fj - asia-pacific salary survey & market report 2016

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HR Market Report & Salary Guide 2016 frazerjones.com frazer jones asia-pacific Australia | Asia | Middle East | Europe | USA | Offshore

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Page 1: FJ - Asia-Pacific Salary Survey & Market Report 2016

HR Market Report &

Salary Guide 2016

frazerjones.com

frazer jones asia-pacific

Australia | Asia | Middle East | Europe | USA | Offshore

Page 2: FJ - Asia-Pacific Salary Survey & Market Report 2016

2 FRAZER JONES | HR IN Asia Pacific @FrazerJonesHR

IntroductionAbout this report Search methodology

Welcome to the Frazer Jones Asia-Pacific (APAC) HR Market Report & Salary Guide 2016. Frazer Jones has provided market and salary data and analysis for the Australian market since 1998 and for the Asia markets since 2012. As the remit of many senior HR professionals often reaches beyond the traditional boundaries of Australia or Asia, this report provides a full overview of differing trends, demand and salaries across the APAC region. We would like to thank everybody that completed the questionnaire – your on-going support and contribution is appreciated.

This market report is the result of in-depth qualitative and quantitative research of HR teams across Australia and Asia. The report is derived from client insight and information, and Frazer Jones’ tracking of recruitment trends and 2015 remunerations and bonuses. The report has a specific focus on Australia, Hong Kong and Singapore; however our Asia-based recruitment consultants are able to provide more detailed information on other locations across the region.

market overview

It is interesting to note that in the ever changing world that we work in, the relationship people have with their direct manager still takes precedence over everything else. It has been said that people leave managers, not companies and it would appear that in this age of increased flexible working options and technological advancements (meaning less face time with your manager!), the strength of this relationship is still the key factor in retaining staff. This is reflected in the conversations that we have with HR professionals on a regular basis. Whether a relationship has soured or was never properly established, one of the most common must-haves in their next role is a manager they can trust, respect and work collaboratively with. Whilst managers must be accountable for their leadership and communication style, HR can develop these skills in their leaders (and future leaders).

With many people leaving companies because of the relationship they have with their manager, I believe this represents a commercially strong business case for investing in leadership training. Excellent leaders will keep excellent staff. I hope that you enjoy the Frazer Jones APAC HR Market Report & Salary Guide 2016 and would welcome your thoughts and comments.

Ciaran FoleyHead of Frazer Jones, Australia E: [email protected]: +61 (0)2 9236 9090

One of the most interesting take-outs from our survey was the critically important role that line managers play in retaining staff. Across the entire APAC region, the message is loud and clear - the relationship an employee has with his or her manager is the number one reason they will stay or leave.

2 FRAZER JONES | HR IN Asia Pacific @FrazerJonesHR

Page 3: FJ - Asia-Pacific Salary Survey & Market Report 2016

Frazer Jones and Maximum Management form a global HR recruitment alliance

In January 2016, we were delighted to announce our acquisition of Maximum Management Corporation, the long established boutique HR recruitment company, in New York. This merger gives us our first office in the US and complements our global offices in the UK, Europe, Middle East, Asia and Australia. The two businesses will continue to trade under our individual names and will focus on further developing our global HR search and recruitment offering.

Having worked with Maximum Management for a number of years, we are delighted to be moving forward as one business. They share our passion for relationship driven recruitment as well as our commitment to providing the highest possible standards of engagement and delivery within the global HR recruitment market. It is fitting that we should mark our 20th year of business by establishing a unique foothold in the New York market.

Commenting for Maximum Management Corporation, founders Nancy Shield and Melissa Brophy said: ‘’We are thrilled to be part of Frazer Jones and better support our UK, European, Asian and Australian clients. This enables us to provide global recruiting leadership which the market now demands and solidifies our decade long relationship with Frazer Jones.’’

3FRAZER JONES | 2016 MARKET REPORT & SALARY SURVEY /company/frazer-jones

Page 4: FJ - Asia-Pacific Salary Survey & Market Report 2016

4 FRAZER JONES | HR IN Asia Pacific @FrazerJonesHR

Before analysing the results, it was interesting to note that 74% of respondents were female. Whilst diversity is much broader than just gender, there are numerous companies that have gender targets around increasing the percentage of female Partners/Executives/Leaders to better represent the community in general. HR teams in Australia tend to have more female than male representation and this trend looks to be continuing. Whilst hiring decisions cannot be made purely on gender, it is generally accepted that a team comprised of a mix of males and females will generally work more effectively than a team that is heavily male or female-dominated. HR appears to be struggling to attract the same number of men into the profession than it once did.

