Photo (file) - Online search for jobs
While online hiring in July 2016 across Singapore and the Philippines' IT sector has seen growth, Malaysia's IT recruitment remains on the decline.
This is according to the online recruitment platform Monster's Employment Index (MEI), which records monthly hiring activity across industries and occupations including data from the IT sectors.
Sanjay Modi, managing director, Monster - APAC and Middle East, said Malaysia has reported the steepest annual decline at -29 percent year-over-year in July 2016, falling further from the -5 percent reported between June 2015 and 2016.
Modi said the demand for hardware, software and telecom professionals has shown increased growth in the Singapore and Philippines markets. Malaysia has been the only market that registered a decline in activity for IT professionals in July.
Singapore remained in the lead of the three SEA markets, with a 14 percent year-on-year growth in hiring activities in the IT, Telecom/ ISP and BPO/ITES industry. This sector also takes lead across all industry sectors in Singapore in July. Meanwhile, the Philippines reported a 9 percent annual growth in the same space, an increase from the 4 percent reported between June 2015 and 2016.
Photo - Sanjay Modi, Managing Director, Monster - APAC and Middle East
He said that the online recruitment of software, hardware and telecom professionals in Malaysia recorded -48 percent year-over-year decline in July 2016 - once again the only market to register a decline.
The role remains the worst performing occupational group in the market in July, said Modi.
The Philippines reported the steepest growth among the three markets, at 23 percent year-over-year. This is a slight increase from 22 percent year-over-year reported in June. Singapore has also seen marginal growth, reporting a 12 percent year-on-year increase in the demand for these professionals.
Key Malaysia tracker takeaways:
- Malaysia experienced a -17 percent year-on-year decline in e-recruitment activity in July 2016
- Hospitality sector had the strongest growth at 4 percent, while the BFSI sector reported -36 percent
- Hospitality & Travel jobs reported the biggest annual growth in hiring at 13 percent, while Software, Hardware, Telecom professionals remained the least in demand at -48 percent
Advice to Malaysian employers
When commenting to Computerworld Malaysia on factors behind previous recent declines in Malaysian IT recruitment, Modi has said: "A rise in operational costs and the reduction of government spending thanks to the slump in oil prices, has prompted companies to review their operations and seek alternative cost-effective methods - including company layoffs and company relocations - to cope with the gloomy economic outlook."
"This has, in part, driven talent to look abroad for job opportunities, while companies are also shifting over to other markets, such as the Philippines, due to more affordable operational costs," he said.
Modi's advice also included a comment that while hiring activities were in decline, "Employers in Malaysia should focus on the upskilling of local talent as a means to increase employability, productivity and efficacy in business."
"This is more important than ever as recruitment activity wanes, and employers would be wise to ensure their long-term business growth plans take into account the need to develop the career skills of their workforce," he said.
The MEI is a monthly gauge of online job posting activity, based on a real-time review of millions of employer job opportunities taken from a representative selection of aggregated career websites and online job listings.
Sign up for CIO Asia eNewsletters.