Over 85% of Hong Kong Employers Offer Medical Coverage to Contractors as Companies Prioritise Workforce Agility

64% of employers in Hong Kong plan to hire contractors in 2025.

51% of employers struggle to source skilled contractors.

27% cite cost management as a key concern.

17% face retention issues.

85% of employers offer medical coverage to contractors.

33% offer completion bonuses, typically one month’s pay or a percentage of annual salary.

HONG KONG SAR –
Media OutReach Newswire – 29 September 2025 – Contract hiring is set to play a pivotal role in Hong Kong’s workforce strategy in 2025, with 64% of employers planning to hire contractors to address talent shortages and manage costs. As businesses increasingly rely on flexible hiring models, they are also enhancing benefits for contractors to attract top-tier talent. Notably, over 85% of employers now offer medical coverage, and more than 20% provide annual leave exceeding 18 days, according to the newly released
Contractor Pay Guide 2025 by Robert Walters.

As businesses face economic uncertainty and headcount constraints, contracting has emerged as a strategic solution for accessing specialised talent while maintaining cost control. Employers are increasingly using short-term engagements to trial candidates, with many roles evolving into long-term opportunities.

Contractors trusted with high-stakes responsibilities

Contractors are no longer seen as temporary fixes. The guide reveals a growing trend of contractors being hired for sensitive, high-impact roles. Sectors such as legal, audit, and compliance, which were once reliant on permanent hires due to their sensitive nature—are now tapping into highly skilled contractors for time-bound projects requiring specialised expertise.

Vivian Tsang, Associate Director at Robert Walters Hong Kong, commented:

“Employers are recognising that contractors bring not just flexibility, but deep expertise. We’re seeing a shift where contractors are trusted with high-stakes work, and companies are aligning benefits and engagement strategies to reflect that.”

Enhanced Benefits for Contractors

Employers are offering more competitive benefits packages to attract skilled contractors. According to the guide, 85% of employers now provide medical coverage to contractors—a 4% increase from previous year, aligning their benefits with those offered to permanent staff. Additionally, over 20% of employers offer annual leave exceeding 18 days, while another 36% provide between 15–17 days. These improvements reflect a shift toward treating contractors as integral members of the workforce rather than temporary solutions.

Completion bonuses are also gaining traction, with 33% of employers rewarding contractors upon project completion, typically equivalent to one month’s pay or a percentage of annual salary. These incentives help retain high-performing professionals and ensure successful project delivery.

AI drives demand in tech contractors amid increasing demand across sectors

The rise of technologies like Generative AI is fuelling demand for tech contractors, particularly in roles such as AI/ML engineers, data specialists, and cloud architects. Companies are eager to integrate AI into their operations but face challenges due to limited talent availability.

In the financial services sector, firms are hiring contractors to strengthen their risk and compliance frameworks, respond to regulatory changes, and fill urgent gaps in legal and governance teams. Contract lawyers are also being engaged to support complex financial products and transactions.

Beyond tech and finance, demand for contractors is growing in HR and business support functions. Roles such as HR Business Partners, Finance Transformation specialists, and Executive Assistants are increasingly filled by contractors as companies seek cost-effective, agile solutions to manage headcount and budgets.

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