Pichpajee Saichuae, managing director of the Thai unit of the global advisory, brokering and solution firm, said yesterday that amid the shortage of skilled employees that is expected to be seen in the next few years, employee turnover rates in key industries would continue to rise as growing businesses offered the best benefits to attract skilled workers.

The firm last November conducted a “rewards survey” in Thailand involving 226 companies in key industrial and service sectors, including power and energy, electronics, high technology, asset management, financial services and insurance. It found the industry that had experienced the highest employee turnover was life insurance with 20 per cent, followed by asset management with 17 per cent and high technology with 15 per cent.

To cope with this challenge, Pichpajee suggested that both management and the human-resources department at each company should realise the importance of the “HR engineering process”, improving and reinforcing the roles of HR as a partner both of management and of employees.

“Using technology to engage with employees is another key factor to make this happen. I recommend that HR staff should be well equipped with knowledge and analytical skills to manage the various data collected from individual employees,” she said.

Companies should design an HR management system that is compatible with mobile devices to help employees manage and select their own benefits, leave, vacations, healthcare packages and training activities from their personal device. This would help the company get closer to its employees.

According to another survey conducted last year by Willis Tower Watson, “Q1 Flash Survey: HR Trends and Challenging Issues for General Industry”, building employee engagement was ranked by the companies as the No 1 HR challenge. Other highlighted trends were retention of talent and the importance of leadership.

Pichpajee said that apart from base pay and career opportunities, supervision or leadership in the company was ranked as the key cause of employees’ resignations.

Willis Tower Watson expects that the average salary increase this year will be 5-7 per cent depending on sector, with the lowest increase in general insurance and the highest in power and energy. This finding was based on its November survey.