Fewer S'pore layoffs in 2024 than in 2023; resident employment up

Layoffs rose in the last quarter of 2024, but the year still closed with fewer layoffs than in 2023, and more Singapore residents in jobs.

- Sharon Salim

There were 3,600 retrenchments in the fourth quarter of 2024, up from 3,050 in the previous quarter, according to preliminary labour market data released by the Ministry of Manpower (MOM) on Jan 27.

The ministry said the latest figure is still in line with norms for non-recession years.

Overall, the number of retrenchments fell to 12,930 in 2024, from 14,590 in 2023, with no significant increases across sectors. Corporate restructuring was the main reason companies cited for laying off workers.

CGS International economic adviser Song Seng Wun noted there were retrenchments in the technology, e-commerce, and food and beverage (F&B) sectors.

He added that for F&B, the rate at which new businesses open has slowed down, while the rate of closures has increased. This could be due in part to people travelling more, thanks to the strong Singapore dollar in 2024, meaning they tend to eat and drink out less locally.

For the full year, the number of residents - Singaporeans and permanent residents - in employment grew, unlike in 2023 when there was a decline in resident employment. On the other hand, the growth in the number of foreigners employed here is expected to slow "considerably" from 2023, said the ministry.

As a result, total employment growth in 2024 is expected to slow to 45,500, lower than the 78,800 increase seen in 2023, excluding foreign domestic workers. MOM will release further details on the breakdown of employment growth in a regular report due in mid-March.