SINGAPORE: With the tight labour market, the growth formula for the next 10 years needs recalibration.
According to Manpower Minister Lim Swee Say, Singapore needs to rely on productivity improvements to achieve targeted growth rates.
"In the last 10 years, we have been growing our economy based on a simple formula of '3+1=4' - 3 per cent growth in our workforce plus 1 per cent improvement in our productivity to give us 4 per cent growth in our economy,” he said on Wednesday (Jul 1) at NTUC e2i’s annual Employability Fair.
“As I mentioned, 3 per cent is not sustainable because our local workforce not growing at 3 per cent. For the next 10 years, we're working towards '1+2=3' - 1 per cent growth in our workforce plus 2 per cent improvement in our productivity to give us the 3 per cent growth."
The month-long fair commenced on Wednesday, featuring about 100 events, 500 employers and 5,000 job opportunities.
IN-Tune, a joint collaboration between e2i and SeraphCorp Institute, marked the first event on the Fair's calendar. It serves as a platform for SMEs to network, share ideas and discuss SME-related issues.