Tech winter prompts flight to safety of big tech

As professionals in Southeast Asia look for jobs in a tech industry that was recently gutted by layoffs, they are increasingly drawn to the stability offered by larger companies.

Image credit: Timmy Loen

Tech firms in the region continue to hand pink slips to employees in the hundreds amid a funding crunch. To make things worse, companies that are still hiring are becoming more selective, with many opting for internal candidates to fill vacant roles. 

Job seekers during this financial slump in the startup ecosystem are looking for long-term stability in companies whose survival does not depend on the next funding round.

While prospects continue to be grim, recruitment agencies in Singapore and Indonesia told Tech in Asia about which tech sectors are hiring and for which positions. They also explained what companies are doing to stay afloat and what prospective applicants in the industry can expect.

Wanted: data scientists and engineers

Layoffs in Southeast Asia, China, and India have been worsening, especially in the edtech and ecommerce sectors. Global fears of an economic downturn have led even the biggest tech companies to pause hiring.

Few tech firms have been spared from the onslaught. Singapore-based ecommerce giant Shopee slashed jobs in its food delivery and payment segments. In Indonesia, edtech startup Zenius and fintech company LinkAja have also downsized their workforces.

See also: Making sense of Shopee’s Layoffs

Startups in the archipelago have become stricter with hiring, says Miyako Mataru, technology manager at recruitment firm Michael Page Indonesia. While the massive job cuts started earlier this year, the slowdown in hiring became more apparent in June.

“Previously, they would just hire the replacement right away. But now, we’ve seen some startups here that kind of hold [off on] that decision,” she says. “They will choose to get somebody from internal to cover that role.”

Despite these cutbacks, some recruiters and economists maintain that tech industries in different parts of the world are still looking for talent. Mataru says there is also cause for optimism in digital banking and fintech in Indonesia. Tech companies are still seeking engineers, while opportunities in marketing are slimmer. Firms are also looking to add staff for mid-level roles but not much for more senior posts, she observes.

Recruitment consultancy Robert Walters Group has identified resilient areas or expanding opportunities in Indonesia and Singapore. 

In Indonesia, tech businesses are looking to fill roles in strategy and business process improvement as well as in senior leadership for their engineer and developer teams. Demand for experienced candidates in product development and data is also strong.

Tech firms in Singapore are hiring candidates in engineering, data science, cybersecurity, and digital transformation.

Flight to safety 

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