HRSP2013_HKTrends (1)

HR Service Providers Directory 2013 5

HR Trends in Hong Kong Manpower Statistics and Pay Adjustments

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

6

5

4

3

2

1

0

Turnover rateVacancy rate

The Hong Kong Institute of Human Resource Management (HKIHRM) regularly conducts surveys among members in order to keep HR professionals abreast of the latest trends in the labour market and HR practices in Hong Kong. The following are key findings of some of HKIHRMs recent survey projects, covering manpower trends and pay adjustments.

Manpower Trends in Hong Kong

Facing a turbulent global economy, employers are becoming more prudent in hiring. For Q2 2013, hiring intentions slowed down across different sectors. The latest labour market situation was reflected by the findings in the Quarterly Survey on Manpower Statistics First Quarter 2013 conducted by the HKIHRM. A total of 101 companies participated in the Q1 2013 (January to March) survey conducted in May 2013, covering 144,190 employees. Key data obtained from the survey include hiring intentions, staff turnover, job vacancy, position growth/cut and staff absence rate. Key findings of the survey are as follows:

Staff Turnover and Job Vacancy [Chart 1]

Percentage Trend (weighted average)

Staff 3.5% 0.3percentagepointlowerturnover than Q4 2012 (3.8%) 0.2percentagepointhigher than Q1 2012 (3.3%)

Job 4.3% 0.4percentagepointlowervacancy than Q4 2012 (4.7%) sameasQ12012(4.3%)

Chart 1 - Turnover and Vacancy Rates (Q1 2003 Q1 2013)

Staff Turnover

Topthreesectorswiththehighestturnoverrate:[Chart 2] - retail (7.5%) - construction/property development/real estate (6.2%) - community/social/personal services (5.0%)

Intermsofemployeelevel,clerical/frontlinestaffrecordedthe highest turnover rate (3.9%, a continuous trend since Q2 2007). [Chart 3]

Vacancy

Topthreesectorswiththehighestvacancyrate:[Chart 2] - retail (12.0%) - community/social/personal services (6.3%) - construction/property development/real estate (5.3%)

Intermsofemployeelevel,clerical/frontlinestaffrecordedthe highest vacancy rate at 4.7%. [Chart 3]

Chart 2 Turnover and Vacancy Rates in Q1 2013 (by Business Sector)

3.54.3

1.52.3

2.24.4

2.53.7

3.94.7

Overall

Top / Senior Management

Middle Management /Non-Managerial Professionals

Supervisory / Officers

Clerical / Frontline

1 2 3 4 5

Turnover rates Vacancy rates

3.54.3

7.512.0

6.25.3

5.06.3

4.72.3

3.53.1

3.52.8

3.24.3

2.83.8

2.31.9

1.21.3

3.25.1

4.93.3

Overall

Retail

Construction / Property Development / Real Estate

Community / Social /Personal Services

Business Services /Professional Services

Telecommunication

Wholesale, Import / Export, Trading, Distribution

Financial Services / Banking / Insurance

Engineering

Manufacturing

Transport / Services allied to Transport (Storage)

Diversifed Conglomerates

Other Business Activities

2 4 6 8 10 12 14

Turnover ratesVacancy rates

Chart 3 - Turnover and Vacancy Rates in Q1 2013 (by Employee Level)

1.73

2.04 2.05

1.82

2.07

2.90

3.57

2.37

2.99 2.98

3.66

2.33

2.973.08

3.23

2.66

2.85

4.22

4.54

3.08

3.94

4.364.23

2.0

1.56 1.63

2.72

2.292.54

3.403.60

2.70

3.50

4.30

4.30

2.40

5.0 5.0

1.35

1.29

3.80

3.503.30

1.61

1.60 1.511.83

2.49

1.93

2.42

2.95

2.482.51

2.85

2.79

3.09

2.71

3.10

3.51

3.97

3.93

4.60

3.90 3.77

2.39

1.89

1.631.85

2.29

3.06

3.80

3.90

3.70

5.205.20

4.70

3.20

4.30 4.40

4.10

4.70

4.30


Position Growth/Cut

ThenetgrowthinnewpositionsduringQ12013was0.9% (weighted average), 0.1 percentage point higher than Q4 2012 and Q1 2012 (both at 0.8%).

