Two-thirds of firms expect to lose staff in 2013: ECCT
By Joseph Yeh ,The China PostTAIPEI, Taiwan -- Taiwan's recruitment market is expected to face a brain drain in 2013, with a survey released yesterday showing that nearly two-thirds of local employers anticipate their workers will look for jobs in other Asian countries.
January 23, 2013, 12:01 am TWN
According to the report released yesterday in Taipei by professional recruitment consultancy Michael Page International, 69 percent of employers surveyed said they are worried about losing local talent in 2013.
“The number is much higher than we find in other parts of the world,” said Dan Chavasse, Michael Page International's managing director for North Asia, during a press conference.
The majority of survey respondents (67 percent) identified China as the preferred destination for departing Taiwanese workers, Chavasse said, adding that Hong Kong and Singapore are also among the most popular locations.
The reason for the expected brain drain is that Taiwan's workforce is highly mobile and, even with some continued challenging economic outlooks in other parts of the world, the Greater China region has a high demand for Taiwanese talents.
Also, salary levels in Taiwan are on average lower than in some other Asian countries, prompting many Taiwanese professionals to seek opportunities overseas, Chavasse added.
The mobility of Taiwan's workforce is likely to make the country's existing professional skills shortage more pronounced. Fifty-eight percent of respondents said they are expecting a skills shortage over the next 12 months.
Salary Level to Increase 3-4%
The professional level shortage could place pressure on salary levels locally, with the survey revealing that 44 percent of employers said that salaries in 2013 will rise above Taiwan's inflation level, which stands at around 2 percent, according to the report.
The majority of respondents (80 percent) will base salary increases in 2013 on performance, while most (41 percent) are likely to award an average increase in the range of 3 to 4 percent, it added.
Other measures will need to be taken as well, including nonfinancial incentives such as career development opportunities and work-life balance options, the report said.
The survey results released jointly by Michael Page International and the European Chamber of Commerce Taiwan (ECCT) covers an outlook of the domestic recruitment market in 2013.
It was based on a survey of over 1,000 local companies, mostly with international operations.
This is the first time the international recruitment company released a salary and employment forecast for Taiwan.