Singapore’s total employment grew by 88,400 in 2023 even as retrenchments more than doubled to 14,590 from the previous year.
This was largely driven by employment growth among foreigners with increases mainly in construction, manufacturing, financial services and professional services.
Meanwhile, the number of job vacancies registered a slight increase in December 2023 to 79,800 after six consecutive quarters of decline.
The Ministry of Manpower (MOM) also said in a labour market report for the fourth quarter of 2023 released on March 14 that there was a decline in the rate at which workers were able to secure employment within six months of their retrenchment.
A total of 61.5% of retrenched workers re-entered the workforce within six months of being laid off in the fourth quarter of 2023, compared to the previous quarter’s 65.3%.
The ministry noted that the employment rate for residents – Singaporeans and permanent residents – remains high while the resident unemployment rate remains low, at 2.8%.
The ratio of job vacancies to unemployed persons also rose to 1.74 in December 2023.
There have been more job vacancies per unemployed persons since March 2021’s 0.96, indicating a moderately tight labour market.
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According to MOM, “With the rise in job vacancies and low unemployment, the labour market remained moderately tight and the ratio of job vacancies to unemployed persons rose to 1.74 in December 2023.”
“Looking ahead, we expect labour demand to strengthen, in line with the forecast of improved economic growth prospects for 2024.” – The Straits Times
