Randstad – the world’s leading human resources solutions agency, released their 2023 Job Market and Salary Trends Report to provide employers and job seekers with new talent insights and salary benchmarks in Malaysia.
Fahad Naeem, Country Director at Randstad Malaysia said, “As we enter 2023, we expect this trend to continue, albeit at a slightly slower pace and with a greater focus on specialised roles outlined in our market outlook report. Companies will see success in their hiring strategies only if steps are taken to manage new talent expectations and upskill the local workforce.”
“Many global companies are cutting back on recruitment activities because of record-high inflation to focus on budgetary controls. However, some may be shifting their sights to Malaysia as part of their business transformation and restructuring, which will create new job opportunities for the local talent.”
Randstad Malaysia 2023 Job Market and Salary Trends Report
The 2023 Job Market and Salary Trends report anticipates talent and skills developments in four pinpointed industries:
- Technology – Adopting a more prudent recruitment and workforce management approach, driving talent demand in cloud computing, cybersecurity, artificial intelligence, the Internet of Things (IoT), virtual reality (VR), and blockchain.
- Manufacturing – Demand for technical and commercial talent continues as organisations push their I4.0 digital transformation forward, in automation, digitalisation and experiences.
- Construction – Commercial property and infrastructure developments will create more high- value skilled jobs for the local workforce, which may be slowed down by the persistent skills gap.
Commenting on how employers should approach talent attraction and recruitment in 2023, Naeem said, “Change is crucial to thriving in Asia’s rapidly evolving business landscape. With people serving as the backbone of any organisation’s success, business leaders learn to address employee expectations for more effective talent attraction and management efforts.”
Managing salary expectations in the New Year
The rising cost of living and hiking inflation in Malaysia has made an impact on people’s ability to finance essentials and lifestyles. There is also pay and career stagnation throughout the COVID-19 pandemic when companies froze hiring, salary increment and bonus payouts in 2020.
In response to the rising rates, companies are reviewing and revising their salary benchmarks to retain and attract new talent. Depending on the industries, we can expect to see 3% to 20% salary adjustments, with high-growth industries like technology and manufacturing making more significant changes to their internal salary structures.
The 2023 Job Market and Salary Trends Report features the 2023 revised salary benchmarks of the most in-demand jobs.
Employers urged to close the widening skills gap
One of the key hiring challenges that many employers face is the lack of skilled talent in Malaysia.
Randstad’s Workmonitor survey revealed that 85% of Malaysians said that it is important for employers to offer learning and development training programmes, but only 36% of respondents said that they received new training in the past year.
The same survey highlighted that 61% of employees in Malaysia want to develop their technical skills so that they can be more capable and productive.
To uplift the total Malaysian workforce, employers need to invest in upskilling their workforce. It is the employer’s responsibility to work with experts or improve the capabilities of their internal learning and development team to upskill their employees through relevant and useful training courses.