SINGAPORE, Aug. 23 (Xinhua) -- Up to 40 percent of surveyed businesses in Singapore expect to expand hiring in the next 12 months, while 12 percent of the companies intend to reduce staff, according to a report issued by the Singapore Business Federation (SBF) on Thursday.
The growing hiring intention results from the optimism in business outlook, according to the SBF National Business Survey manpower and wages edition.
The report shows that 27 percent of the surveyed enterprises expect the economy to improve in the next 12 months, 3 percentage points higher than those with pessimistic expectations.
However, manpower cost is the top challenge for 75 percent of businesses. Fewer businesses plan to increase salaries compared to 12 months earlier.
Tightened foreign workforce policies are also impacting businesses. Up to 46 percent of the companies are enhancing recruitment of local workers, 35 percent are outsourcing to third-party contractors, and 29 percent indicate they will delay business expansion plans.
The survey drew responses from 796 companies across all major industries. Of the companies, 82 percent were small and medium-sized enterprises, and the rest were large enterprises.■
