The general turnover fee in Singapore can be among the many highest within the area
Singapore’s involuntary turnover fee is the very best in Southeast Asia, based on international skilled companies agency Aon’s newest Salary Increase and Turnover Survey.
Standing at 6.6% this 12 months, it displays the share of staff who had been let go by their employers resulting from causes reminiscent of firm restructuring, downsizing, efficiency points, or redundancy. This determine marks an increase from 6% in 2024.
When together with voluntary resignations, the general turnover fee nonetheless stays among the many highest within the area, standing at 19.3% simply behind the Philippines’ 20%.
Which sectors noticed the very best turnover in Singapore?
Throughout Singapore’s industries, the retail and hospitality sector recorded the very best involuntary turnover fee at 7.3%, adopted by the know-how sector at 6.8%.
Different sectors embrace manufacturing (5.1%), life sciences and medical gadgets (4.9%), monetary companies (2.8%), and consulting, enterprise, and group companies (1.3%).
The manufacturing sector additionally had the very best total turnover fee at 26%. Rahul Chawla, Aon’s accomplice and Head of Expertise Options in Southeast Asia, stated that this could possibly be resulting from older employees exiting the business or that the sector just isn’t interesting to employees typically.
Wanting forward, most corporations are projecting a flat headcount within the second half of 2025. As corporations more and more leverage know-how and synthetic intelligence, they now are likely to give attention to optimising their current workforce reasonably than pursuing aggressive headcount progress.
That stated, the survey additionally discovered that gross sales and knowledge know-how roles stay among the many hottest jobs available in the market. The necessity for knowledge safety additionally bolsters demand for tech professionals, particularly these specialising in cyber safety.
Singapore additionally noticed the slowest wage progress in 2025
On the identical time, wages in Singapore grew by 4.3% this 12 months, the bottom in Southeast Asia. The typical proportion progress throughout the area was 5.4, with Vietnam having the very best proportion progress at 7.7.
For 2026, corporations in Singapore are budgeting a median wage improve of 4.3%, mirroring this 12 months’s precise progress, however projections range throughout industries.
Life sciences and medical gadgets corporations are anticipated to supply the biggest pay hikes at 4.6%. In line with Chawla, life sciences is historically a “good paymaster,” and such corporations additionally enchantment to abilities who’re pushed by function, like those that need to contribute to enhancing lives.
Conversely, the power sector is budgeting the smallest wage elevate at 3.5%, reflecting a extra cautious outlook.
General, Chawla highlighted that inflation is an enormous driver for wage will increase. In creating economies, inflation charges are sometimes increased, which regularly interprets to a bigger pay bump.
In an interview with the South China Morning Post, Kim Seonghoon, Affiliate Profressor of Economics on the Singapore Administration College, stated the typical 4.3% wage progress was spectacular contemplating how baseline wages had been in Singapore, in comparison with different international locations within the area.
Kim emphasised: “Though the share might seem barely decrease than neighbouring international locations, the precise greenback will increase are fairly significant given Singapore’s considerably increased GDP per capita base and decrease inflation surroundings. This mix really demonstrates sturdy financial efficiency.”
- Learn different articles we’ve written on job tendencies here.
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