Direct managers are critically important to retaining staff. In our survey, the largest response we received as to what keeps people engaged and motivated is the relationship that people have with their direct manager.

Salaries/Bonuses

It would appear that salaries haven’t moved too much for HR professionals in 2015. 40% of respondents received between 1-3% salary increases (in line with CPI) with 27% receiving no increase whatsoever. With an additional 20% of respondents receiving a 4-7% increase, it is fair to say that 2015 wasn’t a year for large salary increases in HR. In general, this aligns with what we are seeing in the market place. Particularly at the senior end of the HR jobs market, salary increases have been minimal.

In fact with a number of senior roles either being downsized, restructured or relocated, salaries have seen a correction over the past few years. The supply of senior HR talent is high with the demand for them being relatively low. Many people who are keen to get back into the market often accept roles paying 10-20% less than their previous salary, seeing this as a better option than being out of work in a patchy market. The junior – mid level HR roles have seen more movement. Usually people at this level will move for what they perceive to be increased responsibility / a better opportunity.

The information we received around bonuses for HR staff made for interesting reading. One third of respondents were not eligible to receive a bonus, with 30% eligible to receive a bonus between 0-15% (26% were eligible to receive between 16-30%, 8% were eligible to receive between 30-50% with 1.5% eligible to receive 50% or more).

In 2015, 45% of respondents received zero bonus (with 27% receiving

between 0-15%, 19% receiving between 16% and 30%, 7% receiving between 30-50% and 1.5% receiving 50% or above).

It was HR staff with the potential smaller sized bonuses that were affected the most. Almost everyone eligible to receive a bonus of 30% and higher, did in fact get paid out at that incentive level.

Redundancies

Redundancies across HR teams in 2015 appear to have reduced in comparison to 2014/2015. 64% of respondents reported that no one in their HR team was made redundant, whilst 23% of respondents saw less than 5% of their HR team experience a redundancy over the past 12 months. Only 4% of respondents reported redundancies at rates of 11% and higher. Whether this is a reflection of a more positive outlook or the fact that many HR teams have already restructured their team prior to 2015 is open to question.

Our conversations with HR professionals would suggest that HR teams have already being reshaped and restructured, although it is noted that there are still companies that are restructuring (downsizing) large HR teams.

At Frazer Jones, we see first (and second) hand all of the above methods used by companies. A good piece of recruitment is only as good as the person (or people) responsible for running the process. All applications have to be vetted, networks need to be worked and referrals need to be contacted and responded to. Getting a piece of specialist recruitment wrong is a timely and costly business – it pays to get it right first time.

australia market overview

“Many HR teams are leaner than ever before and are being asked to produce the same levels of activity/output with less staff.

This would leave little room for a further reduction in HR staff numbers.”

Ciaran FoleyHead of Frazer Jones, Australia E: [email protected]: +61 (0)2 9236 9090

Page 5: FJ - Asia-Pacific Salary Survey & Market Report 2016

5FRAZER JONES | 2016 MARKET REPORT & SALARY SURVEY /company/frazer-jones

25% 22% 16% 8% 2% 1%26%

when recruiting for your team which of the following methods is the most successful?

Personal networking sites

RPO talent acquisition

teamOther

Professional networking

sites

Specialist recruitment

agencies

Internal talent

acquisition team

Jobs website

In 2015, did you receive a bonus?

28%

44%

19%

7%

2%

Yes, 16-30%

Yes, 30-50%

Yes, 50+%

Yes, 0-15%

No

are you eligible to receive a bonus?

30%

34%

27%

8%

1%

Yes, 16-30%

Yes, 30-50%

Yes, 50+%

Yes, 0-15%

No

what percentage increase in base salary did you

receive in 2015?

