Most, or 90%, of employers in Hong Kong are concerned about employee retention when market conditions improve, according to research from Robert Walters Hong Kong.

The research also found that 85% of employers are also concerned about the shortage in talent and skills, in particular within senior and team leader levels.

Robert Walters noted that the Hong Kong market rebounded strongly in 2021. The country saw pent-up demand to start the year and hiring that would possibly have been made in 2020 under normal conditions was instead completed in early 2021, leading to a flood of employment. However, Robert Walters noted that the talent pool has started to become limited in all areas especially within the technology and financial services sectors due to demand for digitalisation, travel restrictions and higher level of emigration.

The Hong Kong financial services sector has performed strongly and firms are anxious to avoid turnover and focus on retention. Salaries are expected to increase in 2022 with the standard pay rise level of 4-5% reaching 10%. For job movers, the previous standard increment of 15% is now closer to 20%, although it can vary somewhat depending on the individual context.

Meanwhile, Robert Walters reported that companies in Hong Kong are becoming more agile with their workforce post-Covid-19 and are speeding up their transformation projects. Findings showed that 95% of tech professionals are confident about job opportunities. It is anticipated that the most in-demand technical skills in 2022 will be big data analysis, machine learning, AI and cyber security across both permanent and contract roles. For job movers possessing in-demand or niche skill sets, salary increments of 15-20% would be expected, and could be as high as 40% for some senior positions.

Robert Walters’s data also showed that 78% of professionals said that the offer of hybrid working arrangements would make them more likely to join a prospective employer.

Ricky Mui, Managing Director, Greater China of Robert Walters Group said, "Given the shortage of candidates and the increasing demand for hybrid jobs, it's expected that the competition for the best candidates will be fierce in 2022. Candidate experience will be key in attracting talent and businesses embracing hybrid workplace effectively will be recognised as an employer of choice. At the same time, having a robust equity, diversity and inclusion (ED&I) policy, as well as adopting new strategies to broaden the talent pool will ensure companies gain an edge over their competitors.”