Jasmin Lau on support for retrenched workers

Singapore’s labour market continued to expand in the second quarter of 2026, with the number of job vacancies remaining greater than the number of unemployed persons. It remains resilient but there are signs of softening, with retrenchment pressures concentrated so far in manufacturing, infocommunications and financial services. The primary driver of retrenchments continues to be business restructuring. Of the 4,620 workers retrenched in the second quarter of this year, over three in four were retrenched due to business reorganisation or restructuring. The proportion of retrenchments due to a cyclical downturn remained low at 4.9 per cent. Only a small minority of firms adopting AI have reduced headcount, while more are creating new roles or redesigning jobs. Acting Manpower Minister Jasmin Lau, who gave this update in reply to MPs’ questions in parliament on Tuesday (Oct 6), said the government is comprehensively reviewing its measures to strengthen support for workers. These include measures to ensure that they are treated fairly when retrenchments occur, as well as support for those who take longer to find jobs again.