Tue Sep 17 07:15:05 UTC 2024: ## Singapore’s Job Market Shows Uneven Growth, While Foreign Firms Drive High-Earning Positions

**Singapore, 17 September 2024** – The latest Labour Market Report released by the Ministry of Manpower (MOM) reveals a mixed picture for Singapore’s job market. While overall employment saw a slight increase in the second quarter of 2024, the growth was entirely driven by non-resident workers. Resident employment, which includes Singaporeans and Permanent Residents, actually declined by 600.

The report highlights a continued reliance on foreign workers in sectors like construction and manufacturing, where lower wages and physically demanding conditions deter residents. Despite efforts to boost resident employment, structural challenges remain.

**Underemployment and Retrenchment Challenges:**

The report also highlights a rise in time-related underemployment among residents, indicating job dissatisfaction and a mismatch between available opportunities and their needs for full-time work. Retrenchments have also increased, with Professionals, Managers, Executives, and Technicians (PMETs) and older workers among the most affected.

While more than half of retrenched residents found new jobs within six months, many were forced to accept lower wages. Furthermore, only a third of retrenched workers secured jobs with comparable financial compensation to their previous positions. Older workers, particularly those aged 40 and above, faced even greater challenges in re-employment and often had to settle for lower-paying jobs.

**Foreign-Owned Firms Dominate High-Earning Jobs:**

Adding to concerns about job security and wage inequality, the MOM data also reveals that foreign-owned firms, which comprise 20% of companies in Singapore, employ 60% of residents in high-earning jobs. These positions, which pay over S$12,500 per month, place workers in the top 10% of income earners.

While Manpower Minister Tan See Leng highlights the importance of foreign investment in driving business growth and improving the local job market, concerns have been raised about the lack of transparency regarding the allocation of high-paying jobs to Singaporeans. Despite repeated calls for clarification, the Minister has declined to provide a breakdown of how many Singaporeans and Permanent Residents hold PMET positions, further fueling concerns about job transparency and the impact of foreign talent on local job opportunities.

**Concerns about Unequal Opportunities:**

The report underscores the ongoing debate in Singapore regarding the balance between attracting foreign talent and ensuring opportunities for local workers. While the government emphasizes the need for foreign workers to support economic growth, questions persist about whether Singaporeans are benefitting proportionally from job growth and whether measures are in place to ensure fair competition for high-paying positions.

The MOM report, along with recent discussions in Parliament, highlights the need for a deeper examination of Singapore’s labour market dynamics, including the role of foreign investment and the impact on local workers, particularly older workers and those in high-skilled roles. Transparency and comprehensive data are crucial to ensure a fair and equitable employment landscape for all residents.

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