Budget 2020 should carry greater support, funding and focus in the areas of jobs and skills for Singaporeans, given the current and impending challenges such as the demographic and labour force profile, US-China trade war, Brexit, technological disruption and the Wuhan Coronavirus outbreak.
NTUC Assistant Secretary-General Patrick Tay said this in a Facebook post in response to the Labour Market Advance Report Quarter 4 2019, released on 30 January 2020.
The report stated that the retrenchment number in the fourth quarter, which stood at 2,700, was higher than the third quarter, which was 2,470.
In total, 10,700 retrenchments happened in 2019, which was similar to the figures for 2018.
The overall unemployment rate, resident unemployment rate and citizen unemployment rate in 2019 also increased – 2.3 per cent 2.9 per cent and 3.3 per cent respectively. The respective unemployment figures for each category in 2018 were 2.1 per cent, 2.9 per cent and 3 per cent.
Total employment in the fourth quarter of 2019 grew by 16,600, which was lower than the previous quarter, which saw a growth of 21,700. Overall employment growth in 2019 was 55,200.
“The rise in unemployment with retrenchment figures holding steady, coupled with a rise in employment, suggests that structural challenges such as skills and jobs mismatches continue to be the main cause of unemployment in Singapore,” said Mr Tay.
He added that most companies “held the line” amidst global uncertainties last year, and the retrenchments in 2019 were mostly due to re-organisation, restructuring, and transformation.
“The on-going Wuhan virus and how it pans out will inevitably affect demand and impact sectors such as aviation, travel, hospitality and retail amongst others,” said Mr Tay.
Mr Tay also said that support should target both workers, especially mature workers and PMEs, and employers, including small- and medium-sized enterprises.
“I can’t emphasise more the importance for all Singaporeans to build up our portfolio of in-demand skills and competencies, employers to direct their sights and energies to support these skills and capabilities acquisition journey and Government to facilitate, provide the catalyst, and build an eco-system to encourage lifelong learning and continuous education and training,” he added.
