Laid-off locals took longer to find work in Q2 2026; job vacancies shrink 6.4%: MOM
Retrenchments stood at 4,620 for the three months, higher than earlier estimates
In Q2 2026, retrenchments spiked by over 20.6% compared to the previous quarter, with 4,620 employees losing their jobs. This marked the highest number since late 2020, primarily affecting sectors such as manufacturing, information and communications, and financial services. Simultaneously, job vacancies declined by 6.4% to 68,600 in June, largely due to fewer positions available in professional services like financial services and information and communications.
The MOM's Acting Minister for Manpower, Jasmin Lau, acknowledged that while jobs were still available, transitioning between positions could be challenging. The government pledged support for workers to adapt and transition into new roles. However, only 54.9% of the retrenched residents found employment within six months, a decline from the 60.7% found in early 2026.
Resident employment growth outpaced the overall increase, with 2,200 new resident jobs created. Despite a fall in recruitment rates and resignation rates, total employment remained strong, driven by foreign workers in construction and manufacturing. The resident long-term unemployment rate rose to 1% by the end of June, and 48.7% of employers surveyed planned to hire in the next three months, but wage increases remained less expected compared to February 2026.
Written by urgent.news from The Business Times - Singapore's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
