SINGAPORE: The latest labour market statistics reveal a complex landscape for job seekers and employers alike. According to the Ministry of Manpower (MOM), job vacancies eased to 69,200 in September, down from 76,900 in June 2024. This shift highlights the ongoing adjustments within Singapore’s workforce, alongside a backdrop of economic growth.
Job Vacancy Trends
Despite the drop, the number of job vacancies still exceeds the number of job seekers, with a ratio of 1.49 in September—up from 1.35 in June. This suggests that while companies are being more cautious about hiring, the overall health of the job market remains relatively stable.
- Professional, Manager and Executive (PME) vacancies stayed robust at 23,000, a marked improvement from 20,400 a year ago.
- Sectors like information and communications, health and social services, and transportation continue to see high vacancy rates.
- Conversely, the accommodation and arts sectors have seen declines.
Employment Growth and Unemployment Rates
In positive news, total employment saw a growth of 25,100 in the third quarter, significantly increasing from the previous quarter’s net addition of 10,400. The overall unemployment rate for residents remained stable at 2.8%, while the rate for non-residents held steady at 2%.
Interestingly, younger workers’ unemployment decreased slightly from 5.7% in June to 5.5% in September. Older workers, aged 60 and above, also witnessed a decline in unemployment rates, from 2.5% to 2.1% over the same period.
Retrenchments and Workforce Dynamics
Retrenchments, while modest, remain a focal point for many sectors. The total retrenchments in the third quarter were recorded at 3,670, with most occurring in the financial and professional services due to restructuring amid global economic uncertainties.
- Employers are increasingly opting for flexible arrangements such as short-work weeks over outright retrenchments.
- The share of firms intending to implement redundancies has risen to 2.3%, reflecting an ongoing cautious approach in the face of economic fluctuations.
Looking Ahead
MOM has upgraded the nation’s growth forecast to around 4% for 2024, although it remains cautious about potential economic headwinds. The report predicts a moderation in labour demand driven by a decrease in hiring intentions.
The key takeaway is that while Singapore’s job market shows signs of resilience, both employers and workers are navigating careful waters, adjusting to the new normal post-pandemic.