The job market in Taiwan has encountered notable challenges in 2023 due to the uncertainties caused by global recession. Companies thus embraced a conservative approach, emphasising cost-control strategies, which has led to layoffs, hiring freezes, prolonged interview processes, and an increase in the number of layers of approvals and discussions before extending offers to potential candidates.

In 2024, persistent challenges such as geopolitical risks, supply chain restructuring, and economic uncertainties in China and the US continue to pose hurdles. Nevertheless, there is an expectation of a gradual macroeconomic recovery driven by factors like the projected interest rate cut, the completion of inventory adjustments, and the resurgence of market demand. In light of the macroeconomic conditions, the job market in Taiwan is expected to undergo a recovery in 2024, according to John Winter, Country Manager at Robert Walters Taiwan.

Read on to find out more about John’s expectations for Taiwan’s hiring market in 2024.

Job market forecasts gradual recovery with continued emphasis on cost-control strategies

While 2023 posed significant challenges for the job market in Taiwan, 2024 is anticipated to bring about a slow recovery. However, cost-control strategies will continue to be prioritised. Robert Walters Taiwan predicts longer interview processes and more discussions before extending job offers.

Driven by cost considerations and in response to senior-level departures and downsizing, companies are actively recruiting junior and mid-level candidates to address talent gaps. Recognising the scarcity of talent among these roles, companies are focusing more on hiring and nurturing young professionals.

Generalisation of roles in market and cross-industry, cross-country talent flow

The talent deficit arising from departures and downsizing at senior levels in 2023, coupled with the worldwide shortage of specialized skills, may present difficulties for companies striving to fill positions, especially those demanding expertise in emerging technologies and niche skill sets. To response the challenge of talent shortage, a notable increase in cross-industry movements and a heightened demand for candidates returning from overseas. There is a discernible shift towards a preference for generalised roles. At the same time, there is a growing demand for generalised roles, where employers are more inclined to hire individuals who possess a wider range of skills and experiences instead of seeking specialised roles. This allows companies to fill multiple roles with a single hire, maximising their resources and addressing the talent shortage issue.

High technology talent demand in server, data centre and automotive experiences 

Despite significant layoffs and hiring freezes in Taiwan's tech industry due to the global recession in 2023, Taiwan is expected to maintain its leading position in the technology sector, driven by emerging applications such as AI, green energy, and smart networking.

According to Robert Walters Taiwan, the technology job market is dynamically responding to trends in AI, high-speed computing (HPC), and electric vehicles (EV). Companies are actively seeking professionals with expertise in server and data centre technologies, along with a background in automotive experiences.

Non-AI engineers are expected to be adept at utilising AI productivity tools like ChatGPT. This reflects that the broader integration of AI technologies across various sectors.

AI and digitalisation to lead talent demand

The shift towards AI is accelerating organisations’ digitalisation progress, thereby increasing the demand for professionals skilled in AI application, digital tool implementation, data analysis, and digital transformation. Individuals possessing a profound understanding of constructing and deploying AI models are particularly sought after in the job market.

John Winter, Country Manager of Robert Walters Taiwan highlighted,

It reflects the increasing recognition of the potential of AI applications across industries.

Advice on talent attraction and retention

Attracting and retaining talent has become a top priority for companies operating in Taiwan. Professionals highly value certain attributes in an employer, such as the importance of excellent compensation & benefits, inspiring colleagues & culture, and flexible working modules.

John Winter, Country Manager of Robert Walters Taiwan highlighted,

To attract top talent, organisations need to 'sell' their benefits, flexibility arrangements, career development, and support framework to prospective candidates and current employees alike.

This underscores the critical role that a holistic and appealing work environment plays in attracting and retaining top talent in Taiwan's competitive job market.

Marginal salary growth while the recruitment market slowly recovers

In 2024, a gradual recovery is anticipated in 2024. Job movers can expect a potential salary increment of 10-20%, while the average pay rise for employees is expected to be 2-5%.

In the commerce market job movers can anticipate a salary increment ranging from 12% to 20%, and the job movers in technology sector, the expected salary increment ranges from 10% to 20%. 

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