Rapid global hiring: how Singaporean businesses can thrive in challenging economic times

Inflation rates and uncertain macroeconomic conditions are affecting the planning of many growth-focused organizations in Singapore. As a result, HR teams are increasingly under pressure to respond.

But when unemployment rates are low and there’s a shortage of highly-skilled talent, recruitment can be a real challenge. The question on many companies’ lips is the same: how can you find and attract top performers — and maintain a sustainable budget?

In this article, we’ll explain how you can take advantage of international employment in uncertain economic times, without compromising your budget.

Why should your company go global?

There are numerous reasons why hiring abroad can help your business grow, such as:

Access to a wider talent pool

A globally distributed team allows your business to reach beyond local talent limitations. According to the Remote’s recent Global Workforce Report, 60% of decision-makers noted an increase in both the quantity and quality of applicants when they opened roles to international candidates. For Singaporean companies, this means no longer being confined to the local talent pool and, instead, having the ability to hire the best from anywhere in the world.

Significant cost savings

International hiring can also be more cost-effective. Many businesses report reduced labor costs and increased retention, which in turn decreases the need for frequent hiring cycles. According to the report, 69% of employers find that employee retention has improved with a distributed model, mitigating the substantial costs associated with turnover.

A more diverse workforce

Remote’s report also found diversification to be a key driver for many businesses. A more diverse workforce allows you to gain knowledge and insights into new markets, and ensures a wider range of perspectives, experiences, and ideas for problem-solving. It also reduces the risk of biases and oversights.

Easier market expansion

For Singaporean businesses looking to expand globally, having team members in different regions can provide invaluable local insights and facilitate easier entry into these markets. The presence of team members across various time zones can also enhance customer service and support processes, providing a competitive edge in global markets.

Implementing a global hiring strategy

Of course, hiring abroad comes with challenges. But with the right planning and knowledge of what to avoid, you can recruit internationally in a successful and cost-effective way. Here are some key tips:

Look outside saturated talent markets and explore emerging hubs

Hiring in saturated technology hubs like San Francisco, London, and Tokyo is expensive and hyper-competitive.

Instead, look for prospective hires in underserved talent markets, such as Kolkata, Manila, and New Taipei City. There are many skilled professionals in areas like these, many of whom are unable to showcase their skills because of where they live. Hiring these individuals is a great way to access elite global talent while keeping headcount costs manageable.

Avoid overspending on offices when hiring talent abroad

Many employers are still figuring out the best approach to distributed remote work, and are unwilling to give up office space. However, these companies are stretching their budgets in an area where they may not need to.

Hiring abroad doesn’t have to mean setting up new offices. Adopting a remote-first model and implementing a remote working culture can save you significant amounts of money, and help you build a more dynamic, productive, and autonomous workforce.

Consider, too, that growing numbers of experienced professionals are actively seeking remote roles so that they can live in their local community, and avoid higher living costs. In Remote’s report, this was the number one reason cited by remote employees for why they had taken their role.

Don’t open your own entities — use an EOR instead

In a similar vein, you can save serious amounts of time and money by working with an employer of record (EOR). 

An EOR acts as the legal employer of your international hires, and manages their payroll, benefits, and day-to-day HR needs. It also ensures that you’re fully compliant with all local employment and tax laws, and enables you to hire abroad in just days.

This completely removes the need to set up your own entities in other countries, which can have a significant impact on your ability to grow. According to Remote’s report, 25% of businesses found that the entity opening process took ten to 12 months, with large ongoing maintenance costs.  

An EOR is often more cost-effective, more flexible, and allows you to scale far more quickly.

Outsource your global HR needs

According to Remote’s report, 42% of companies use multiple software systems to manage their HR processes, and an alarming 11% are using manual spreadsheets.

This is bad enough for domestic HR management, but when hiring in multiple locations — and taking on the additional complexities this generates — it’s quicker, easier, and more cost-effective to use one centralized global HR platform, like Remote’s.

This instantly removes several of the key barriers of international hiring, allowing you to manage payroll and benefits, and fully comply with all relevant laws and regulations.

Take advantage of global hiring

Global hiring is a proven way to secure top talent, navigate uncertain economic shifts, and grow your business — all while staying within your budget constraints.

If you work with the right global HR and EOR partner, you can onboard new hires in days, pay and manage them quickly and easily, and even potentially save thousands of Singaporean dollars in operating costs.

To learn more, read the full Remote report.