The job market in Singapore continues to evolve, with a growing emphasis on high-skilled positions. According to the Ministry of Manpower (MOM) Job Vacancies Report 2024, 57.7% of job openings were for professionals, managers, executives, and technicians (PMETs). This shift reflects Singapore’s economic expansion, particularly in sectors such as information technology, financial services, and professional services. Additionally, trends such as skills-based hiring and structural job changes are shaping the labor landscape.
Growing Demand for PMETs in Singapore
In 2024, PMET job vacancies rose to 57.7%, up from 57.2% in the previous year. The report highlights that industries such as information and communications, financial services, and professional services are fueling this demand. Companies are increasingly looking for skilled talent in areas such as software development, investment advisory, and digital infrastructure. The strong demand for PMETs is a sign of the evolving job market, where technical expertise and specialized knowledge are highly valued.
Newly Created Positions Indicate Structural Shifts
A significant portion of job vacancies in 2024 came from newly created roles, accounting for 45.7% of openings. This trend underscores the dynamic nature of the labor market, driven by business expansion and digital transformation. Over half (54.7%) of these positions emerged due to the growth of existing business functions, while about a third resulted from companies expanding into new areas. Notably, industries such as IT, financial services, and professional services led the way in job creation. However, retail and food & beverage sectors saw fewer new roles, likely due to shifting consumer spending patterns.
Declining Job Mismatches and Increased Hiring Efficiency
Singapore’s labor market has become more efficient in matching workers to jobs. The job vacancy rate and unemployment rate both declined, indicating that more people are finding suitable employment faster. Hard-to-fill vacancies, which remained open for at least six months, dropped to 19.4% in 2024 from 23.5% in 2023. A decade ago, this figure stood at 41.4%, highlighting a steady improvement in hiring processes. Employers have adapted by redesigning roles, leveraging technology, and offering better working conditions, particularly for non-PMET positions.
Rise of Skills-Based Hiring Over Academic Qualifications
One of the most significant changes in Singapore’s job market is the increasing emphasis on skills-based hiring. MOM’s report reveals that 78.8% of job vacancies in 2024 did not prioritize academic qualifications, up from 74.9% in 2023. Employers are placing greater value on practical skills, relevant experience, and industry certifications over traditional degree requirements. This shift is especially evident in PMET roles, where companies are willing to hire candidates with lower formal qualifications if they demonstrate the necessary competencies.
Impact of Technology and Foreign Manpower on Employment Trends
Technology and automation have played a crucial role in shaping job demand. Digital transformation, artificial intelligence, and data analytics are now core components of many business operations. Employers are investing in workforce training and upskilling initiatives to ensure employees stay relevant in the evolving job landscape. Additionally, Singapore continues to balance local and foreign manpower needs. MOM’s report indicates that both resident and non-resident PMET employment have risen, showing a complementary relationship rather than direct competition between the two groups.
Employment Outlook: What Job Seekers Should Expect
The overall job market remains strong, with 1.64 job vacancies for every unemployed person in December 2024. With companies actively seeking skilled professionals, job seekers can improve their prospects by acquiring in-demand skills. Emerging roles in tech, finance, and professional services present valuable opportunities for career growth. Employers, in turn, are adapting by widening their talent pool, embracing skills-based hiring, and offering attractive career development pathways.
Conclusion
Singapore’s job market continues to evolve, with rising demand for PMETs, increased efficiency in job matching, and a growing preference for skills-based hiring. As businesses expand and embrace digital transformation, job seekers who invest in upgrading their skills will have a competitive edge. The employment landscape in 2024 presents opportunities for both job seekers and employers, reflecting a positive trajectory for Singapore’s workforce and economic growth.
