Resident and citizen unemployment rates up slightly: MOM

Unemployment rates have seen a slight increase in the third quarter of 2026, according to advance data by the Ministry of Manpower (MOM) on Friday (Oct 30).

Resident and citizen unemployment rates edged up to 3 per cent and 3.1 per cent respectively, from 2.9 per cent and 3 per cent in August 2026.

The overall unemployment rate remained unchanged at two per cent in September this year.

Additionally, the number of retrenchments increased from 4,620 in the second quarter of 2026 to 4,800 in the third quarter, the highest since late 2020.

The incidence of retrenchment remained at two per 1,000 employees over the same period.

"Retrenchments remained elevated in selected outward-oriented sectors, while business reorganisation continued to be the main driver of retrenchments," MOM stated.

The ministry said that total employment grew by 27,700 in the third quarter — higher than the 11,400 in the second quarter.

This figure is also higher than the 25,100 seen in the third quarter last year.

Both resident and non-resident employment grew faster than the previous quarter.

The ministry explained that resident employment growth has been primarily supported by essential and public services as the outward-oriented  sectors have seen less growth due to global economic uncertainty.

Meanwhile, non-resident employment growth accounts for majority of employment growth, mainly in sectors such as construction and manufacturing.

The number of firms expecting to hire over the next three months from September increased from 30.5 per cent in August to 42.3 per cent in September.

Companies expecting to raise wages also increased from 16.9 per cent to 19.9 per cent in the same period.

Despite the increase, the statistics are still lower compared to July.

This suggests that employers are still cautious about hiring and wage increases as global economic uncertainty continues.

Firms expecting to retrench also increased from 2.8 per cent to 3.1 per cent, which, alongside higher actual retrenchments, indicates weaknesses in the labour market that should be monitored, MOM said.

The full report to be released in mid-December will provide more details.

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