Modern Australian

Salaries in Thailand Projected to Increase by Nearly 5% in 2024, Aon Survey

BANGKOK, THAILAND - Media OutReach Newswire - 8 February 2024 - Aon plc (NYSE: AON), a leading global professional services firm, has revealed that salaries in Thailand are expected to increase in 2024 according to the firm's 2023 Salary Increase and Turnover Study.



While salaries in Thailand are expected to increase by 4.9 percent, salaries in Singapore and Malaysia are expected to stay flat at 4.0 percent and 5.0 percent respectively. The survey found the median salary is expected to increase 6.5 percent for Indonesia, 5.5 percent for Philippines and 8.0 percent for Vietnam in 2024.


Attrition in 2022
Attrition in 2023
Actual Salary Increase 2023
Salary Increase Expected 2024
Indonesia
15.9 percent
15.1 percent
6.0 percent
6.5 percent
Malaysia
14.9 percent
16.2 percent
5.0 percent
5.0 percent
Philippines
18.0 percent
17.5 percent
5.2 percent
5.5 percent
Singapore
19.6 percent
16.5 percent
4.0 percent
4.0 percent
Thailand
15.4 percent
14.0 percent
4.7 percent
4.9 percent
Vietnam
15.2 percent
13.8 percent
7.5 percent
8.0 percent

Although slightly higher, the projected increase in salaries in Thailand continues to defy economic slowdown concerns. The attrition rates across Thailand dropped in 2023 to 14.0 compared to 15.4 percent in 2022 yet continue to remain in the double digits as a consequence of ever-changing talent strategies and ongoing supply and demand challenges. Attrition rates were the highest in Philippines at 17.5 percent and lowest in Vietnam at 13.8 percent.

"As companies navigate new forms of volatility, salary-increase planning has become challenging across the region. A reassessment of compensation strategies based on the latest data and analytics shows that firms must stay competitive," said Rahul Chawla, partner and head of Talent Solutions for Aon in southeast Asia. "By leveraging data from their own organisations as well as the market, companies can make better informed decisions enabling them to not only weather the challenges of an uncertain economic climate but to thrive in an evolving workforce landscape."

The report further revealed that businesses in southeast Asia are cautiously optimistic about hiring, with 40 percent of the companies reporting no changes to their recruitment numbers, and 40 percent of companies having hiring restrictions. Despite an increase in layoffs earlier in the year, Aon's data shows headcount numbers across industries are still higher than pre-pandemic levels, with layoffs mainly occurring in the non-core/expansion areas of the business, while they continue to hire for other business lines.

New hire premiums are averaging between 5.6 percent and 13.3 percent, with firms becoming more cautious with compensation spends as they streamline budgets, enhance cost efficiency and re-evaluate compensation strategy. This contrasts with 2022, when southeast Asia saw a hiring boom and new hire premiums averaged between 14.7 percent and 23.6 percent. In Thailand, increasing competition for talent has driven premiums across levels for roles in product management at 98 percent, 64 percent for system design roles, 44.8 percent for alliance partnership, 37.9 percent in test and validation and 30.1 percent for sales and telemarketing roles.

Sumate Kurasirikul, senior consultant for Talent Solutions in Thailand at Aon said, "Aon's 2023 Global Risk Management Survey shows that business leaders consider 'failure to attract and retain talent' as one of the top 10 risks businesses' are facing, highlighting the importance leaders are placing on people risk. Compensation market data is critical in helping businesses understand whether their reward offerings are competitive and shape important decisions to attract and retain sought-after skills and therefore mitigating people risk. With the economy slowing, however, increasing salaries may be unsustainable for firms as they look to maintain profits and curtail people costs among other expenses. By having a holistic rewards strategy in place, based on data and analytics, organisations will be in a better position to compete for the talent they need."

Looking ahead to 2024, salaries in southeast Asia continue to vary across industries, and from one country to the next. The retail industry continues to have the highest budgeted salary increases at 6.1 percent, followed by technology at 6.0 percent, life sciences and medical devices industry at 5.9 percent, manufacturing at 5.8 percent and financial services at 4.8 percent.

The manufacturing sector is expected to have the highest increase in Thailand (8.0 percent), Malaysia (13.7 percent) and Philippines (14.5 percent) compared to the technology industry that had the highest year on year salary increase across industries in Singapore (4.5 percent), Indonesia (10.2 percent) and Vietnam (10.9 percent).

Across southeast Asia – Malaysia, Philippines and Singapore – more than half of the roles have had salary increases outrun inflation. Singapore and Philippines had 71.7 percent of salary increases outrun inflation and Malaysia had 56.4 percent. However, for Indonesia, Vietnam and Thailand, on average, 70 percent of salary increases lagged inflation. For 67 percent of firms in southeast Asia, inflationary pressures are included as part of their pay policy considerations when reviewing salary increases.