Absence Rate

Among the 101 participating companies, 69 companiesprovided data on staff absence. In the survey, "absence" is defined as unscheduled absences of one or more than one day including sick leave (paid or no paid), emergency leave and casual leave.

The absence rate inQ1 2013was1.5%(weighted average), 0.6 percentage point lower than Q4 2012 (2.1%) and 0.4 percentage point lower than Q1 2012 (1.9%).


Topthreesectorswiththehighestnetgrowthinjobpositions: - diversified conglomerates (2.2%) - business services/professional services (2.0%) - financial services/banking/insurance (1.6%)

In terms of employee level, middle management/non-managerial professionals recorded the highest position growth rate at 2.0%.

Topthreesectorswiththehighestabsencerate: - other business activities (2.9%) - manufacturing (2.3%) - engineering (2.2%)

In terms of employee level, the clerical/frontline staffrecorded the highest absence rate at 1.9% (a continuous trend since Q3 2009).

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2005 2006 2007 2008 2009 2010 2011 2012 2013

2.5

2.0

1.5

1.0

0.5

0

-0.5

New Positions Positions Cut Net Growth

0.72 0.72

0.880.79

0.89

1.11

1.67

0.86

1.19

2.06

0.92

1.15

1.30

1.010.91

0.36 0.39

0.62 0.67

0.82

1.071.00

1.40

0.80

1.30

1.00

1.60

0.70

1.00 1.00

2.20

0.90

1.10

-0.09-0.22

-0.12

-0.31 -0.31

-0.11 -0.09 -0.09

-0.39

-0.22-0.09 -0.04

-0.18-0.12

-0.39 -0.35 -0.42

-0.27

-0.11

-0.30-0.23

-0.10 -0.10 -0.10 -0.10-0.20 -0.20

-0.10-0.20

-0.10

-0.50

-0.10-0.20

0.630.50

0.76

0.480.58

1.00

1.58

0.77 0.80

1.84

0.83

1.11 1.12

0.89

0.52

0.01 -0.03

0.35

0.56 0.52

0.840.90

1.30

0.70

1.20

0.80

1.40

0.60

0.800.90

1.70

0.800.90

1.1

0.9

2.3

1.5

0.7

-1.0 -0.5 0 0.5 1.0 1.5 2.0 2.5

New PositionsPositions Cut Net Growth

Overall

Top/Senior Management

Middle Management / Non-Managerial

Pofessionals



-0.2

-0.5

-0.3

-0.2

-0.2

0.9

0.4

2.0

1.3

0.5

3.0

2.5

2.0

1.5

1.0

0.5

0

1.451.34 1.32 1.33 1.31

1.521.66

1.53 1.58 1.58 1.57

1.38 1.37

1.62 1.66 1.64

1.961.87 1.81 1.80

1.70 1.70

1.90

1.70

2.001.90 1.90

1.70

2.50

2.10

1.50

Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 2005 2006 2007 2008 2009 2010 2011 2012 2013

1.5

2.3

2.2

1.9

1.8

1.6

1.5

1.2

1.1

1.1

1.1

1.2

2.9

Overall

Manufacturing

Engineering

Transport / Services allied to Transport (Storage)Community / Social /

Personal ServicesTelecommunication

Retail






Other Business Activites

0 0.5 1.0 1.5 2.0 2.5 3.0

0 0.4 0.8 1.2 1.6 2.0

Overall

Top/Senior Management

Middle Management /Non-Managerial Pofessionals



1.5

0.6

1.1

1.3

1.9

1.1

2.7

1.8

1.7

0.9

0.6

0.2

1.0

0.3

1.0

2.3

1.7

Overall




Telecommunication

Retail



Engineering

Manufacturing




-4.0 -3.0 -2.0 -1.0 0 1.0 2.0 3.0

New PositionsPositions CutNet Growth

-0.2

-0.7

-0.2

-0.2

-0.4

-3.3

-0.1

-0.5

0.9

2.0

1.6

1.5

0.9

0.6

0.2

0.1

0.0

-0.1

-2.3

2.2

1.2


Hiring Intentions for Second Quarter of 2013

Among the 101 participating companies, 97 companies provided data on their hiring intentions for Q2 2013.

