.
The study found that that 29% of Singaporean Chief Information Officers (CIOs) surveyed said that they will add new temporary positions to their teams in 2020, hence supporting the fact that technology will remain a key driver of the contingent labour market in Singapore and continue to shape the business environment.
Additionally, in a survey of 630 employers in Singapore, US-based recruitment firm ManpowerGroup Singapore found that 13 per cent of them were ready to expand their payrolls for the January-March period in 2020, while 5 per cent intended to cut them, and 79 per cent anticipated no change. This signals a steady business environment although the firm’s country manager warns that employers drawing up broader recruitment plans for the next quarter must be prepared to change them in response to changing market conditions.
Organizational consulting experts estimate that real salary hikes of 3.6 per cent will occur in 2020, up from 3 per cent in 2019. Singapore’s economic outlook thus continues to look positive as the economy welcomes 2020.