Singapore Adds 27,700 Jobs in Q3 2026 as Retrenchments Reach Highest Since 2020

Faster Job Growth Comes With More Layoffs

Singapore added 27,700 jobs in the third quarter of 2026, extending employment growth to a 20th consecutive quarter, even as retrenchments reached their highest quarterly level since late 2020. Advance labour market figures released by the Ministry of Manpower (MOM) on October 30 showed an economy still creating jobs, with growing pressure in some industries.

Employers retrenched 4,800 workers between July and September, up from 4,620 in the preceding quarter. Business reorganisation remained the main reason for the cuts, which were elevated in information and communications, financial services and manufacturing.

Employment growth was more than twice the increase of 11,400 recorded in the second quarter. It also exceeded the 25,100 increase in the third quarter of 2025. Non-residents accounted for most of the latest expansion, particularly in construction and manufacturing, while essential and public services continued to support resident employment.

September unemployment figures showed a similar mix of strength and strain. The overall rate held at 2%, but the resident rate rose to 3% and the citizen rate to 3.1%. Employers became more willing to hire and raise wages than in August, although a slightly larger share also expected to retrench staff.

Where the New Jobs Are Growing

Employment increased more quickly for both residents and non-residents than in the preceding quarter, according to MOM. Residents include Singapore citizens and permanent residents. Non-residents are foreign workers outside those two groups.

The ministry said resident employment growth remained concentrated in essential and public services. Growth in industries dependent on overseas markets stayed subdued amid uncertainty about the global economy. For someone seeking work, the opportunities therefore varied by industry, even as the national employment total rose.

Construction and manufacturing were the main drivers of growth in non-resident employment. Across the economy, the quarterly employment increase was 16,300 larger than in the second quarter. Compared with the same period in 2025, the increase was 2,600 larger, or about 10.4%.

Manufacturing appeared on both sides of the picture: it helped drive non-resident employment growth while also recording elevated retrenchments. An industry contains many businesses and occupations, so some employers can add workers while others reduce staff or reorganise their operations.

Retrenchments Reach a Nearly Six-Year High

The 4,800 retrenchments in the third quarter were 180 more than in the preceding three months, an increase of 3.9%. The latest quarterly total was the highest since the fourth quarter of 2020, when 5,640 workers lost their jobs during the COVID-19 pandemic.

Retrenchments subsequently declined as travel restrictions and job losses prompted foreign workers to leave Singapore, tightening the labour market. The latest increase puts quarterly layoffs back at their highest level in almost six years, although the total remains 840 below the fourth quarter of 2020.

MOM said the incidence of retrenchment remained unchanged at two per 1,000 employees. The number of people retrenched and the incidence measure describe different things: one counts job losses, while the other expresses them relative to the employee population. In the latest figures, the count rose while the reported rate held steady.

Business reorganisation can involve changing roles, combining teams or reducing positions as a company adjusts its operations. MOM identified reorganisation as the main driver of the cuts and highlighted continued pressure in selected industries that depend on international business.

Why Employment and Unemployment Can Rise Together

Singapore's overall unemployment rate remained at 2% in September. Among residents, it rose from 2.9% in August to 3%, while the citizen unemployment rate increased from 3% to 3.1%. Both increases were 0.1 percentage point.

Employment growth measures the change in the number of people working across the economy. Retrenchments count workers whose employers cut their jobs. Unemployment measures people without work who are seeking and available for a job. These figures track different movements within the same labour market.

A growing employment total can therefore sit alongside job losses and a rise in unemployment. Businesses may recruit for some roles while cutting others, and workers seeking a new position may need different skills or experience to fill the vacancies being created.

The third quarter figures show that contrast in concrete terms. Most employment growth came from non-residents, while resident and citizen unemployment edged higher in September. Essential and public services supported resident hiring, but growth remained subdued in industries exposed to overseas demand.

Hiring Plans Recover, With Caution Still Visible

MOM's September poll found that 42.3% of firms expected to hire over the following three months, up from 30.5% in August. The increase of 11.8 percentage points showed a substantial recovery in recruitment intentions from the previous month.

