Released quarterly by the Ministry of Manpower (MOM), the Labour Market Report provides valuable insights into the employment landscape in Singapore for both employers and employees.
Earlier this week, the 1Q2024 Labour Market Report was published, revealing some concerning employment trends. In this article, we highlight five key employment statistics that Singapore workers should note.
#1 Rising Unemployment Rate, Especially Among Young Workers
Historically, unemployment rates in Singapore have been relatively low due to a strong economy, which typically ensures job availability. However, recent months have seen an increase in the unemployment rate.
As of March 2024, the unemployment rate among citizens stands at 3.1%, up from 2.9% in November 2023.
More concerning is the unemployment rate among younger workers. The unemployment rate for those below 30 is now at 6.2%, a significant increase from 4.6% in March 2022. Notably, all other age groups have experienced a decrease in unemployment rates from March 2022 to March 2024, except for those under 30.
#2 Increasing Long-Term Unemployment Rate Among Young Workers
Long-term unemployment refers to those unemployed for at least 25 weeks (6 months). As of March 2024, the resident long-term unemployment rate has risen to 0.8%, up from a near eight-year low of 0.5% in June 2023.
Of concern is the long-term unemployment rate among young workers. Once again, those under 30 show the highest level of long-term unemployment. The labour report also points this out.
For residents aged below 30, the increase in long-term unemployment rate could be due to individuals holding out for a better job or taking time to explore different career options post-graduation.
#3 Declining Job Vacancies per Unemployed Person
The ratio of job vacancies to unemployed persons, which indicates the number of jobs available for each unemployed individual, has declined sharply. A ratio above 1 means more job vacancies than unemployed persons. After peaking at 2.54 in June 2022, this ratio has dropped to 1.56 as of March 2024.
#4 Re-Entry Into Employment
The labour report tracks the re-entry rate into employment, which measures how quickly individuals find new jobs within six months of being retrenched. A higher rate indicates easier job finding. The current re-entry rate is 59.4%, down from 61.5% in December 2023.
#5 Recruitment Rate Falls While Resignation Rate Holds Steady
The recruitment rate has slightly declined from 2.3% in 4Q2023 to 2.1% in 1Q2024, while the resignation rate remains steady at 1.4%. This suggests that employees are staying in their jobs longer. This trend is expected given the current tight labour market, where finding new jobs is becoming more challenging, encouraging workers to stay in their current positions longer.
This comes as no surprise given the current tight labour market. As jobs become harder to find, workers are likely to look to remain in their existing roles for a longer period of time.
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