The Singapore employment market is changing
Due to the Asian work culture focus on job longevity and stability, the contracting option has been a less popular method over permanent positions. However, over the last three to four years, we've seen contract and temporary recruitment methods slowly emerging and being utilised by a variety of employers. This was initially implemented by the banking and finance sectors and the larger MNCs. Over time, contracting has become a more prevalent hiring approach for businesses of all sizes across sectors.
This was most evident in the past 12 to 18 months. We’ve seen a shift in the recruitment level for temporary and contract staff from organisations. This can be attributed to the global credit crunch and the knock-on effect this had on staffing levels and headcount budgets in companies.
In this evolving contract market, employers are beginning to recognise the differences in attracting candidates to interim positions over permanent roles. As some benefits are only applicable to permanent staff, a 5–10% increment on the normal basic salary for a similar level permanent role have been offered to contract candidates instead. Companies have also started paying out a completion bonus at the end of the contract period to further retain candidates.
Moving into 2013, we're seeing more employers factoring in the need and showing more interest in hiring people on a temporary basis. The new wave of recruitment stems from the desire for a more flexible workforce, the increase in restrictions to hiring permanent staff and the greater availability of skilled contract staff. We explore the highlights of this approach which will be fundamentally beneficial for both candidates and organisations.