Last Updated on Thursday, 21 November, 2024 at 9:43 am by Andre Camilleri
Misco and MEA unveil key insights from the 11th Annual HR Developments Survey
Rising vacancies and increased competition for talent have driven 50% of Maltese companies to step up their employee benefits to retain top talent, according to the 11th HR Developments Survey conducted by misco.
The survey, launched this week by misco in collaboration with the Malta Employers Association, was completed in July and August 2024.
It also revealed how 43% of companies reported more vacancies than last year, with 25% of those in technical roles.
According to the survey, while 65% of companies continue to view HR as essential, this figure reflected a slight drop from the 71% reported in 2023.
At the same time, HR’s focus on staff retention remains a priority for 75% of respondents, a 5% increase over last year’s figures. But despite this focus, time and budget remain key obstacles to employee training, with 63% of companies lacking a structured management development programme.
Presenting the results at MEA’s offices in Valletta to an audience of HR practitioners, Nadine Cilia explained how according to the survey, the HR role continues to face rising challenges and obstacles.
“HR practitioners continue to face challenges such as difficulties with setting up a performance management system, diminishing HR budgets, lack of resources, lack of appreciation from top management towards the HR role and lack of empowerment of HR teams,” noted Ms Cilia.
In her presentation, Ms Cilia also explained how salary demands remains as the most important challenge faced in the HR area. This is a continuation of the trend emerging in the last two years. On the other hand, better remuneration packages offered by other employers is the main reason attributed to staff turnover. This factor was mentioned by 46% of respondents, at a similar level as last year.
“In response, many organisations have boosted compensation packages, with average salaries increasing by 4.2% over the past year. Specific sectors experienced varying rates of growth – Finance at 3.7%, Sales and Marketing at 3.8%, Legal and Compliance at 6%, and IT roles at 5.2%.
The survey also showed how notwithstanding 61% of companies continue to actively invest in attracting new talent, only 35% measure employee engagement on an annual basis whilst 30% do not measure at all.
The survey identified the top employee benefits namely subsidised meals, life insurance, childcare services, company discounts, training sponsorships, and gym memberships.
