Hiring sentiments in Singapore gain momentum as employers gain confidence, reveals the Q4 ManpowerGroup Employment Outlook Survey.
Out of the 525 employers in Singapore surveyed about their hiring plans for the October to December period, 46% plan to hire, 17% anticipate a decrease in their staffing levels, while 36% do not expect any change. The Net Employment Outlook (NEO) after seasonal adjustment is +29%, growing 9% from last quarter, but weakening 7% year-over-year.
Used internationally as a bellwether of economic and labor market trends, the NEO is calculated by subtracting the percentage of employers who anticipate reductions in staffing levels from those who plan to hire.
Employers in eight of nine sectors expect to increase headcount, with the most competitive sector being Financials and Real Estate, with a NEO of +64%, rising 49% from last quarter and 18% since the fourth quarter of 2023.
“The growing emphasis on quantum and artificial intelligence (AI) technologies within financial institutions is anticipated to fuel job creation in Singapore’s Financials and Real Estate sector,” comments Ms. Linda Teo, Country Manager of ManpowerGroup Singapore.
“Overall, the fourth quarter of 2024 signaled a gradual improvement in the labor market. That said, we are at a tipping point where the economy and job market could either move towards recovery or face a further slowdown. Given Singapore’s open economic landscape, it remains to be seen if hiring optimism will continue amid global uncertainties.”
- Hiring sentiments gain momentum as employers gain confidence in Q4 2024: Singapore’s NEO for Q4 is +29%, increasing 9% from Q3 2024, but down 7% year-over-year. While 8 out of 9 sectors report positive hiring outlooks, hiring sentiments are weaker in 3 sectors compared to Q3.
- Singapore’s Financials and Real Estate sector ranks first globally: The sector beats the global average NEO by 32 points, reporting an Outlook of +64%, an improvement of 49% from Q3 and 18% year-over-year.
Besides employment outlooks, the report also shed light on Singapore employers’ sentiment on the Gen Z workforce, strategies for retention and diversity and inclusion, as well as the ESG skills gap.
- Balance of power still favors employers: More than 7 in 10 employers in Singapore believe they hold the power in negotiations. This includes matters regarding pay (75%), working location (78%), and flexible hours (68%).
- Singapore employers believe Gen Z employees feel stressed despite being supported in personal well-being: Even as 84% of employers believe Gen Z employees are supported in work-life balance and personal well-being, 69% perceive their Gen Z workforce as feeling stressed daily.
- Employers prioritize work-life balance as they focus on worker retention: As they focus on increasing worker retention, employers in Singapore are working to increase work-life balance (61%), train managers to better support workers (50%), and reduce worker stress (48%).
- Employers are implementing various measures to better support their LGBTQIA+ workforce: Top three measures include hiring to increase diverse representation (57%), implementing company-wide diversity education and training (56%), and implementing non-discrimination policies (53%).
“While employers may believe they hold the power in negotiations, as the competition for skilled talent intensifies, employers may need to rethink their negotiating tactics,” Ms. Teo says. “Employers who want to attract and retain skilled talent should be willing to demonstrate flexibility and a willingness to meet the needs of their employees so they can position themselves as employers of choice.”
Employment Outlooks Across the Asia Pacific
- Hiring managers across the Asia Pacific region anticipate the second strongest regional Outlook (27%), an increase from the previous quarter (+4%) but decreased when compared to the same time last year (-5%).
- India (37%), Singapore (29%), and China (27%) continue to report the strongest Outlooks in the region. The most cautious Outlooks were reported by employers in Hong Kong (8%).
- The strongest Outlook globally for the Financials & Real Estate (64%) industry vertical was reported by employers in Singapore.
