Hays released the 2024 Asia Salary Guide which surveyed 2,014 skilled professionals and 832 employers from Malaysia, the survey showed that employers saw a shift towards more conservative estimates, with more companies either looking to give raises of between 3% and 6%. Employers looking to give raises up to 3% or surpassing 10% fell in comparison to 2023.
The proportion of employers anticipating no changes to salary or who anticipate giving out pay cuts also fell 22.2% of employers surveyed reflected plans to increase salaries by up to 3%, while 43.0% said they intended to increase salaries by 3% to 6%. 12.6% said they expect salaries to remain the same, which is lower than the 15.9% reported for the previous year. 64.9% of employers also indicated plans to give bonuses in 2024, compared to 66.7% in 2023.
The largest shift in employee expectations compared to last year was for raises above 10%, with expectations falling from 28.6% to 22.8%. There was also a dip in expectations for raises between 6 and 10% (19.0% to 15.3%). On the other hand, expectations for raises up to 3% rose from 14% to 19%, while expectations for raises between 3 and 6% rose from 25.3% to 29.3%. Expectations for pay cuts remained largely the same.
“In the face of subdued economic growth forecasts for the upcoming year, employers and employees are bracing for the impact this will have on revenue and overhead,” said Tom Osborne, Managing Director, Hays Southeast Asia. “The crucial factor of success lies in how companies and their workplace navigate these challenges and ongoing skill shortages”. On the hiring front, most employers in Malaysia expect permanent staff levels to stay the same, with 30.4% anticipating an increase. 15.7% plan to hire more contract staff in 2024
