On June 11, 2024, a survey by ManpowerGroup Singapore revealed that hiring sentiment in Singapore has weakened for the third consecutive quarter. Despite this trend, most sectors are still looking to boost their headcount. Approximately 44% of the 525 employers surveyed indicated plans to hire during the upcoming July to September period. Conversely, 24% expect to reduce staffing levels, while 32% do not anticipate any changes.

The seasonally adjusted net employment outlook for the third quarter stands at +20%, reflecting a 4% decline from the previous quarter and lower than the global average of +22%.

Sector-Specific Insights:
The decline in the hiring outlook can be attributed to weaker sentiments in six out of nine sectors, as businesses look to streamline operations and address talent shortages. However, eight of the nine sectors still maintain positive hiring outlooks for Q3, with the transport, logistics, and automotive sector showing the strongest outlook at +47%. This sector’s ranking is second globally, just behind Ireland, due to green initiatives driving job growth and investments in electric vehicle (EV) transitions.

Conversely, the financials and real estate sector experienced the most significant decline, falling 30 percentage points from the previous quarter to a Q3 outlook of +15%. The communications services sector remains the weakest job market, with an outlook of -33%. However, 72% of employers in this sector still plan to increase their workforce, particularly as more organizations adopt machine learning and artificial intelligence technologies.

Adoption of Technology:
More than half of the surveyed companies (54%) have implemented artificial intelligence, a 12% increase year-on-year, with another 20% expecting to do so within the next 12 months. Linda Teo, country manager of ManpowerGroup Singapore, emphasized the importance of prioritizing soft skills like adaptability and learning agility when making hiring decisions in today’s rapidly changing job market.