27%

No percentage increase was awarded

40%1-3%20%4-7%

5%11+%

8%8-10%

Page 6: FJ - Asia-Pacific Salary Survey & Market Report 2016

6 FRAZER JONES | HR IN Asia Pacific @FrazerJonesHR

HR has experienced a relatively positive 12 months in Hong Kong, as companies recognise the scale of the challenge faced of attracting, training and motivating a talented workforce in a competitive environment. Hiring HR professionals has been varied across a wide sphere of industry sectors with talent demand focusing predominantly on professionals within compensation & benefits, learning & development and talent acquisition. So far 2016 has witnessed a strong demand for HR business partners and HR operational generalist positions to support organisational changes and transformation. A reoccurring theme of specialisation within the HR function has been evidenced in hiring; with newly created specialist graduate and campus recruitment manager positions through to senior learning and development roles. Our survey results show that over the past 12 months, 32% of HR teams expanded their headcount. 34% of these respondents hold the position of Head of Function and 16% of these Heads anticipate expansion in their teams looking forward over the next 12 months. The vast majority of Head of Function respondents (63%) forecast their teams to the remain the size although a relatively high number of 21% predict reduction in headcount which suggests some form of organisational change and transformation is still occurring. The general opinion is that headcount will be stable with expansion largely focusing on dedicated specialists for various functions and recruitment focusing on replacement headcount.

Salaries/Bonuses

On the salary front, we have witnessed average salary increases within the 3-4% range. This range is comparable to previous years and replicated in the professional arena. Expectedly 83% of our survey respondents rated their salary above 4 in a scale of 1-5 in importance to them but interestingly over 22% of respondents did not receive an inflationary increase in salary in 2015. 82% of respondents received a bonus of some form in 2015 with 34% receiving a bonus between 16-30%. Looking ahead, salaries must be contemplated with the slow growth and market turbulence witnessed in China during Q1 of 2016 and the uncertainty it has created.

Supply and demand greatly affect salary and is critical to a company’s success in the hiring of HR professionals with an ability to sustain corporate values and deliver on talent initiatives driven by key stakeholders. For HR professionals contemplating a move; we would anticipate the greatest salary increase in the more specialised functions and in high demand areas where their personal attributes as a HR business partner or advisor can truly impact the bottom line of the business.

Employees are any company’s greatest assets and a recurring financial liability, so employee satisfaction is central to talent retention and attraction. Aside from financial reward, our survey results showed that an HR professionals ‘Direct Manager’ were of most important to them with 91% rating it above 4 in a scale of 1-5 in importance. This was followed closely with ‘Company Culture’ at 86% and ‘Potential for Growth’ at 85%. 37.5% of respondents currently work with some form of flexible working arrangement however interesting; only 55% of respondents rated flexible working arrangement above 4 in a scale of 1-5 in importance. Employee satisfaction is much more than just basic pay with reward and benefits increasingly playing a fundamental role in the challenge to attract retain and motivate staff.

The topic of languages and whether it is a pre-requisite to operate within HR teams in Hong Kong still remains contentious. Within the bulge brackets and law firms industry experience, whether sourced locally or from international markets such as the UK and Australia, has outweighed any language requirement although it remains highly sought after within the commerce and industry sectors. For remits in Mainland China, fluency in Mandarin Chinese remains a pre-requisite for manager-level hires.

Looking forward to the remainder of 2016 and into 2017, we remain confident that the demand within HR will continue.

hong kong market overview

“HR has experienced a positive 12 months in Hong Kong, as companies recognise the scale of the challenge

faced of attracting, training and motivating a talented workforce in a

competitive environment.”

Michelle JacksonHead of North Asia E: [email protected]: +852 2973 6737

Page 7: FJ - Asia-Pacific Salary Survey & Market Report 2016

7FRAZER JONES | 2016 MARKET REPORT & SALARY SURVEY /company/frazer-jones

singapore market overviewThe Singapore employment market is certainly a hot topic of discussion at the moment, and it will be interesting to see how it pans out by the end of 2016.

The Ministry of Manpower (MOM) has been strongly focused on policies to strengthen the Singaporean core and support restructuring towards a manpower-lean economy driven by productivity. This has certainly been supported by the introduction of the Fair Considerations Framework which was bought into effect in August 2014, meaning that employers need to demonstrate that they were unsuccessful in hiring Singaporeans before an Employment Pass is issued to a non-Singaporean.

In addition to this came the introduction of the Jobs Bank. This requires employers to advertise all vacancies, subject to certain criteria, in order to improve the visibility of job opportunities for local employees and to give employers better access to local talent. Employment Passes will not be issued without firms being able to demonstrate that the role has been advertised on the Jobs Bank for a minimum of two weeks, again subject to certain criteria, and has been unsuccessful at attracting the right Singaporean talent. These measures have certainly seen a reduction in the percentage growth of foreign labour hiring and it’s at an all-time low since 2011. As a result, broad base income growth for Singaporeans rose by 7% in 2015.

