Singapore - While 37% of employers in Singapore expect to increase their headcount in the last quarter of 2008, employers may take the conservative approach to recruitment in 2009.

The recent Hudson Report surveyed 3,000 staffing decision makers in multinational organisations, including 800 in Singapore, and found that only 4% of employers say they are looking to reduce headcount. An additional 37% expect to increase their headcount - a marked decrease from the 57% looking to hire in 2007 Q4.

However, because the survey was conducted in late August, Gina McLellan, Singapore country manager for Hudson says if the survey was conducted now, the results could look very different after the financial meltdown in the last two weeks. 

When asked why many are still optimistic about Singapore's economy, McLellan says one of the reasons is due to Singapore's GDP growth, which is still considered to be high when compared to the rest of the world. "Singapore is still seen as a strong economy and a good place to do business in," she says. China's growth projections is also another reason why the outlook for growth here seems relatively positive.

With regards to 2009 recruitment forecasts, McLellan predicts companies would take on a more conservative hiring approach - only recruiting to replace its turnover instead of growing the business.
 
The Husdon Report also found that 34% of employers in the banking sector are planning to increase its headcount, compared to 43% in Q3. McLellan says this hiring spree is mostly driven by commercial and retail banks instead of investment banks which are looking to cut back on costs and even consolidate. "The ones to watch are the tier two players who are aspiring to greater heights and probably looking to attract talent at this time. So if you look at some of the local, China and foreign banks, as opposed to big global investment banks, it is still quite a different picture."

She adds that there is still a demand for people with skill sets who work in financial regulations, taxation, compliance and financial planning. "Particularly with the tightening credit market, there is a big demand for credit risk experts. The other areas that continue to be strong are in private banking, so relationship managers and asset managers are also in strong demand," she adds.