There’s good news on the horizon for Hong Kong’s IT workers as research by Robert Half reveals 100% of Hong Kong CIOs plan to attribute salary increases.
- 100% of Hong Kong CIOs plan to attribute salary increases to an average of 20% of their IT staff in the following 12 months, with the average salary increase for Hong Kong office workers expected to be 7.9%.
There’s good news on the horizon for Hong Kong’s IT workers as new independent research commissioned by specialised recruiter Robert Half reveals 100% of the surveyed CIOs in Hong Kong plan to attribute salary increases to an average of 20% of their technology staff in the next 12 months, with the average salary increase expected to be 7.9% - which is well above the Hong Kong year-on-year average wage increase of 3.8% across all industries .
Adam Johnston, Managing Director of Robert Half Hong Kong said: “As companies increasingly adopt IT-focused agendas to push their businesses into the future, the demand for highly skilled IT professionals to implement innovative projects and new technologies has increased. In a market characterised by a severe shortage of skilled IT staff, this supply-demand imbalance has placed upwards pressure on salaries for IT professionals, well above the national wage growth.”
“Salary acts as a primary motivator for working professionals and the city’s IT workers are acutely aware of their market value – hence the risk for employers to see their top performing employees leave the organisation if they are offered a more attractive salary package elsewhere.”
“To retain top talent, it’s important for employers to not only offer a competitive remuneration package, but to also diversify their incentives. Additional perks, such as flexible work hours, additional leave and training opportunities are highly attractive to IT workers who are looking for more work-life balance and professional development.”
About the research
The annual study is developed by Robert Half and was conducted in June-July 2017 by an independent research firm, surveying 75 CIOs/CTOs in Hong Kong. This survey is part of the international workplace survey, a questionnaire about job trends, talent management and trends in the workplace.
- 99% of Hong Kong CFOs have hired an employee that did not meet expectations, primarily because of underqualified candidates (48%), a mismatch of skills (39%) and candidates found to be lying on their CVs (28%).
- 41% had to let the employee at hand go, while 33% respectively re-started the recruitment process and partnered with a staffing agency to secure a replacement.
- Employers cite increased workload for colleagues (53%), increased stress on colleagues and managers (39%), and higher recruitment costs (33%) as the biggest consequences of a bad hire.
New independent research commissioned by specialised recruiter Robert Half shows the majority (99%) of Hong Kong CFOs have hired an employee that did not meet expectations, and more than one in three (37%) took just two weeks to discover that they have hired the wrong person.
According to the study of 150 CFOs, 37% typically realise within a fortnight that a new hire is not meeting expectations. The most common reasons given were underqualified candidates (48%), a mismatch of skills (39%) and candidates found to be lying on their CVs (28%).
What to do with a bad hire?
When asked what steps they took to address the poor hiring decision(s), 41% of CFOs say they terminated the employee contract, whilst 33% respectively re-started the recruitment process from scratch and partnered with a staffing agency to secure a replacement. Close to one-third (31%) of finance employers decided to deal with the matter internally by looking for an internal vacancy the candidate would be better suited for and 30% developed a training program to develop the employee’s skills to the desired level. Still less than one in four (23%) adopted a ‘wait and see’ approach to see if the employee’s performance would improve.
The cost of a bad hire
Hiring the wrong person for the job can significantly impact the organisation. The top three consequences of a bad hire according to finance employers are increased workload for colleagues (53%), increased stress on colleagues and managers (39%) and higher recruitment costs (33%). Other cited negative consequences include increased workloads for managers (27%), lost productivity (26%) and low staff morale (23%).
Bad hires can be highly costly for companies, though many Hong Kong companies struggle with accurately calculating the cost of hiring the wrong person. While 11% say they don’t track these costs, almost half (47%) fail to compile all the data in a single overview. Almost three in 10 (29%) say some costs are not accurately measurable and 9% admit they have not looked at doing it. Merely 3% say they do not find it challenging.
Adam Johnston, Managing Director of Robert Half Hong Kong said: “Businesses go to great lengths to find the right candidate, but the cost of not hiring an adequate employee can be significant. Whether organisations decide to terminate their employment or invest in additional training, it will impact the company financially and can cause significant disruption and stress to the existing workforce, indicating the importance of getting it right.”
“While some factors, such as cultural fit, attitude, or even the credibility of candidates’ qualification or experience, can be challenging to account for in an interview; an experienced interviewer and a rigorous hiring process can prevent a wrong hire to take place, such as by asking the right questions, thoroughly testing skills and meticulous reference checking. Employers would benefit from reviewing their hiring policies to ensure they strike the right balance between efficiency and rigour,” concluded Adam Johnston.
About the research
The annual study is developed by Robert Half and was conducted in December 2017 by an independent research firm, surveying 150 CFOs in Hong Kong. This survey is part of the international workplace survey, a questionnaire about job trends, talent management and trends in the workplace. >
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