Research from Randstad finds that 42% of employees would not accept a job that lacks flexibility in terms of when and where to work.
By Maggie Mancini
The Singaporean labour market remains stable, with the seasonally adjusted unemployment rate at 1.9% in the third quarter of 2024. Meanwhile, employment growth continues to be positive, particularly in the financial, communications, and professional services sectors, according to the 2025 job market outlook and salary guide from Randstad Singapore. Â
As Singapore advances its digital transformation agenda, demand for skills in technology and innovation will grow. Key focus areas include AI, machine learning, cybersecurity, data analytics, and digital marketing, the report finds. Â
Singapore’s digital economy has become a crucial driver of economic growth, comprising about one-sixth of the economy. This has had a widespread impact, as SMEs are embracing digital solutions with growing enthusiasm. At the same time, hiring in 2025 is expected to concentrate in sales, business development, and technology. The survey finds that 45% of employers expect increased demand for this type of revenue-generating talent, while 23% are targeting technology talent and 13% are focussing on digital transformation, AI, and engineering. Â
Skills mismatch continues to be a major challenge in Singapore’s job market. Technological advancements have created a gap between available skills and industry needs, with two in three employers citing candidate shortages as their main talent acquisition challenge. Â
In 2025, flexibility is a key priority for workers in Singapore, with many considering work-life balance essential when choosing an employer. Most (95%) of respondents view work-life balance as an important factor in their jobs. Additionally, 42% would not accept a position that lacks flexibility in terms of where and when they work. Â
Following closely behind are salary and benefits, especially given the rising competition in the labour market and increasing costs. The survey shows 43% of employers plan to raise salaries by 3% to 5%, while 17% intend to offer even higher increases up to 10%.Â
Looking ahead, three in five employer expect tightening corporate budgets will be their biggest HR challenge. Despite this, 38% plan to increase hiring budgets for technical roles, highlighting the gap between talent supply and demand in these positions. Â