Unemployment rate rose 2.1% in Q2

Retrenchments inched up to 2,500 from 2,320 in Q1.

Overall unemployment rates increased 2.1% in June from 2.0% in March, the Ministry of Manpower (MOM) revealed. Unemployment rate for residents grew 3.0% from 2.8% whilst rate for citizens inched up 3.1% from 3.0%.

According to MOM, a general slumping trend has been observed since June 2017.

In addition, retrenchments reached 2,500 in Q2 from 2,320 in Q1 amidst firms’ on-going restructuring and reorganisation. Despite this, retrenchment in Q2 2018 was lower YoY from 3,640.

“It will be increasingly important for workers and businesses to stay agile and responsive to emerging technological trends, economic restructuring and the evolving workforce landscape,” MOM commented.

Retrenchments declined over the quarter in services, remained largely unchanged in construction, and increased in manufacturing.

Meanwhile, total employment excluding foreign domestic Workers increased by 7,100 in Q2 2018, which is larger compared to the increase of about 400 in Q1.

“The increase in 2Q 2018 was also a reversal from the contraction observed in the same period a year ago (-7,900),” MOM commented.

The agency noted that the services sector hired more workers in transportation and storage, information and communications, community, social, and personal services, professional services, as well as financial and insurance segments.