Nearly three in four C-level or HR respondents plan to expand or maintain existing headcount, while 71% of all respondents expect salary increase of 20 percent or more when changing jobs
KPMG today released its third annual Hong Kong Employment Trends Survey and Salary Outlook showing that global economic uncertainty is having a limited impact on the city’s employment market, which is buoyed by the development of the Greater Bay Area, government incentives for innovation and technology and the completion of key infrastructure projects.
Felix Lee, Head of KPMG Executive Search and Recruitment Services, says: “The dip in prospective headcount increases in the financial services sector may relate to accelerating digital transformation and the application of artificial intelligence in engaging customers and dealing with risk management.”
“The GBA is well-positioned to become a major economy and mega-metropolis which will create significant opportunities for businesses across all sectors in particular in finance, trade and professional services, for which Hong Kong is renowned,” Lee adds. “The free flow of talent should improve existing synergies and create greater opportunities.”
Recent KPMG analysis found tax incentives to be instrumental in facilitating the free movement of people within the GBA, especially for high-income individuals working within the region. In early 2019 various exemptions from China’s new personal income tax were introduced, allaying Hong Kong residents’ concerns over a reduction in post-tax income when working on the mainland.
“A number of initiatives by the Hong Kong government should go some way to alleviating concerns people have in establishing or joining a start-up,” Lee says. “And beyond Hong Kong, the GBA is an ideal stepping stone for these businesses to expand across the region.”
Michelle Hui, Director, KPMG Executive Search and Recruitment Services, says: “Remuneration factors have remained as a top motivator, however it is interesting to see that work flexibility and work-life balance are almost as important as career progression and promotion for most employees. This is something employers can emphasise more and an area where they can be more creative.”
“A better understanding of these drivers will help employers allocate resources more effectively and generate a more appealing value proposition to employees at different stages of their career,” Hui adds.
“The significant gap in salary expectations among the C-level executives could reflect the varying growth prospects for different sectors in Hong Kong,” Hui says.
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