Tech firms under pressure to raise salaries by 4.4%

Blame it on rising resignations as talents seek for better opportunities.

Singapore is not immune to the larger talent and rewards trends observed across Asia-Pacific, finds Radford study.

According to Radford, median voluntary turnover at technology firms in Singapore currently sits at 11.7%, above the 10% threshold where companies typically begin to consider special retention programs. As a result, technology companies in Singapore are responding with increased salary budgets for 2017.

In 2017, technology sector salaries in Singapore are projected to increase by 4.4%, ahead of the 4.2% increase observed in 2016.

According to Radford, technology sector companies across Asia-Pacific continue to face high levels of employee turnover despite ongoing economic uncertainty around the globe.

 Outside of Japan and South Korea, annualized voluntary turnover rates now exceed 10% in all major Asia-Pacific markets. India leads the region with a trailing 12-month voluntary turnover rate of 13.6%, followed by Malaysia at 13.0%, Australia at 12.4%, Singapore at 11.7%, Hong Kong at 11.3% and China at 10.8%.

Facing robust competition for talent, roughly two-thirds of technology sector companies in all major Asia-Pacific markets are currently pursuing normal or aggressive hiring plans- again, India leads this trend, with 13.0% of companies reporting aggressive hiring plans.