Despite improvements, COVID-19 has significantly impacted employment in Singapore
The Ministry of Manpower (MOM) today revealed the full extent of the impact of COVID-19 on Singapore’s employment market. Despite signs of recovery, 2020's total employment was at its worse in over two decades.
By the fourth quarter last year, MOM found “broad improvement” in Singapore’s labour market. Unemployment and retrenchments started to ease, while job vacancies saw an increase. MOM also reported that a higher proportion of retrenched workers found jobs by end of 2020.
“Notwithstanding the improvements, the impact of COVID-19 on Singapore’s labour market has been significant,” said MOM. “Resident unemployment and long-term unemployment rates are still elevated, and labour market recovery in 2021 remains surrounded in uncertainty.”
They noted that government measures seemed to have cushioned the impact, ensuring that unemployment rates didn’t exceed the figures recorded in previous recessions. However, non-residents or foreign employees bore the brunt of unemployment rates, especially within the construction and manufacturing sectors.
“While Singapore’s COVID-19 situation remains under control and our vaccination program is underway, uncertainties and risks in the global economy remain,” said MOM. “Consequently, the labour market conditions remain uncertain although we have started 2021 on a firmer footing than in 2020. Labour market recovery may be gradual and uneven across sectors.”
