Resilience Holds as Employers Eye Expansion
Singapore’s labour market started 2024 on a steady footing, even as hiring momentum softened slightly from the previous quarter.
With cautious optimism returning to business sentiment and resident employment inching up, Q1 marks a stable launchpad for hiring strategies and economic activity in the months ahead.
Key Highlights from Q1 2024
Employment Growth Led by Locals
+4,700 jobs created in Q1 2024. Resident employment increased by 5,500, while non-resident employment decreased by 800.
Growth Sectors for Locals
Financial services, public administration, healthcare, education, and admin services showed the strongest local hiring.
Non-resident Job Losses
Construction and manufacturing sectors saw declines following new Dependency Ratio Ceiling rules aimed at workforce localization.
Unemployment Inched Up but Remained Low
Retrenchments Fell Further
Most layoffs were due to restructuring, not recession fears. Retrenchment incidence dropped to 1.3 per 1,000 employees.
Re-employment Dipped Slightly
Job Vacancies Rise Again
More jobs than job seekers indicate growing skills mismatches in the labour market.
Hiring Pace Slows, But Workers Stay Longer
| Recruitment Rate | Resignation Rate | Working Hours |
| Dropped to 2.1% | Held steady at 1.4% | Paid hours: 43.3 per week (lowest on record) |
| The sharpest decline in the F&B, accommodation, and construction sectors | The sharpest decline in F&B, accommodation, and construction sectors | Overtime: 2.0 hours/week (continuing downward trend) |
Outlook for the Year Ahead
The outlook remains cautiously optimistic with continued job creation expected throughout 2024.
Hiring Plans
50.6% of firms plan to hire in Q2 2024, up from 47.7% last quarter.
Growth Sectors
Job creation is expected in technology, healthcare, finance, and public administration.
Unemployment Outlook
Rates may normalize but remain low if retrenchments stay muted.
Global Factors
Economic uncertainties abroad remain a key watch point for Singapore’s open economy.