Hiring % of Trend Intention Companies (higher or lower than Q1 2013)

increase hiring 22.7% 6.3 percentage points lowerremain hiring asof Q1 2013 57.7% 2.6 percentage points higher

freeze hiring 17.5% 4.4 percentage points higher

reduce hiring 2.1% 0.7 percentage point lower

Hiring intentions for Q2 2013 (by Business Sector)


By business sector (of those that provided sufficient data for analysis), companies projecting relatively higher pay increases are found in construction (6.1%), followed by property development/management (5%), engineering (5%) and non-governmental organisation (5%) sectors.

Pay Trends in Hong Kong

According to the HKIHRM 2012 Pay Trend Survey - Follow-up Survey on 2013 Forecasted Base Pay Adjustment, an average base pay adjustment of 4.4% was forecasted by companies having their pay review during January to April 2013.

Base Pay Adjustment Forecast in January 2013

Among the 72 surveyed companies, 46 of them, employing 49,615 employees, had their base pay adjustment during the period January to April. All 46 companies indicated that they would have an overall budgeted pay increase. The forecasted average base pay adjustment by all these companies is 4.4%(weighted average), 0.2 percentage point lower than the forecast of 4.6% captured in October 2012.

In terms of employee numbers, all employees could expect to receive a base pay increase. There is no indication of any zero or negative base pay adjustment.

Comparison between Original and Latest Forecasted Base Pay Adjustments

51 participating companies responded to the question on whether they had revised their base pay adjustment forecast in 2013. Over half of the respondents (55%) kept their original forecast. 11.7% raised their forecast while 21.6% lowered their forecast.

Reasons for Revising Base Pay Adjustment Forecast

The top four reasons for making a change in the base pay adjustment forecast are uncertainties and risks in the business environment (53.3%), market pay adjustments (53.3%), worldwide economic downturn (26.7%) and competitors pay adjustments (26.7%).

Remark: Executive summaries of the "Quarterly Survey on Manpower Statistics First Quarter 2013" and "HKIHRM 2012 Pay Trend Survey - Follow-up Survey on 2013 Forecasted Base Pay Adjustment" are available in the Members Area of HKIHRM website: www.hkihrm.org. To order the full reports, please contact HKIHRM Research and Development Department:Email: [email protected]: (852) 2837 3815 Fax: (852) 2881 6062



Telecommunication





Manufacturing

Engineering

Retail



10 20 30 40 50 60 70 80 90 100

42.9 57.1

33.3 11.1 55.6

33.3 66.7

20.0 80.0

16.7 83.3

14.3 85.7

20.0 6.7 46.7 26.6

7.7 53.8 38.5

100.0

20.0 20.0 60.0

33.3 66.7

50.0 16.7 33.3

Overall

Banking

Financial Services

Construction

Property Development/Management

Engineering

Hotel

Manufacturing

Shipping/Terminals

Trading

Retail

NGO

Others

1 2 3 4 5 6 7 8 of Adjustment

4.4

3.8

4.0

6.1

5.0

5.0

4.0

4.0

4.4

4.4

4.1

5.0

4.7

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

6

5

4

3

2

1

0

-1

Base Pay Adjustment for the YearBase Pay Adjustment Forecasted for the Year

Increase Hiring Reduce Hiring Freeze Hiring Remain Hiring as of Last Quarter

-0.1 -0.20.3

1.7

2.4 2.83.9

0.61.9

4.2 4.5

0.60.1

0.0

1.0

2.4

3.44.0

3.5

1.8

3.3

4.74.4

HRSP2013_HKTrends (1)

Documents

Transcript of HRSP2013_HKTrends (1)