Supporting the Singaporean core agenda, the MOM and other government agencies will also identify firms that can improve their hiring and career development practices, particularly those that have a disproportionately low concentration of Singaporeans at the Professional, Managerial and Executive level.

Unemployment in Singapore remains low, at under 2% with job vacancies outnumbering jobseekers, making it still a very candidate driven market, particularly for Singaporeans. This is making the employment market very competitive and tougher for employers to secure their first choice candidate in the hiring process. With the focus on reducing the reliance on foreign talent, this is certainly set to continue.

In recent months, it has been widely reported that Singapore is to expect some turbulent times. Recent stock market gyrations, along with China’s economic slowdown have lowered consumer confidence and according to the MOM, redundancies are at their highest since 2009.

Unemployment in Singapore remains low, at under 2% with job vacancies outnumbering jobseekers, making it still a very candidate driven market, particularly for Singaporeans.

Sean TongHead of Frazer Jones, Asia E: [email protected]: +65 6420 0510

Page 8: FJ - Asia-Pacific Salary Survey & Market Report 2016

8 FRAZER JONES | HR IN Asia Pacific @FrazerJonesHR

Our salary survey produced some interesting results this year and regardless of the market concerns, hiring sentiment in the HR market specifically remains high. However, it is thought that these conditions are expected to take more of an effect in the latter half of 2016. Interestingly over 82% of respondents said that they expect their HR headcount to remain the same or increase (21%) throughout 2016.

The majority of responses to our survey this year were from the senior end of the market, with over 88% of respondents holding over 9 years’ experience in HR and 22% with over 21 years’ experience. This gave a valuable and broad insight into what is happening across the senior HR landscape in terms of bonuses and salaries, growth and downsizing.

Interestingly to note was the 70% / 30% ratio of female to male respondents, indicating that HR is heavily represented by female employees. This is seen across all levels of HR from entry to Group Head/ Chief Human Resources Officer (CHRO), yet more female representation at the CHRO level than we’ve seen before.

Hand in hand we have seen an increase in flexible working; with over 62% of respondents who are currently in some kind of flexible working arrangement, interestingly more than two thirds of those respondents are women.

Salary increases were seen across 80% of respondents in 2015, however only 76% are expecting to receive an increase in 2016.

In 2015, 91% of respondents received a bonus pay-out, out of which 45% received over 16% and 10% over 30%. Further to that, 93% of respondents believe that they will receive a bonus in 2016.

70% of respondents reported that no one in their HR team were made redundant in the past year, whilst 18% saw less than 5% of their HR team experience a redundancy over the past 12 months. Only 5% of respondents reported redundancies at rates of more than 11%.

hr in asia at a glance

in 2015, did you receive a bonus?

37%

Yes, 0-15%

34%

Yes, 16-30%

7%

Yes, 31-50%

4%

Yes, 50%+No

18%

are you currently on a flexible working arrangement?

YES

38%

NO

62%

Page 9: FJ - Asia-Pacific Salary Survey & Market Report 2016

9FRAZER JONES | 2016 MARKET REPORT & SALARY SURVEY /company/frazer-jones

who is primarily responsible for talent acquisition in your company?

36%

HR staff

8%

RPO talent acquisition

team

7%

Specialist recruitment

agencies

5%

Line Manager

Internal talent acquisition team

44%

how many years hr experience do you have?

8%

4%

5 to 8

1 to 4

20%13 to 15

24%9 to 12

22%16 to 20

22%21+ years of HR experience

in 2015, the hr permanent

headcount in your team:

17%

Decreased

51%

Remained the same

32%

Increased

Page 10: FJ - Asia-Pacific Salary Survey & Market Report 2016

10 FRAZER JONES | HR IN Asia Pacific @FrazerJonesHR

what percentage increase in your base salary did you receive in 2015?

what percentage increase in your base salary do you expect to receive in 2016?

52% 48%

21% 22%

19% 18%

5% 9%

1% 21%

2% 2%

6-10% 6-10%

11-15% 11-15%

16-20% 16-20%

20+% 20+%

1-5% 1-5%

0% 0%

have any members of your team been made redundant in 2015?

