SHRI, in conjunction with RDS, surveyed 164 companies in May 2010 to find out about their wage increase; bonus and recruitment plans in the light of the expected economic recovery as well as the actions organisations have taken or planned to drive productivity.
Due to continuing worries about the strength and sustainability of the recovery, companies are still somewhat cautious about wage increases especially in the light of impending increases in employers CPF contributions and foreign worker levy. Employees too appear to be somewhat cautious with organisations experiencing less staff turnover.
On productivity, organisations are focusing more on intangible factors like improving staff engagement programs, soft-skills training, technical and non-technical training and changing employees’ mindset to drive productivity through engagement and innovation, thereby achieving qualitative growth.
Singapore’s rising employment climate means that the remuneration will remain competitive with more and more employers choosing pay-for-performance incentives in addition to bonuses to reward employees. Organisations should continue to prioritise training and development as part of their retention strategy in order to stay competitive and attractive to key talents.