Labour issues are common, even for an economic powerhouse and corporate hub like Singapore, who is a triple-A rated economy and a good place for business expansion and company incorporation. Some of the labour issues that Singapore faces are as follows.
Is There Labor Shortage in Singapore
One of the issues is there is a shortage of labour. There are 3 key reasons why this is so, namely:
Rapidly aging population
The average age of the Singapore population has been increasing. This means that there will be fewer youths who will enter the workforce.
Tighter regulations of foreign workers
Stricter measures were implemented to regulate the entry of foreign workers. As such, it became more difficult for foreign workers to receive an S Pass or Work Permit. The government also introduced a law that requires all businesses in Singapore to prioritise locals when hiring.
Mismatch of skills
The skills most sought by the job market are mostly not the most common, leading to a gap between employers and prospective employees. Upskilling programmes have been initiated to bridge this gap.
As like most countries, gender inequality remains a key issue in Singapore. The average woman who works in Singapore full-time earns just 87.5% of what her male counterparts earns. This is more common in the following industries:
Information & Communications
If you’re interested in starting a business in these industries, you should know that doing so requires a license. Reach out to us to get your business license in Singapore, along with other services like corporate secretary, taxation, and more!