Retrenchments in Singapore in 2023 were more than double that of the year before, according to advance labour market estimates released by the Manpower Ministry (MOM) on Wednesday (Jan 31).
The number of retrenchments in 2023 was 14,320, up from 6,440 in the year before.
MOM said that the top reasons for retrenchments in 2023 were business reorganisation or restructuring, ‘”due in part to the impact of global economic headwinds on outward-oriented sectors such as wholesale trade, IT services and electronics manufacturing”.
“Statistics on re-entry into retrenchment have so far showed that the majority of retrenched workers typically re-enter within six months post-retrenchment, and often in a different sector signalling the transferability of their skillsets,” said MOM.
After the sharp, post-pandemic rebound in 2022, total employment growth for the full year of 2023 was moderate amidst weaker economic conditions (from 227,800 to 89,400),” said MOM.
“The more muted pace of growth was seen for both residents and non-residents,” MOM said.
Unemployment rates were unchanged in December 2023 at 2 per cent overall, while rates remained “stable and low” for the full year of 2023.
