Surviving the Tech Crunch

Even Pre-COVID, finding tech talent in Singapore has long been a challenge. With an increasing number of tech giants establishing a base in Singapore, and with the pandemic prompting a digital shift, demand for tech talent has intensified.

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This trend looks set to continue well into 2022 and beyond. In a Robert Walters Salary Survey 2022, 85 percent of firms are giving pay rises in the tech and transformation industry this year.

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Tech Talent Market

• Increasing minimum salary criterion aimed at attracting industry experts
• Adjustment of salaries back to pre-pandemic levels - most firms recovering from the pandemic are adjusting salaries back to pre-pandemic levels to meet industry standards, retain existing employees, as well as to attract new talent.
• Inflation could potentially lead to inflation-adjusted salary raises.
• Barriers to hire - the current talent crunch, coupled with tough work permit norms, increasingly pragmatic and tight immigration policies is exacerbating the shortage. Local companies are now looking at a minimum qualifying salary of $2,500 (Special Pass) and $4,500 (Employment Pass), with the amount to be increased to $3,000 and $5,000 by September 2022 respectively.
• Stringent border curbs - this has further led to higher hiring costs and job switches.
• Job hopping - job hopping, has further contributed to the salary premiums new hires can potentially command. Talent looking to leapfrog their careers are giving bigger weight to brand names, resulting in smaller companies having to compete with both the compensation package, and the potential for career growth to attract the right talent.

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Mitigating costs

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While the rising costs of hiring IT talent may be inevitable, there are ways companies can cushion the blow.

• Delegate workload to existing team - this may not be the most welcome move since it means added workload for a potentially stretched team.
• Find innovative ways to improve/streamline current processes.
• Explore remote hires - the cost of remote hires is generally lower. Keep in mind language proficiency and times zones when selecting remote talent to maintain strong  communication standards across your team.
• Select a reliable tech partner - maintaining and growing an in-house IT team can be costly. Finding a reliable tech partner can help “stretch” your team, provide current specialized expertise, and help the team reach their goals without the expense of a fulltime permanent hire.

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Tech partner solution 

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A tech partner can be a great alternative to adding an additional internal tech resource. If a tech partner is your solution a little preparation can really pay off.

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This is paramount - Define your business objectives and get alignment from internal stakeholders right from the initial phases of the project or campaign planning. This could prevent internal miscommunication, hence avoiding unnecessary requirement changes and scope creep.  This is especially effective when clients could gather cross team feedback, finalise requirements before sharing with their tech partner. Having a single point of contact on both ends also reduces the back and forth.

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When requirements are confirmed, only to be revised in the midst of development, it takes everyone back a few steps in the development process and impacts the timeline and budget.

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That said, when requirement changes are necessary, let your tech partner know as soon as possible. A reliable partner will understand the rationale and work with you on the best way to work around the changes with minimal impact on time and costs.

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Results are the end goal

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Ultimately, when looking for tech talent, cost is only part of the equation. Consider too, security and reliability, and look for a solid fit with your company and team’s culture. In the end substantial, needle-moving results are the end goal. Selecting a proven tech partner can be a win-win. You gain the highly specialized talent you need to ensure the success of your project without a hit to your payroll budget. 

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More than 1,000 retail real estate clients around the world trust Placewise to deliver technology solutions that meet their goals.

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Keen to explore how we can help you meet yours? Let’s talk.

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