2%Yes, more than 20%

3%Yes, between 11% and 20%

71%No

18%Yes, less than 5%

6%Yes, between 6% and 10%

what is your gender?

I'd rather not say

31% 68% 1%

Page 11: FJ - Asia-Pacific Salary Survey & Market Report 2016

11FRAZER JONES | 2016 MARKET REPORT & SALARY SURVEY /company/frazer-jones 11FRAZER JONES | 2016 MARKET REPORT & SALARY SURVEY /company/frazer-jones

COMMERCE & INDUSTRY

AUD - 000’s Administrator/ Coordinator

Advisor/Consultant Manager Senior Manager Director/Head of

FunctionHR Generalist 45–70 70-90 90-150 150-200 220+

Recruitment 60-75 75-90 90-150 150-180 180+

Learning & Development 55–65 65–90 90-140 140-190 190+

Compensation & Benefits 60–70 70–100 100-160 160-220 220+

ER / IR 65–75 75–90 90-150 150-220 220+

OD / Talent / Change Management 60–80 80–100 110-160 160-220 220+

HRIS / Analytics 60–70 70–100 100-150 150-190 190+

Payroll 50–60 60–90 90-140 140-180 180+

salary tables - australia

FINANCIAL & PROFESSIONAL SERVICES

AUD - 000’s Administrator/Coordinator

Advisor/ Consultant Manager Senior Manager Director/Head of

FunctionHR Generalist 60-75 75-110 110–160 160-230 230+

Recruitment 60-75 75-90 90–150 150-190 190+

Learning & Development 60-75 75-90 90–140 140-190 190+

Compensation & Benefits 60-70 70-100 100–160 160-230 230+

ER / IR 65-75 75-90 90–150 150-220 220+

OD / Talent / Change Management 60-80 80-110 110–160 160-220 220+

HRIS / Analytics 60-70 70-100 90-150 150-200 200+

Payroll 50-60 60-90 90-140 140-190 190+

Note: The figures refer to a total package which is inclusive of superannuation.

Page 12: FJ - Asia-Pacific Salary Survey & Market Report 2016

12 FRAZER JONES | HR IN Asia Pacific @FrazerJonesHR

salary tables - hong kong

COMMERCE & INDUSTRY

HK$ - ,000

Non-Manager Manager Level Director Level Senior Director/Head of Function

Entry Level or Graduate to 5 years’ experience 5 to 8 years’ experience 7 to 12 years’ experience 15+ years’ experience

HONG KONG REGIONAL HONG KONG REGIONAL HONG KONG REGIONAL HONG KONG REGIONAL

HR Generalist / Business Partner 240-420 264-456 420-700 600-1,000 780-1,200 900-1,800 1,500+ 1,800+

Recruitment 240-420 264-456 420-700 600-1,000 780-1,200 900-1,800 1,300+ 1,800+

Learning & Development 240-420 264-456 450-700 600-1,000 780-1,200 900-1,800 1,300+ 1,800+

Compensation & Benefits 240-420 264-456 450-700 600-1,000 780-1,200 900-1,800 1,500+ 1,800+

FINANCIAL & PROFESSIONAL SERVICES

HK$ - ,000

Non-Manager Manager Level Director Level Senior Director/Head of Function

Entry Level or Graduate to 5 years’ experience 5 to 8 years’ experience 7 to 12 years’ experience 15+ years’ experience

HONG KONG REGIONAL HONG KONG REGIONAL HONG KONG REGIONAL HONG KONG REGIONAL

HR Generalist / Business Partner 300-400 360-500 560-900 600-1,200 1,100-1,200 1,200-1,560 1,500-2,800 1,800-3,500

Learning & Development 300-400 320-480 560-900 700-1,200 780-1,200 1,200-2,200 1,200-2,500 1,800-3,000

Compensation & Benefits 300-400 400-600 560-900 870-1,200 780-1,200 1,440-2,200 1,400-2,800 1,800-3,000

Recruitment 300-400 400-600 560-900 700-1,200 780-1,200 1,200-1,800 1,400-3,000 1,800-3,500

Payroll/HRIS 300-400 280-400 480-700 720-1,100 900-1,200 1,000-1,200 1,200-1,800 1,800-3,000

Global Mobility 300-400 280-400 420-900 780-1,000 900-1,200 1,140-1,200 1,200-2,000 1,620-2,000

