Enterprise
Good, critical talent can fetch better wages
Behonce Beh | 12 Jan 2018 00:30
Employees need to upgrade their skills to keep up with market demands

Employees tend to look forward to a salary increment at the beginning of the year. However, chances are they may not get any rate higher than 5%.

According to the 2017 Total Compensation Measurement (TCM) Survey study by Aon, a professional services firm, the average salary increase rate in Malaysia declined to 5% last year.

Data collected from 189 employers across Malaysia for the study showed that the healthcare, financial and telecommunications sectors continue to offer up to 5.6% salary increments, slightly higher than other sectors.

The study also reveals that the overall headcount growth within companies has remained relatively flat across all industries, with none exceeding 3%.

Following economically challenging years in 2015 and 2016, companies have adopted a more cautious approach to hiring in 2017; choosing instead to focus on improving the productivity of existing employees, rather than headcount growth.