The task of enticing and retaining top-tier talent is becoming increasingly formidable for employers in the Asia-Pacific region, ranking fourth among their top 10 business risks, as indicated by the latest Global Risk Management Survey conducted by Aon, a global professional services firm. This represents a significant ascent from its previous ninth-place position in 2021.
Furthermore, the report underscores that employers do not anticipate this challenge diminishing within the next three years, as it holds the third position on their list of future risks. The difficulty in recruiting individuals possessing specific skills arises from the fact that numerous businesses are competing for a limited pool of talent with diverse preferences.
The report notes, “Many employees are seeking increased pay or new roles due to financial pressure, alongside a desire for career progression and alignment between their values and those of their employers.”
This recruitment challenge is compelling employers to rethink total rewards beyond salary, leading them to explore non-monetary opportunities and cost-saving strategies to support their employees and businesses amidst the struggle to align wages with high inflation.
cyberattacks or data breaches take the forefront of concerns for employers in the Asia-Pacific region
The shifting dynamics prompt employers, especially large organisations in the region, to concentrate on retention, wellness, and factors influencing the global economy, according to the report.
Simultaneously, cyberattacks or data breaches take the forefront of concerns for employers in the Asia-Pacific region, claiming the top spot on their list of current risks. This preoccupation reflects the widespread nature of cyber risk and aligns with the global trend of heightened awareness regarding the expanding cyber threat landscape.
The report points out that cyber risk concerns have intensified over the years, fueled by prominent data breaches and ransomware attacks in the region. Additionally, worries are exacerbated by heightened scrutiny of data protection by regulators and the insurance market.
The comprehensive top 10 list of business risks for Asia-Pacific employers encompasses:
– Cyberattack or Data Breach
– Economic Slowdown or Slow Recovery
– Business Interruption
– Failure to Attract or Retain Top Talent
– Rapidly Changing Market Trends
– Supply Chain or Distribution Failure
– Regulatory or Legislative Changes
– Increasing Competition
– Failure to Innovate or Meet Customer Needs
– Commodity Price Risk or Scarcity of Materials
Anne Corona, Chief Executive Officer of Asia Pacific for Aon, emphasises that these newer and emerging threats are continually reshaping perspectives and emphasising the imperative for business leaders to make more informed decisions. She suggests a need for a mindset shift towards better preparedness for risks through the utilisation of data, analytics, and expert advice on the dynamics of long-tail risks.