Page 13: FJ - Asia-Pacific Salary Survey & Market Report 2016

13FRAZER JONES | 2016 MARKET REPORT & SALARY SURVEY /company/frazer-jones

COMMERCE & INDUSTRY

SG$ - ,000

Non-Manager Manager Level Senior Manager Level

Senior Director/Head of Function

Entry Level or Graduate to 5 years’ experience 5 to 8 years’ experience 7 to 15 years’ experience 15+ years’ experience

SINGAPORE REGIONAL SINGAPORE REGIONAL SINGAPORE REGIONAL SINGAPORE REGIONAL

HR Operations 42-54 45-66 60-96 66-102 120-160 180-200 220+ 250+

HR Business Partner 45-60 48-72 72-120 78-132 180-200 200-240 220+ 250+

Recruitment 42-54 48-66 66-108 72-120 140-180 170-200 200+ 220+

Learning & Development 42-54 48-66 66-108 72-120 120-180 180-200 220+ 280+

Compensation & Benefits 42-60 48-72 96-132 120-160 140-200 180-220 220+ 280+

salary tables - singapore

FINANCIAL & PROFESSIONAL SERVICES

SG$ - ,000

Assistant / Executive Manager / AVP Director / VP Senior Director/

Head of Function

Entry Level or Graduate to 3-5 years’ experience 5 to 8 years’ experience 7 to 15 years’ experience 15+ years’ experience

SINGAPORE REGIONAL SINGAPORE REGIONAL SINGAPORE REGIONAL SINGAPORE REGIONAL

HR Operations 44-66 54-72 70-100 90-150 130-180 180-250 200+ 260+

HR Business Partner 46-80 72-100 100-140 110-160 160-220 220-260 230+ 260+

Recruitment 44-68 54-72 70-100 90-150 130-180 170-220 200+ 220+

Learning & Development 46-80 72-100 100-140 110-160 160-220 220-260 220+ 250+

Compensation & Benefits 46-80 72-100 100-140 110-160 160-220 220-280 220+ 280+

Payroll/HRIS 44-68 54-72 70-100 90-150 130-180 180-250 220+ 280+

Global Mobility 46-80 72-100 100-140 110-160 130-150 180-250 220+ 250+

Page 14: FJ - Asia-Pacific Salary Survey & Market Report 2016

14 FRAZER JONES | HR IN Asia Pacific @FrazerJonesHR

australia contacts

Ciaran Foley E: [email protected]

Jessica McMullen E: [email protected]

Danny Moore E: [email protected]

Charlotte Perkins E: [email protected]

Ben Jenkins E: [email protected]

Narelle KinsmanE: [email protected]

Brian HardimanE: [email protected]

Cathy JordanE: [email protected]

SYDNEY - +61 (0)2 9236 9090

MELBOURNE - +61 (0)3 8610 8450

Michele Beale E: [email protected]

14 FRAZER JONES | HR IN Asia Pacific @FrazerJonesHR

Page 15: FJ - Asia-Pacific Salary Survey & Market Report 2016

15FRAZER JONES | 2016 MARKET REPORT & SALARY SURVEY /company/frazer-jones

asia contacts

Michelle Jackson E: [email protected]

Charlie Jiang E: [email protected]

Jackson Chan E: [email protected]

SINGAPORE - +65 6420 0515

HONG KONG - +852 2973 6737

Sean Tong E: [email protected]

Fiona Nesbitt E: [email protected]

Eugene Wong E: [email protected]

Chris Lui E: [email protected]

Sheldon Toh E: [email protected]

15FRAZER JONES | 2016 MARKET REPORT & SALARY SURVEY /company/frazer-jones

Page 16: FJ - Asia-Pacific Salary Survey & Market Report 2016

16 FRAZER JONES | HR IN Asia Pacific @FrazerJonesHR

2015 proved to be an excellent year for HR and Human Capital Consulting professional in the UK. Driven by strong confidence, and solid economic growth data, organisations across all sectors have focussed more and more on their ability to attract, retain and develop employees. This has been felt directly and indirectly within HR functions with a need for them to ensure their employers keep pace with a shrinking employee talent pool, and stay competitive in the reward and remuneration of their existing employees.

Another key indicator of this positivity is the continuing demand for fee earning HR professionals within Human Capital Consulting firms. During the last year we have worked across a range of global, mid-sized and boutique consulting firms who are looking to grow their businesses with additional HC fee earners. 2016 is continuing in the same way with the early part of the year seeing no let-up in the number of opportunities available outstripping the pool of talent interested moving.

