Singapore Unemployment Rate Stays Low Amid Tight Labour Market

By Tengku Noor Shamsiah Tengku Abdullah SINGAPORE, Sept 15 (Bernama) -- The unemployment rate in Singapore remained low and stable amid the tight labour market, according to the Ministry of Manpower (MOM). In a statement on the labour market in the first half of 2014, MOM said the seasonally-adjusted citizen unemployment rate was 2.9 per cent in June 2014, while the resident long-term unemployment rate remained amongst the lowest globally at 0.6 per cent. It said foreign employment growth continued to slow in the first half of 2014, leading to the moderation of total employment growth. Foreign employment growth in the second quarter of 2014 (3,800) was the lowest since the third quarter of 2009 (700), contributing to lower year-on-year total employment growth of 3.8 per cent in June 2014 (52,200 in 1H 2014, excluding Foreign Domestic Workers). MOM said hiring of locals remained strong with 4.2 per cent year-on-year growth in local employment in June 2014 (41,000 in 1H 2014). This was supported by the continued steady increase in labour force participation of women and older residents. Noting that the manpower-lean environment will continue to be a feature of the Singapore economy, MOM said the key to firms coping with tighter labour market conditions and sustaining higher wages is through productivity growth. It said more needs to be done to raise productivity, most critically in the construction sector, as well as the more manpower-intensive industries in the services sector, adding the government is studying further measures to improve the quality of the construction workforce. --BERNAMA