The share expecting to raise wages also increased, from 16.9% to 19.9%, a rise of three percentage points. Both hiring and wage expectations remained below their July levels, however, which MOM said reflected continued employer caution amid economic uncertainty.

At the same time, 3.1% of firms expected to retrench workers over the next three months, compared with 2.8% in August. MOM linked that increase with the rise in actual job cuts and warned of weaknesses in parts of the labour market.

The Ministry of Manpower, which released the advance figures, described the combination of actual and expected retrenchments in its statement:

This increase, alongside higher actual retrenchments, points to emerging weaknesses in parts of the labour market that warrant close monitoring, even as the overall market continued to expand,

The survey measures the share of companies expecting to take each action, rather than the number of workers they plan to hire, give raises to or retrench. Company intentions provide an indication of the coming months, while the employment and retrenchment figures record changes already experienced.

Support for Workers Changing Careers

MOM urged companies to keep adapting and investing in their workforce as the global outlook becomes more uncertain and technology changes quickly. It also encouraged workers to keep their skills relevant to the jobs employers need to fill.

Employers can use career conversion programmes and the Mid-Career Pathways Programme to help people learn skills for different work or build on their existing abilities. The ministry also identified the SkillsFuture Workforce Development Grant as support for workforce transformation.

Workers seeking guidance can turn to Career Health SG and career coaching and job matching services provided by the Skills and Workforce Development Agency and NTUC's Employment and Employability Institute, known as e2i. Such services can help jobseekers assess their experience and identify suitable work or training.

Training options highlighted by MOM include the SkillsFuture Level-Up Programme for people in the middle of their careers and Workfare Skills Support for workers earning lower wages. These measures address different needs: some workers may need to prepare for a new occupation, while others need additional skills within their existing field.

Help for Graduates and People Who Lose Their Jobs

Fresh graduates having difficulty finding employment can consider Graduate Industry Traineeships, or GRIT, MOM said. The scheme provides an alternative route into the workforce through opportunities to gain industry experience and relevant skills.

Eligible people who become unemployed involuntarily can receive temporary financial support of up to S$6,000 over six months through the SkillsFuture Jobseeker Support scheme. The assistance is intended to help them while they search for another job.

The support measures cover several stages of working life, from graduates seeking their first opportunity to experienced employees changing careers and people dealing with a sudden loss of income. MOM's message was for employers to invest in workers and for individuals to take early steps to improve their employment prospects.

The Dates Behind the Figures

The October 30 release brought together quarterly employment and retrenchment estimates, September unemployment rates and employers' expectations for the following three months. The sequence helps explain how the labour market changed during the period:

• Second quarter of 2026: Employment increased by 11,400 and 4,620 workers were retrenched.
• July to September 2026: Employment increased by 27,700 and retrenchments rose to 4,800.
• September 2026: Overall unemployment held at 2%, while resident and citizen unemployment edged higher.
• October 30, 2026: MOM released its advance third quarter labour market figures.
• Mid-December 2026: MOM is scheduled to release the full third quarter labour market report.

The advance figures give the first picture of the quarter. The detailed breakdown of resident and non-resident employment growth was not given, and the full report is due in mid-December without an exact release date announced.

Key Points

• Singapore added 27,700 jobs in the third quarter of 2026, its 20th consecutive quarter of employment growth.
• Non-residents accounted for most of the increase, with construction and manufacturing leading their employment growth.
• Retrenchments rose 3.9% to 4,800, the highest quarterly total since the fourth quarter of 2020.
• Overall unemployment stayed at 2% in September; resident and citizen rates rose to 3% and 3.1%.
• Hiring and wage expectations improved from August but remained below July levels, while expected retrenchments also increased.
• Eligible involuntarily unemployed people can receive up to S$6,000 over six months through SkillsFuture Jobseeker Support.
• MOM's full third quarter labour market report is due in mid-December 2026.