Singapore’s labour market remains resilient despite softer hiring intentions caused by ongoing geopolitical tensions in the Middle East. The minister stated in Parliament that there has been no observed shift in employers’ hiring preferences between local and foreign workers at this stage.
Responding to questions on workforce trends and cost pressures, Dr Tan noted that resident employment continued to grow in the first quarter of 2026 compared to the same period last year. He emphasised that Singapore’s work pass policies are designed to maintain a level playing field for Singaporeans while allowing foreign workers to complement the local workforce.
Although the labour market remains stable, hiring sentiment has moderated. The proportion of firms intending to hire over the next three months fell from 54.6% in February to 44.6% in March.
The government is adapting workforce planning strategies to prepare workers and businesses for these long-term disruptions. The upcoming Economic Strategy Review, expected by mid-2026, will address how Singapore can remain competitive while supporting workforce transformation. Singapore also aims to strengthen its position as a trusted global business and trade hub during periods of global uncertainty by balancing economic growth, workforce development, and resilience.
Tham, D. (2026, May 7). No shifts in firms’ hiring preferences between locals and foreigners for now: Tan See Leng. Channel NewsAsia. https://www.channelnewsasia.com/singapore/local-foreign-worker-hiring-preference-no-change-middle-east-crisis-jobs-6105921