Singapore’s hiring sentiment holds steady amid economic crosscurrents

Singapore’s job market is holding steady as employers adopt a balanced approach to hiring, according to the latest ManpowerGroup Employment Outlook Survey.

Despite ongoing economic uncertainties, the survey of 525 employers revealed that 39% plan to expand their workforce, 12% anticipate reductions, and 49% expect no change. After seasonal adjustments, the net employment outlook (NEO) stands at +27%, reflecting a 2-point increase from Q1 2025 and a 3-point improvement year-on-year.

For the first time since early 2024, all sectors in Singapore anticipate workforce expansion, with healthcare and life sciences leading the way. The sector recorded an NEO of +49%, marking a 9-point increase from the last quarter and 13 points higher than a year ago. This places Singapore second globally for hiring confidence in this sector, surpassing the global average of 21 points.

According to Linda Teo, Country Manager of ManpowerGroup Singapore, the hiring outlook suggests a stabilising labour market, supported by stronger-than-expected economic growth. However, employer sentiment is shifting, with nearly half of organisations opting to maintain staffing levels. This trend indicates either a normalisation of workforce sizes after post-pandemic adjustments or a cautious stance amid global trade tensions and economic uncertainties.

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Teo also noted that the survey was conducted before the release of the Singapore Budget 2025, which may further shape hiring plans in the coming months.

Company expansion remains the primary driver of hiring in Singapore, followed by the demand for new skills and technological advancements. The transport, logistics, and automotive sector is among the most responsive to technological progress, with increased hiring to meet new industry demands. Meanwhile, economic challenges, restructuring, and automation are leading to workforce reductions in some areas.

Across Asia-Pacific, hiring sentiment remains strong, with the region posting the highest global NEO at 30%. India leads with a strong hiring confidence of 43%, while Taiwan and India are at the forefront of job creation driven by technological advancements.