Source: ManpowerGroup Employment Outlook Survey, Q4 2026
Singapore employers are adopting a more selective hiring stance in Q3 2026, with the seasonally adjusted Net Employment Outlook (NEO) falling to +13%—down 11 points quarter-on-quarter and year-on-year—yet continuing to signal strong willingness to pay a premium for AI literacy and critical thinking skills.
The June 2026 ManpowerGroup Employment Outlook Survey reveals that while overall hiring sentiment has softened to its lowest level since Q4 2021, talent investment remains focused on capabilities that drive productivity and long-term competitiveness.
Of the 599 employers surveyed in Singapore, 35% plan to increase headcount in Q3 2026, 41% expect to maintain current staffing levels, and 22% anticipate reductions.
Among those holding staffing steady, 27% cite waiting to see how the economy changes before making hiring decisions—the second most common reason after reporting that existing headcount is sufficient to meet business goals (38%).
"Employers in Singapore are taking a more cautious approach to hiring this quarter, with many choosing to hold steady on headcount until there is greater clarity on geopolitical conditions," said Linda Teo, country manager of ManpowerGroup Singapore.
Linda Teo
"This does not mean employers are standing still. Instead, hiring decisions are becoming more selective and deliberate, with investment increasingly directed toward skills that deliver the greatest impact." Linda Teo
Technical skills commanding premium pay include AI literacy (66%), AI model and application development (64%), and traditional IT and data skills (56%). On the soft skills front, critical thinking and problem-solving (66%), communication, collaboration and teamwork (66%), and leadership and social influence (64%) top the list of capabilities employers are willing to pay more for.
Sector breakdown shows employers in Public Sector, Health & Social Services (78%), Professional, Scientific & Technical Services (72%), and Tech & IT Services (69%) are most willing to pay a premium for AI literacy. For AI model and application development, Information (76%), Professional, Scientific & Technical Services (76%), and Finance & Insurance (71%) lead willingness to pay more.
"What is clear from the latest findings is how deliberately employers are directing their talent investment," commented Teo. She opioned that organisations are placing greater emphasis on building capability in areas that support transformation and execution, particularly AI-related skills alongside core human strengths such as problem-solving, collaboration, and leadership.
"This reinforces the importance of a human-first, digital-always approach—centering workforce strategy on people, while leveraging technology to amplify human capability," she added.
Regionally, Singapore's +13% outlook trails the Asia Pacific and Middle East average of +28% and the global average of +26%. India anchors regional confidence at +48%, while Hong Kong remains the most cautious market at -9%. Across APME, 69% of employers report willingness to pay a premium for AI literacy, and 74% for communication, collaboration and teamwork.
