2025 Labor Market Outlook and Salary Standards in Human Resources

The role of human resources (HR) professionals in the Hong Kong SAR is evolving beyond traditional functions.

HR specialists are increasingly required to align their strategies with broader business objectives, directly contributing to the organization’s vision and success. This shift allows HR professionals to embrace a more strategic and collaborative role in talent management and business development, leading to a growing demand for specialized skills.

The Shift Towards Strategic HR Management

The need for HR professionals to act as strategic business partners is on the rise. They are now expected to serve as trusted advisors to various stakeholders, providing crucial insights on workforce planning, employee engagement, and organizational culture—elements that significantly enhance business performance.

Importance of Succession Planning Skills in HR Recruitment

Employers in Hong Kong are increasingly focused on hiring talent acquisition specialists to support succession planning, ensuring business continuity and preparing for future challenges.

While there has been an overall decline in demand for learning and development talent, expectations are high for these professionals to create and implement effective skills development programs that build a robust leadership pipeline. Companies are prioritizing leadership skills development not only to prepare the next generation of leaders but also to improve employee experiences and company culture in an evolving labor landscape.

Employers are also on the lookout for HR candidates with strong communication skills, particularly those adept at managing difficult conversations. The capacity to handle tough discussions—such as performance management, job transitions, and layoffs—while maintaining employee morale is highly valued. Professionals equipped with these soft skills will be crucial as transformations continue to impact skill requirements and workforce dynamics.

Cautious Senior Talent and Eager Juniors Shape 2025 Hiring Trends

In 2025, mid to senior-level candidates are expected to exercise caution regarding job changes, valuing job security and finding it increasingly challenging to secure positions that align with their values. Conversely, junior candidates are more open to new opportunities and can readily find entry-level roles.

Young HR Talent Eager for New Opportunities

As the overall number of job seekers declines, companies face a heightened scarcity of talent. While there is a strong preference for hiring local candidates, we are observing a trend where Chinese companies favor mainland Chinese talent for dual HR management and payroll responsibilities across Greater China.

We anticipate that employers will continue to offer competitive salary increases of 15% to 20% for high-caliber mid to senior HR professionals specializing in organizational development (OD) and business partnering (BP). For junior to mid-level HR roles, the expected salary increase is slightly lower, ranging from 10% to 15%.