Hiring in Human Resources: Agile HR talent to be in high demand in 2023

Mohammad Nordinie, Manager of Human Resources in Robert Walters Kuala Lumpur.

As major markets experience growth due to company expansions in Malaysia, strong HR talent were in high demand in 2022.

“Companies were willing to offer higher-than-average salary packages, while trying their best to retain talent with counteroffers, salary increments, promotions, and bigger portfolios. Many organisations also offered greater flexibility in workplace arrangements, such as the option to work from home,” explains Mohammad Nordinie, Manager of Human Resources in Kuala Lumpur.

Read on as Nordinie shares his expectations about the labour market and hiring trends for HR professionals in 2023.

HR roles and specialisations sought after in 2023

In 2023, candidates with experience in system implementation will be in high demand. Nordinie explains that a lot of organisations are going through digital transformation, in turn catalysing transformation and automation within the HR function.

“On the back of tech transformation, many organisations are collecting data on various systems and need talent that can analyse this data to deduce trends crucial to organisational success,” he shares. “This includes analysing hiring trends such as demographic ratios within teams, turnover rates, talent groomed in-house for key positions versus external talent hired for critical positions.”

Companies will also be seeking HR talent with strong business acumen and are able to merge talent conversations to meet business needs, adds Nordinie.

The impact on staff retention rates and well-being has been significant since the start of the pandemic and lockdown in Malaysia. Nordinie shares, “Organisations have realised how important it is to keep employees engaged to improve attrition rates and increase motivation levels; hence, there will be a continued push towards hiring HR professionals with the capabilities to drive stronger mental health and employee engagement initiatives in 2023.”

There has been a shift in the industry as HR moves from a silos function to one that incorporates cross-functional collaboration. “This drives the demand for talent who are agile, flexible, and open to be involved in cross-collaboration projects to help shape progression within HR teams,” adds Nordinie.

Experience in shared services, talent, learning and organisational development will similarly be in high demand.

Progression, communication, and engagement key to talent retention and recruitment

Drive employee engagement, ensure transparent organisational policies, and promote a positive work culture to better retain talent. 

Managers looking to retain and recruit talent in 2023 will need to ensure growth prospects are made clear to existing employees as well as potential candidates. Companies are advised to provide better platforms for learning and ensure clear communication on career progression, shares Nordinie. 

Companies should ensure transparency in organisational policies and promote a positive work culture, while driving employee engagement initiatives and relooking at benefits to better retain existing talent.

“This could come in the form of flexibility in hybrid work arrangements or fixed allowances,” adds Nordinie.

Salary increments expected amid talent war

Nordinie shares that increments had risen in 2022, as companies battled to secure top talent. “For 2023, we expect around 25% increments for candidates changing jobs, but in certain cases of candidates being in niche industries or bringing to the table highly desirable skillsets, it could be even higher.”

Find out more

Request access to our 2023 Salary Survey to benchmark salaries and to find out more about the latest hiring and talent trends for Human Resources professionals in Malaysia.