📋 Tender Overview
Overview1. Advance estimates for employment unemployment and retrenchments in 2Q 2022 indicate continued recovery of the labour market. Total employment rose with more residents finding employment and non-resident employment rebounding strongly following the significant relaxation of border restrictions from April 2022. Unemployment rates remained at pre-COVID levels and the number of retrenchments also stayed low.Main FindingsTotal employment continued to expand due to increases for both residents and non-residents2. Total employment excluding Migrant Domestic Workers expanded by 64400 or 1.9 in 2Q 2022 at a faster pace compared to 1Q 2022 42000 1.2. A larger proportion of the increase was attributed to non-residents mainly in Construction and Manufacturing sectors which have a lower share of residents. With the significant relaxation of border controls since April this year employers in such sectors have been hiring to backfill positions and meet rising demand.3. At the same time more residents have found employment especially in growth sectors such as Information Communications Professional Services and Financial Services.Unemployment rates have remained largely unchanged since reaching pre-COVID levels2 in February4. Unemployment rates have been trending downwards since peaking in October 2020 and held steady after reaching pre-COVID levels in February 2022 amidst a tight labour market and record high number of job vacancies. In June 2022 unemployment rates were 2.1 overall 2.9 for residents and 3.1 for citizens.Retrenchments are expected to remain low5. The number of retrenchments also remained low 1000 in 2Q 2022. As with recent quarters business reorganisation or restructuring remained the top reason for layoffs.Conclusion6. Going forward we expect non-resident employment which based on latest estimates remains below 2019 levels by about 10 to continue growing at a robust pace as it catches up to its pre-COVID level. Resident employment which is expected to be about 4 above 2019 levels will likely see subdued growth given the low resident unemployment rate.3 However global headwinds including strong inflationary pressures the ongoing Russia-Ukraine conflict and a resurgence of the COVID-19 pandemic in major economies such as China may dampen demand.7. Given the uncertainties that lie ahead MOM encourages businesses to press on with transformation diversify their non-resident workforce strengthen their Singapore core redesign jobs and offer flexible work arrangements to tap on more segments of the workforce such as older workers and caregivers so as to become more resilient. Employers can tap on the following Government programmesa. The Jobs Growth Incentive JGI provides salary support for eligible employers to hire mature long-term unemployed locals persons with disabilities and ex-offenders. The JGI has supported close to 709000 local hires by 83000 firms between September 2020 and February 2022. We have extended the JGI to March 2023.b. The SGUnited Mid-Career Pathways Programme SGUP offers attachment opportunities for mid-career jobseekers. From its launch until January 2022 more than 7200 locals have been placed into attachments each receiving up to 3800 in training allowances. This allows employers to better assess the job-fit of mature jobseekers while providing the latter with training and industry experience. c. Employers can tap on the Support for Job Redesign under Productivity Solutions Grant to improve job quality and job attractiveness to workers. Workforce Singapore WSG also offers Job Redesign Reskilling Programmes to support employers in upskilling existing employees to take on enhanced job roles.8. The Labour Market Report 2Q 2022 due for release in mid-September 2022 will provide more details including the breakdown of resident and non-resident employment4 sectoral breakdowns number of job vacancies labour turnover and reentry rates among retrenched residents to provide a fuller assessment of the labour market situation for the quarter. For more information on the trends for total employment change unemployment rates and quarterly retrenchments.
