Fewer Singapore firms plan job cuts, but skills mismatch a growing concern: AmCham survey
Just 13% of companies are looking at reductions, from 22% last year; most are turning to AI upskilling
Most Singaporean companies plan to keep their headcount steady, with only 13% considering reductions, down from 22% last year. However, a growing concern among employers is the skills mismatch, which is hindering their ability to hire effectively. According to the American Chamber of Commerce in Singapore (AmCham) survey, 46% of respondents cited skills mismatch as a key manpower challenge, up from 34% in 2025.
Difficulty hiring local talent was reported by 41% of respondents. The survey, conducted in collaboration with Gallup, found that 68% of respondents expect AI to increase employee productivity, and 80% are already upskilling existing staff. Despite these efforts, only 35% of respondents feel confident in accessing foreign talent under the Complementarity Assessment Framework, which governs Employment Pass applications.
The high cost of living in Singapore also affects the ability to attract and retain senior global talent. AmCham CEO Dr Lei Hsien-Hsien emphasized the importance of investing in talent development and lifelong learning, stating that Singapore's competitiveness depends on developing a workforce with the necessary skills, adaptability, and regional experience.
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.
