Post by : Shakul
Singapore, April 14, 2026 — The hiring landscape and wage increases in Singapore are projected to slow down in 2026, as the geopolitical tensions tied to the West Asia conflict impact business optimism. This forecast is detailed in the latest macroeconomic analysis by the Monetary Authority of Singapore.
The central bank indicated that firms are likely to adopt a more conservative stance regarding workforce expansion. In comparison to 2025, wage growth rates are anticipated to be moderate as companies navigate a global economic environment that is less predictable.
This outlook is supported by a business confidence index developed by the Singapore Commercial Credit Bureau, revealing a slight drop in overall business sentiment amid ongoing conflicts.
Employment growth is also set to decelerate, particularly among non-resident workers, in line with the wider economic trend. Conversely, resident employment is projected to remain stable, benefitting from strong demand in sectors such as healthcare, education, and public administration.
The report further pointed out persistent shortages in skilled labor, notably in the technology and engineering fields. The swift pace of technological evolution creates sustained demand for skilled professionals, thus supporting hiring in these essential areas.
Sectors vulnerable to rising energy costs may see a decline in recruitment activities. Nonetheless, the overall job market is anticipated to stay balanced, with no significant disruptions expected in the near future.
Regarding wages, the Monetary Authority of Singapore forecasts nominal wage growth to slow compared to 2025. While pre-existing salary commitments and government programs like the Progressive Wage Model should lend some assistance, a continuous economic downturn may result in subdued hiring and potential job losses.
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