Retrenchments in S’pore decline for first time in a year, but signs of cooling labour market persist

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Sinagpore's Ministry of Manpower said resident employment remained well-above pre-pandemic levels recorded in December 2019.

In another sign of a softening labour market, there were fewer employed residents – comprising Singaporeans and permanent residents – for the first time since Q2 2020, according to preliminary labour numbers released by the Ministry of Manpower on Thursday .“The contraction occurred mainly in food and beverage services and retail trade, which is not unusual in the first half of the year,” it said.

Employment in the construction sector grew by 10,500 in Q2 2023, picking up the pace from the previous quarter. This is mainly attributed to more work permit holders. Employment in the services sector, excluding migrant domestic workers, slowed down for the third consecutive quarter, growing by 12,400 workers.

Unemployment rates remained unchanged in June 2023 after edging up in April and May, with the overall rate at 1.9 per cent.MOM said the slowdown in total employment growth reflects the moderation in Singapore’s economic growth in previous quarters as a result of global economic headwinds.

 

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