By Jeremy Au Yong

EMPLOYERS planning to hire will outnumber those looking to shed workers in the third quarter of the year, according to a survey.

This marks a turnaround in hiring sentiments by Singapore bosses for the first time this year, said global human resource consultancy Manpower Inc.

Of the three surveys the consultancy has done so far to gauge hiring sentiment this year, this is the first to show more employers planning to hire rather than fire.

The poll of 697 employers shows 74 per cent intending to maintain the status quo. What is significant, though, is that 12 per cent of the bosses surveyed intend to raise their headcount against the 7 per cent looking to cut staff.

This works out to a net employment outlook of 5 per cent for July to September, a figure that reflects hiring sentiment.

Though the net figure is modest compared to the 37 per cent recorded in the same period last year before the financial crisis hit, it marks a sharp about-turn from the first half of the year.

Manpower Inc's surveys of the first two quarters showed the net employment outlook buried deep in negative territory.

In fact, it was minus 43 per cent in the second quarter, the bleakest showing since the firm started its survey in Singapore in the third quarter of 2004.

The optimistic outlook this time is driven mainly by a big swing in hiring sentiment in the service sector, transport and utilities, plus wholesale and retail trade.

These three sectors have more employers looking to hire than fire compared to the other four sectors polled. But even among the four, which include finance and manufacturing, fewer of the companies say they plan to ask their workers to go.

Singapore is not the only labour market showing signs of picking itself up. Of the eight countries and territories surveyed in the region, four others also chalked up positive net employment outlook. They are Australia, China, India and Taiwan.

However, human resource experts interviewed yesterday were cautious, saying it was still too early to tell whether the worst was over.

Manpower Inc's country manager Philippe Capsie agrees.

'This is the first time that the hiring outlook is improving this year. Hence, it is still uncertain for us to predict if we have hit the bottom or things will get worse, as we do not have the trend,' he said.

In fact, he raised the possibility of more layoffs. 'We should always prepare ourselves well for a possible second wave of retrenchment.'

He attributed some of the optimism - especially in retail, services and transport - to events such as the Formula One night race in September and the upcoming opening of the shopping mall Ion Orchard.

And if demand is being propped up by one-off events, some warn that the good news may not last.

Said Singapore National Employers Federation executive director Koh Juan Kiat: 'Our own study is not yet ready, but my reading of the situation is the increase is short term.'

This article was first published in The Straits Times.