5 in 10 employees hunt for job opportunities

Pay cuts and retrenchments could hint to the staff that the company is no longer stable.

More than half or 51% of local employees are actively looking for a new job in the next 12 months, according to a Randstad survey. This is despite uncertainties in Singapore’s labour market.

Of the 51% of respondents who intend to look for a new job, 25% said that they are looking to change their career or shift from the industry they are working in, whilst 19% said that the pandemic has resulted in them being retrenched.

In addition, 37% of the respondents stated that they are not looking for a job but are indeed open to discuss opportunities. About 12% said that they’d rather not search for one.

The report noted that even as companies in Singapore are doing everything they can to keep their workforce, professionals are still keen to change employers within their field of expertise or switch careers or industries even under such uncertain labour market conditions.

This shows that employers should also continue to meet their employees’ expectations on skills and career development, whilst focussing on company’s survival.

“Employees whose job responsibilities have been drastically altered to meet current and new demands may hence be motivated to enter new industries that are perceived to be more recession-proof or can provide a greater level of job security, such as healthcare and technology. Some may also have altruistic motivations to join frontline industries in the fight against COVID-19,” said Jaya Dass, managing director for Malaysia and Singapore at Randstad.

Meanwhile, others cited reasons related to salary for their intention to switch employers. More than one in five respondents (21%) reported taking either a temporary or indefinite pay cut or a pay freeze. About 17% also stated that they are not satisfied with their current salary.

Dass further commented that companies’ cost management measures, such as pay cuts, may result in uncertainty and lack of confidence within the workforce as employees may feel that the company is not financially stable enough to survive this pandemic.

“Therefore, to avoid being a collateral loss, some would choose to take the risk and join an employer that is seen to be more financially stable as soon as they can,” she added.

Further, the survey revealed that close to seven in 10 of respondents (69%) are willing to take on professional contract or project-based jobs given the current condition. Those who would rather wait for a permanent job opportunity cited the lack of job security (65%) and hassle of finding a new job every time a contract ends (19%) as their top two reasons for not considering a term-based role.

This showed that many are starting to perceive contracting jobs as a viable option during these trying times as it ensured income stability, at least until one is able to secure a permanent position, Dass said.

Randstad also observed that more companies have been offering term-based or project-based roles, to fulfill urgent skills and talent needs that will ensure business continuity whilst managing headcount costs as well.

“Contract roles also offer mid-career switchers a chance to get their foot in the door to gain relevant skills and experience, especially if it’s an industry or company they would like to build their career in. Given the current employment situation, fresh graduates or people who have been retrenched may want to consider accepting a contracting role as an opportunity to gain experience, as companies come to grips with the pandemic,” Dass stated.