What to do amidst hiring freezes in Singapore

It has been reported that Singapore firms are implementing hiring freezes in Q4 of this year.

There are a wide variety of reasons that can influence the hiring decisions of firms, ranging from forward requirements – in other words, their view on what talent they’ll require in the coming months – through to how well-engaged their staff are, and what staff retention levels are like.

There can certainly be external factors that influence hiring decisions, whether these stem from market conditions or opportunities, or to the wider availability of talent in the market. One thing’s for sure – there are always shortages of some types of staff, and there is always a level of hiring activity in organisations of all types.  

The global market conditions certainly have an effect on the local market conditions, too. It’s no secret that both the US and the EU are facing challenges in their economies; Singapore being an international hub (and despite being part of the Asia economic powerhouse) is affected by global trends.

There are certainly cyclical elements to the hiring plans of all organisations, which run in line with some of the cyclical elements in running businesses, but I would say that the effects of this cycle are more pronounced than in previous years.  

Those organisations that are proactive in resource planning tend to have smoother hiring cycles where there isn’t as much reactive hiring – they’ll be focusing on the medium to long term, consolidating their labour force, and ensuring that they’re engaging their HR and talent teams to proactively source talent ahead of requirement, so when key projects or opportunities arise, the right people are in the right place to deliver immediately.

They’ll also actively seek ways of ensuring their best talent remains with the organisation through internal mobility and project schemes.

Whilst the short-term intent of a hiring freeze is to cap costs for a fixed period, it provides organisations the ability to match up their resource requirements with their existing talent pool.

As I’ve mentioned above, although an external hiring freeze may be effective in the short term, there is always the requirement to have talent available for deployment into critical projects and to ensure that there is sufficient flexibility and scalability within the organisation to be able to rapidly respond when there are further opportunities.

Forward-thinking organisations are using this time – where there is reduced focus on external hiring, or hiring people through staffing agencies – to look at their own internal workforce and ensure their best and brightest talents are sited at the most effective places within the organisation.

To fully harness the potential of employees, employer branding is crucial to keep the organisation moving forward.

Employer branding activity can’t be considered something that you scale up or scale back in response to market conditions, and likewise retention is an activity that all organisations should be investing in.

A strong employer brand attracts strong employees, those who can deliver real results for an organisation. And a retention programme ensures that the institutional knowledge and critical skills remain within the organisation, where they can be deployed to best advantage.   

Singaporean organisations have been eager to build their employer brands and to look to longer-term trends in the market, and align to these to their recruitment strategies to the larger part.

Many are cautious, and that’s understandable, but there does need to be a balance between being conservative in uncertain times, and remaining competitive when there are opportunities.

In terms of keeping employees happy – there are many ways to reward and recognise staff in a way that engages them and makes them proud to be part of your organisation, and frequently these are overlooked because of the perceived costs.

Awards, rewards and recognition – for instance, ‘Team of the Month’ where members in the team get taken out for lunch by the CEO – are simple and effective methods to recognise the hard work that people put in, and to let them know that their efforts are appreciated – and these initiatives don’t require financial reward.

It doesn’t take a lot to say thank you to staff – whether this be through normal communications, such as emails and face to face conversations, or in more demonstrative ways, like small gifts and general recognition.