MOM Labour Force Survey 2025: Unravelling Singapore's Evolving Workforce

Introduction

The Ministry of Manpower (MOM) Labour Force Survey 2025 provides invaluable insights into the dynamics of Singapore's labour market, offering a comprehensive snapshot of its current state and future trajectory. By delving into the survey's key findings, we can gain a deeper understanding of the challenges and opportunities facing Singapore's workforce in the years ahead.

Employment Trends

Rising Labour Force Participation

One of the most notable trends revealed by the Labour Force Survey is the steady increase in labour force participation. In 2025, the labour force is projected to reach 3.5 million, representing a significant increase from 3.3 million in 2020. This growth is largely driven by the increasing participation of women and older workers in the labour market.

Sectoral Shifts

The Labour Force Survey also highlights significant sectoral shifts within the economy. The services sector continues to dominate, accounting for 70% of total employment in 2025. However, there is a notable shift towards high-value-added and knowledge-intensive industries, such as finance, healthcare, and information and communications technology.

Skill Mismatch and Demand

The survey identified a growing skills mismatch between the workforce and the needs of the economy. Despite high levels of education, many graduates lack the specialised skills required for emerging industries. This mismatch can lead to unemployment and underemployment, particularly among younger workers.

Workforce Challenges

Ageing Workforce

Singapore's population is rapidly ageing, with the median age projected to reach 46 by 2025. This ageing workforce poses challenges for productivity and economic growth. The government has implemented various initiatives to encourage older workers to remain in the workforce, such as the Senior Worker Support Package.

Productivity Gap

Despite Singapore's high levels of education and investment in technology, the Labour Force Survey indicates a productivity gap compared to other developed economies. This gap can be attributed to factors such as a lack of innovation, limited skills development, and a shortage of skilled labour.

Workforce Opportunities

Growing Demand for Talent

The Labour Force Survey highlights the growing demand for talent in key sectors, such as healthcare, technology, and finance. This demand is driven by the expansion of industries and the increasing sophistication of the economy. Skilled workers with specialised knowledge and experience will be in high demand.

Lifelong Learning and Upskilling

The survey emphasises the importance of lifelong learning and upskilling to address the skills mismatch and prepare for future job demands. The government has introduced numerous initiatives and programmes to support workers in developing new skills and enhancing their employability.

Strategies for the Future

Invest in Education and Training

To address the skills mismatch and prepare the workforce for the future, it is crucial to invest in education and training. The government, employers, and individuals should collaborate to provide opportunities for lifelong learning, skill acquisition, and on-the-job training.

Promote Innovation and Productivity

Innovation and productivity are key drivers of economic growth. The government and businesses can foster innovation by investing in research and development, supporting start-ups, and creating an environment conducive to creativity and risk-taking.

Enhance Labour Market Flexibility

To address the challenges of an ageing workforce and a changing economy, it is necessary to enhance labour market flexibility. This includes promoting flexible work arrangements, facilitating job matching and transitions, and providing support for displaced workers.

Attract and Retain Talent

To meet talent needs, Singapore should continue to attract and retain skilled workers from overseas. The government should implement policies that make it easier for foreign workers to obtain work visas and integrate into the local workforce.

Conclusion

The MOM Labour Force Survey 2025 provides valuable insights into the future of Singapore's labour market. By understanding the key trends, challenges, and opportunities highlighted by the survey, policymakers, employers, and individuals can prepare for the evolving workforce and secure Singapore's economic success in the years to come.

Additional Insights

Emerging Trends and Technologies

The survey also highlights emerging trends and technologies that are shaping the future of work. These include the rise of artificial intelligence, automation, and the gig economy. Understanding these trends will be critical for individuals and organisations to adapt and thrive in the changing labour market.

Policy Implications

The Labour Force Survey findings have significant policy implications for the government. The government should consider implementing policies that support lifelong learning, promote innovation, enhance labour market flexibility, and attract and retain skilled workers.

Case Studies and Best Practices

To illustrate the successful implementation of strategies to address labour force challenges, the survey presents case studies and best practices from other countries and organisations. These examples can provide inspiration and guidance for policymakers and employers in Singapore.