Looking forward to the rest of 2016 we feel confident that this pace and demand within the HR/HC space will continue, we also see changes in the area of D&I, where inclusion is being seen as a stronger and more dynamic partner to diversity. Finally the relentless advancement of technology and how Artificial Intelligence may impact the workplace is also starting to filter in to the conversations we are having with board level HR professionals, what this space.

It’s been an interesting year for the Middle East as the region steadily comes to terms with lower revenues generated from the sale of its abundant supplies of oil & gas and the relatively strong US dollar to which many regional currencies are pegged. Whilst a strong dollar benefits companies who generate profit from the region to send Europe for example, it does albeit probably temporarily, make it expensive for those companies looking to set up or invest in the region with comparably high payroll costs. Hospitality, aviation and high end retail industries that rely heavily on incoming tourists have had to become more competitive.

Companies operating in the oil & gas and periphery industries have had to right size this year and we have seen large reductions in their respective HR departments (notably talent acquisition teams). The sector is a traditionally well paid one with very good expat packages and as such other sectors have struggled to find some financial common ground and acquire talented individuals from well-developed HR models. On a positive note, the population in the region is still growing, especially across pharma, healthcare, FMCG and education which have been relatively strong.

Strong HR professionals in the region and those from abroad that have been well schooled in best practice HR environments remain sought after, providing they can evidence a pragmatic approach to assisting our client organisations in developing their HR functions to the next level.

The US market remains positive with GDP growth rate predicted to remain between 2% and 3% and the unemployment rate is down on 2015 and predicted to remain constant for the next three years. The Bureau of Labor Statistics said 88% of all occupations will experience growth in 2016 with the majority in Healthcare and Construction followed by tech/scientific positions. Some questions remain as elections loom but the overall sentiment is one of general stability and growth. The US market has seen an extremely busy start to the year for us with a double digit increase in vacancies in comparison to 2015.

We continue to see strong demand for HR professionals at HR Manager / Business Partner level at the $140,000-$160,000 base salary level. With demand for Talent Management, Learning and Talent Acquisition positions continuing to increase and the demand for Reward professionals at all levels remaining very strong. Key sectors where we have seen significant activity include Consumer Goods, Technology, Media and Professional Services (Consulting and Legal).

Clients have highlighted to us some of the trends they see in HR for the year ahead. With more than 3million baby boomers set to retire and more than a quarter of millennial workers to become managers succession planning and a new generation of leadership development are key on the agenda. Several well-known organisations have done away with performance reviews and real-time feedback is gaining attention. Big Data remains a hot topic with organisations rethinking their approach to Talent Acquisition and they move HR to ‘Mobile’ to engage and communicate with their workforce.

2016 should prove an interesting year for the HR profession as organisations are forced to rethink how they work and implement initiatives to stay in the game, let alone ahead of it.

The economic outlook for many of the major European nations is becoming more positive and hence the legal sector in general has been very active. HR within the sector across continental Europe is very varied. The market is dominated by American and British firms and some major local firms. A great number of law firms have no or very basic HR offerings. On the flip side, especially Anglo/American law firms are very advanced in terms of their HR management. The key European HR leadership roles for these firms are often based in London and regional roles in hub locations such as Frankfurt, Amsterdam and Paris. Major HR related trends have been diversity and talent management, including recruitment.

For 2016 we foresee further investment in the HR functions with the main focus on talent attraction and talent retention. Diversity will be an integral part of this strategy. The implementation of shared service centres and centres of expertise will also become a trend in continental Europe for the years to come. The gap between firms with advanced HR management and firms with more administration focused HR set ups is widening and the latter are at serious risk of losing their competitive edge in the employment market.

RECRUITING hr SPECIALISTs AROUND THE WORLD

Brad LawHead of Frazer Jones USA E: [email protected]: +1 (212) 867-4646

Simon StephensHead of Frazer Jones Middle East E: [email protected]: +9714 448 7775

Michael IllertPartner E: [email protected]: +49 (0)211 2479 1130

James BakerDirector E: [email protected]: +44 (0)20 7415 2815

UK europe

usamiddle east

16 FRAZER JONES | HR IN Asia Pacific @FrazerJonesHR

Page 17: FJ - Asia-Pacific Salary Survey & Market Report 2016

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