Global Talent Market QuarterlyUpdate – 1st Quarter 2016

Global Economic Outlook

Global

The global outlook for the global economy in 2016 in uncertain, with financial markets volatility, depressed commodity prices, and slowing in key emerging markets keeping growth prospects muted. All this lead to a significant amount of labour market uncertainty.

Developed markets are expected to have moderate GDP growth, steady job creation, and stable to slowly falling employment

APAC Countries Australia Economic growth in Australia is expected to remain relatively muted in 2016, due to weak Chinese demand and ongoing cooling in the mining sector. These uncertain conditions are unlikely to spur much job growth, keeping unemployment rates elevated.

ChinaChina’s economic momentum continues to slow. The 6.9% growth rate in 2015 was the slowest in 25 years, and the outlook calls for 6.3% growth in 2016. Official labour market data is notoriously murky, but the job market is expected to worsen as the economy struggles.

IndiaIndia has become the fastest-growing large economy, supported by ongoing reforms, weak global oil prices, and public and private investment activity. A focus on boosting manufacturing activity should help create jobs in this sector.

APAC Legislative Update

Sources: SIA Daily News;globalemploymentlaw.com

JAPANThe new law that ends restrictions onthe use of temporary employees came into effect at the end of September 2015. Employers may now fill positions with temporary workers indefinitely, provided the actual worker is replaced every three years.

CHINAA decades-old policy was lifted on January 1, 2016, allowing couples to now have two children. Along with this new policy comes changes to maternity leave provisions. Under the new law, married couples having their first or second child are eligible for extended maternity leave (and paternity leave, if applicable under local rules) regardless of age. Previously, extended leave was only available to a married woman who gave birth to her and her husband’s first child after she turned age 24.

INDIAPotential legislative changes would mandate the recruitment of contract workers through staffing agencies; ensure similar working conditions for contract workers and regular workers; and introduce periodic wage reviews for contract workers. The changes to the labor act are still at a discussion stage.

AustraliaThe new law that ends restrictions onthe use of temporary employees came into effect at the end of September 2015. Employers may now fill positions with temporary workers indefinitely, provided the actual worker is replaced every three years.

INDONESIARules regarding the employment of foreign workers have been relaxed. The requirement to hire 10 Indonesian workers for every one foreign worker has been removed. Employers also no longer need a permit to appoint foreign directors and commissioners to Indonesian firms, or when foreign visitors attend meetings in Indonesia.

SINGAPOREEmployment data for workers will become more transparent under new changes to Singapore’s labor laws which were approved recently and will come into effect in April 2016.Employers must issue itemized payslips, clearly outline employment terms in writing, and maintain detailed employment records, or they may be fined.

Globalization of Managed Service Providers

As MSP market continues to mature, deals that span multiple countries are becoming commonplace. Markets outside North America are seeing greater usage of MSPs to manage companies’ contingent workforces.

The benefits of integrated, global MSP are significant. A comprehensive view of contingent talent across countries allow companies to improve demand management, leverage scale advantages, and drive multiple operational efficiencies.

MSP Goes Global

Globalization of Managed Service Providers

As MSP market continues to mature, deals that span multiple countries are becoming commonplace. Markets outside North America are seeing greater usage of MSPs to manage companies’ contingent workforces.

The benefits of integrated, global MSP are significant. A comprehensive view of contingent talent across countries allow companies to improve demand management, leverage scale advantages, and drive multiple operational efficiencies.

MSP Goes Global