Singapore Jobs Forecast for 2018

Better outlook for job seekers

2018 looks better for job seekers

2018 brings a new year with better prospects for job hunters in Singapore. The economy is improving and confidence in it by employers will lead to greater hiring demands. According to a survey conducted by ManpowerGroup Singapore, 16% of employers said that they are planning on increasing their staffing levels in 2018. However, 5% stated that they expect to decrease the number of staff, and 74% stated that they expect no change in staffing levels. This, according to the survey report, gives an 11% growth in the net employment outlook, even when adjusted for seasonal variations. This is good news for job seekers and is the strongest outlook in 2 years, up from 7% for the same period last year.

So where will the job increases be?

The strongest expected staffing level increases will be in the public sector and education with a 22% growth. In the services industry, IT is again looking at strong growth with increasing demand for cyber security specialists, digital applications, data mining and analytics, software applications and software development. Anything to do with helping businesses increase their online presence and market or sell through smart devices will be in strong demand. The government’s focus on Singapore as a Smart Nation is also driving demand for specialist labour in Information and Communications Technology (ICT), especially for software engineers, data scientists, and IoT (Internet of Things) specialists.

The transport and utilities industries are also said to expand in 2018.

Other than in FinTech (finance focused technologies) related jobs, the financial industry is only expected to have a moderate increase in staffing levels. Here, as well as real estate and the wholesale and retail trade sectors, employers seem to be adopting a ‘wait and see’ policy in relation to the economy – if the economy expands more than expected, then they will be hiring. If not, they are not expecting any changes in hiring.

Retrenchments are slowing

Meanwhile, the Ministry of Manpower’s Labour Market Report for the third quarter of 2017 shows that retrenchments are slowing. There were 3400 retrenchments in Q3 2017, down 6.6% from 3640 in Q2 2017, and down 19.4% from a year ago when retrenchments were 4220 in Q3 2016. The slowdown is mainly attributed to the services and manufacturing sectors.

But PMETs hit hard again

Unfortunately, around 70% of retrenchments hit PMETs (professionals, managers, executives and technicians), with most retrenchments being in the services industry (always very vulnerable to shifts in confidence in the economy). Fortunately the government has placed great emphasis on helping retrenched PMETs find new jobs with financial incentives for employers to employ them, and many up-skilling and re-skilling initiatives.

More good news for those retrenched

The good news from the Ministry of Manpower’s Labour Market Report for Q3 for those retrenched is that the six-month re-entry rate is up 1.9 percentage points to 66.4% over Q2, and up 2 percentage points over Q1. This can be attributed to the improving economy and the government’s initiatives.

Overall, job seekers can expect an improvement in hiring in 2018.

Published by

Nigel Nolan - Managing Consultant, Sandbox Advisors

Nigel has vast experience in Training & Development, Facilitation, Lecturing, General Management and Operations. In addition to an educational background in philosophy, psychology, theology and communications, he has advanced qualifications in business, adult education and coaching.

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