These insights are based on data gathered in the third quarter of 2023 from 950 companies across Indonesia, Malaysia, Philippines, Singapore, Thailand and Vietnam. Learn more about the 2023 Salary Increase and Turnover study here.
Hashtag: #Aon

The issuer is solely responsible for the content of this announcement.

About Aon

(NYSE: AON) exists to shape decisions for the better — to protect and enrich the lives of people around the world. Our colleagues provide our clients in over 120 countries and sovereignties with advice and solutions that give them the clarity and confidence to make better decisions to protect and grow their business.

Follow Aon on , , and . Stay up-to-date by visiting Aon's and sign up for news alerts .

Disclaimer

The information contained in this document is solely for information purposes, for general guidance only and is not intended to address the circumstances of any particular individual or entity. Although Aon endeavours to provide accurate and timely information and uses sources that it considers reliable, the firm does not warrant, represent or guarantee the accuracy, adequacy, completeness or fitness for any purpose of any content of this document and can accept no liability for any loss incurred in any way by any person who may rely on it. There can be no guarantee that the information contained in this document will remain accurate as on the date it is received or that it will continue to be accurate in the future. No individual or entity should make decisions or act based solely on the information contained herein without appropriate professional advice and targeted research.

Driveree App Expands into Food Delivery with Exciting Discounts and Growth Plans

Victoria, 15 Nov 2024 – Driveree, the innovative app transforming food delivery services in Geelong, Victoria, is now making waves across the coun...

Choosing Affordable Office Cleaning Services with Flexible Contracts

Maintaining a clean work environment is essential not only to the morale and productivity of the employees but also for cost reasons, since cleani...

Tips for Managing Business Funds in High-Interest Accounts

For entrepreneurs, astute fund management extends beyond survival alone—it fuels expansion and ensures ongoing viability. A shrewd tactic involves...

Understanding Regulations and Requirements for Building a Granny Flat

Constructing a granny flat entails understanding and complying with regulations that may differ depending on the area you're, in Here is a breakdown...

Top-Rated Criminal Lawyers in Brisbane: Securing Legal Defence and Justice

Navigating the legal landscape, particularly in criminal defence, is an intricate journey that demands experience, expertise, and a deep commitment ...

Innovative Solar Conduit Solutions: Why Solarflex Stands Out

When it comes to solar installations, efficiency, safety, and regulatory compliance are essential — particularly when tight schedules and diverse en...

Loaded Potato Snacks: Perfectly Crispy French Fries and Air-Fried Hash Browns

Are you craving a crunchy, flavorful potato snack that goes beyond the usual French fries? Let me introduce you to two of my favorite recipes: Loade...

Bulk Liquid Storage Tanks: Essential Solutions for Modern Industry

In industries where managing large quantities of liquids is a daily requirement, bulk liquid storage tanks play a vital role. These tanks are desi...

Bistro Blinds for Seasonal Changes: Adapting Your Outdoor Space

Bistro blinds are outdoor designs that can be adapted for seasonal changes. They warm up the environment by making it wind-free, wet-free, and sun...

Advantages of Using Digital Printing Services

The demand for quick, efficient, and high-quality printing solutions has seen remarkable growth in our modern, fast-paced world. This increasing nee...

Benefits of Professional Strata Management

Navigating the complexities of strata management can be a daunting endeavor for any strata property owner or committee member. Strata management inv...

The Hidden Benefits of Bundling Utilities with Moving Services

Moving can feel overwhelming with so many things to juggle. Hiring a moving company in Brisbane helps make it easier, but did you know you can make it...

Family Mediation: The Path to Resolution, Healing, and Lasting Solutions

In an era where family challenges are often met with emotional and financial strain, family mediation has quietly gained traction as a life-changing...

Surprise Party Ideas That Will Leave Your Guests Speechless

Throwing a surprise party is one of the most exciting ways to celebrate a special occasion. The thrill of keeping it a secret combined with the joy ...

“North of the River” Vs “Over the Bridge” – What’s in Brisbane’s ongoing North Vs South Feuds?

Greater Brisbane Australia’s largest capital city by land area, coming in at 15,824 square kilometers, and ranks number three worldwide. It has Au...

Income Stream Integration: 7 Ways to Earn Money Through Your Website

Whether you sell Vietnamese coffee, review Japanese gadgets, or rent Melbourne self storage, your website is more than just an online presence—it...

Top 10 Benefits of Practicing Taekwondo for All Ages

Taekwondo is more than just a martial art; it’s a way of life that offers profound physical, mental, and emotional benefits. Whether you're a chil...

Plasterboarding and Ceiling Repair: The PlasterX Advantage for Long-Lasting Results

Contacting professionals who are well-versed in the nuances of the task is essential to preventing headaches during plastering ceiling repair work. ...