Survey reveals no major hiring or layoffs expected among foreign-funded enterprises

A recent survey report on foreign-funded enterprises and locally based institutions with overseas connections indicates that, despite economic uncertainties and a challenging recruitment landscape, most entities are poised to maintain or even increase their investments while keeping current staffing levels, with no significant hiring or layoffs anticipated.

Conducted by the Macau European Chamber of Commerce (MECC) from June 11 to August 8, the survey aimed to assess the sentiment of European companies operating in Macau regarding the business environment and future prospects.

In collaboration with the MECC Economic Development Group and the Faculty of Business and Law at the University of Saint Joseph (USJ), the survey gathered valid responses from 27 member companies representing diverse foreign backgrounds.

Rui Pedro Cunha, executive vice president of MECC and convener of the Survey Working Group, emphasized during a press conference on Monday that this marks the first survey of its kind in Macau. He described the initiative as “a crucial step in gathering data to support the development of Macau’s economy,” filling a gap left by the absence of prior surveys.

Cunha, alongside Jenny Phillips, dean of the Faculty of Business and Law at USJ, reported that the results reflect a “generally positive” sentiment among the surveyed enterprises. Many companies expressed a willingness to continue investing and hiring, demonstrating their confidence in Macau’s future.

The survey utilized established models from similar surveys in mainland China and Hong Kong, employing a quantitative questionnaire that integrated corporate insights to enhance its design.

The findings indicate a neutral to “optimistic” global and regional economic outlook, suggesting a gradual stabilization of the post-pandemic economy. While many enterprises acknowledged the challenging business environment in Macau, they expressed “optimism” about future revenue. Economic factors are pivotal in investment decisions,

However, most companies plan to either maintain or increase their investment scale, focusing on operational localization and establishing new partnerships.

While hiring local talent has proven more difficult than recruiting non-local talent, nearly half of the respondents reported facing no significant obstacles in their recruitment efforts.

Additionally, over 62% of enterprises indicated having partners in mainland China and are contemplating investments in the Hengqin area to leverage its cost advantages and accessible talent resources.

Approximately 15% of respondents noted increased interest in Macau, attributing this growth to improved communication with the government. Comparatively, the business outlook for 2025 shows a slight recovery, focusing on expanding new revenue streams, localizing operations, and forming new partnerships.

Notably, 70.4% of the surveyed enterprises prioritized technological innovation, emphasizing research and development in technology and artificial intelligence to align with emerging digital economy trends.

A follow-up panel discussion further highlighted several surprising insights about Macau’s business landscape. One speaker noted, “Most enterprises plan to maintain their current hiring levels, neither significantly increasing nor decreasing their workforce,” adding that among companies adjusting recruitment strategies, hiring outpaced layoffs by a two-to-one ratio, indicating cautious optimism about the future.

Another panelist pointed out that recruitment challenges for both international and local talent were nearly identical, with only a 4% difference between the two, underscoring the overall difficulty in hiring regardless of talent source.