By UMA SHANKARI

DESPITE an uncertain outlook for businesses here, a new survey shows that employers in Singapore are cautiously optimistic, with 57 per cent of hiring managers forecasting headcount growth over the next 12 months.

By contrast, only 7 per cent expect to decrease staff numbers, according to the Michael Page International Salary & Employment Forecast for Singapore. The remaining 36 per cent of employers here plan to maintain headcount.

'An increasing number of foreign multinationals are setting up regional operations in Singapore and industries such as healthcare and alternative energy continue to grow,' said Tulika Tripathi, Michael Page's director for Singapore. 'While the global credit crisis has had an impact on recruitment activity in certain sectors such as banking and financial services, demand for quality candidates remains strong.'

The survey focused on six sectors - accounting and finance, sales and marketing, human resources (HR), property and construction, procurement and supply chain, and financial services.

The findings revealed that there is an increased emphasis on the strategic value of the HR, procurement and supply chain, and sales and marketing functions. Their contributions to business growth is generating strong demand for experienced professionals with specialist skills, Michael Page's report noted.

And although there has been a general slowdown in recruitment activity across the banking and financial services industry, companies continue to actively hire in sectors such as asset management, private banking and alternative investment, the report said.

'Singapore continues to be an attractive destination for expatriates and there has been an increase in the number of finance professionals relocating to Singapore from the global finance hubs in the US and UK, which have been hardest hit by the credit crunch,' noted Michael Page.

Employers in certain sectors are more bullish than others. The survey found that the bulk of employers in the property and construction (75 per cent) and procurement and supply chain (74 per cent) sectors plan to increase headcount.

In the property and construction sector, despite recent increases in the cost of capital having an impact on some new projects, many have already commenced or are in development, which will ensure that demand for talent continues in the short to medium term, said the report. 'Development or project managers with a solid understanding of both the commercial and operational aspects of running large scale projects are highly sought after.'

Likewise, the global slowdown is expected to drive greater investment in the procurement function to reduce costs and in the supply chain to streamline operations and improve efficiency.

Michael Page also found that employees are slightly more cautious about changing jobs due to global economic uncertainty and they are evaluating their options carefully before moving.

'We encourage candidates to maintain realistic expectations of the market in the coming year and look at their long-term career path and potential roles, rather than focus purely on salary increases which are likely to be moderate compared to previous years,' said Ms Tripathi.

The survey was completed by about 500 employers and 1,000 employees here.

This article was first published in The Business Times on December 09, 2008.