KUALA LUMPUR: Employees and job seekers in Malaysia have ranked “attractive salary and benefits” as the most important consideration when seeking for an ideal employer, according to Randstad.
The recruitment agency also highlighted that women ranked “attractive salary and benefits” more important than men. This could be attributed to the nation’s efforts to boost the economy by ensuring that more women are joining and re-entering the workforce.
Among the attractive sectors for employees to work for are oil and gas, and transportation and logistics.
Randstad Malaysia country director Ryan Carroll said with unemployment rates below four per cent, the country is operating at full employment, indicating that companies are competing against each other for the best talent.
“This year’s results have also confirmed that Malaysians are increasingly placing more importance on ‘work-life balance’, indicating that employers should start offering progressive initiatives to help employees be healthier and more productive at work,” he said in a statement today.
Commissioned by Randstad and conducted independently, the global study is the most representative employer brand research that measures the perception of the country’s largest commercial employers (by workforce size) and unlocks drivers of employee motivation.
“The Employer Brand Research provides a comprehensive year-on-year analysis of the workforce trends and public’s perception of the employer brand to help companies formulate their attraction and retention strategies,” he added.
The Employer Brand Research captured the views of 3,308 employees and job seekers in Malaysia between the ages of 18 and 65.
The research revealed that almost seven in 10 employees and job seekers in Malaysia said ‘attractive salary and benefits’ is the number one must-have criteria for their ideal employer, followed by ‘work-life balance’ (49 per cent) and ‘career progression’ (40 per cent).
The study showed employees’ expectations of having an ‘attractive salary and benefits’ have increased by five per cent this year (from 63 per cent in 2017).
“This upward trend suggests that employees and job seekers in Malaysia might be prioritising salary to meet the higher cost of living and as a security buffer due to the potential uncertainties around the local economic and political landscape,” it added.
The research also noted women are more likely to negotiate for an equal pay as an effort to narrow the gender pay gap, which is still prevalent in the country.
“Employers should always determine the salary based on market benchmarks, as well as the potential employee’s skills, experience and knowledge, instead of historical salary data which are often influenced by old biases and inequalities.”
The research stated that employees’ expectations on ‘work-life balance’ in Malaysia have increased steadily since 2016 to 49 per cent this year.
Employers also start recognising and investing in work-life balance initiatives and policies to appeal to job seekers who want more than financial remuneration when choosing a potential employer.
Although having ‘attractive salary and benefits’ is the number one criteria that employees in Malaysia look for in an ideal employer, the report revealed that most common reason employees chose to leave their current company due to lack of career progression opportunities.
“Out of the 37 per cent of respondents who said that they plan to leave their current employers, 44 per cent cited ‘limited career path’ as the key reason, followed by ‘insufficient compensation’ (41 per cent) and ‘work-life balance issues’ (31 per cent).”
The research also suggested that employees in Malaysia understand that they need to stay competitive to maintain their employment status, as companies continue to undergo digital transformation and business restructuring.
“Six in 10 employees are ‘open and flexible to change’ at work to ensure their employability and this indicates that they are adaptable to changes in job responsibilities and are willing to embrace new technology to help them be more productive. This is followed by upskilling (49 per cent) and ‘working flexible hours’ (45 per cent).”