SINGAPORE: Singapore saw a rise in retrenchments in 2025, even as overall employment continued to expand, according to the Ministry of Manpower’s latest Labour Market Report released last month.
Total job cuts for the year reached 14,490, up from 12,930 in 2024. The incidence of retrenchment also edged higher, increasing to 6.3 per 1,000 employees from 5.9 the year before.
The data points to mounting pressure on white-collar workers, with professionals, managers, executives, and technicians (PMETs) experiencing a sharper uptick in layoffs than the broader workforce. Retrenchment incidence among PMETs rose to 10.1 per 1,000 resident workers in 2025, up from 8.6 per 1,000 in 2024, surpassing pre-recession norms.
Layoffs were largely concentrated in the financial services, information and communications, and professional services sectors.
The report examined trends within PMET roles amid concerns about the impact of artificial intelligence on jobs. While there is no clear evidence of widespread displacement, the figures suggest ongoing shifts in how roles are being restructured.
Despite the increase in retrenchments, demand for PMET roles has not weakened across the board. The same sectors that recorded the highest layoffs also reported relatively strong hiring demand. By December 2025, PMET job vacancies in these sectors totalled 14,600, up from 13,900 a year earlier.
The Ministry said this overlap indicates a period of transition, with some roles being phased out even as companies continue to recruit for others requiring different skill sets.
Across the economy, employment growth remained firm. Total employment expanded by 55,500 in 2025, an increase from 44,500 in 2024. Resident employment accounted for 11,600 of this growth, driven mainly by gains in financial services as well as health and social services.
Looking ahead, the Ministry expects resident employment in 2026 to grow at a similar or slightly slower pace.
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