[SINGAPORE] If you’ve heard recent headlines about rising graduate unemployment in Singapore—especially citing a 130% increase in joblessness among public university graduates between 2021 and 2024—you might be wondering what’s really going on. This guide breaks down the latest data, explains the factors shaping the job market, and helps you separate fact from alarmism. By the end, you’ll understand why these trends matter, what’s driving them, and what you can do to navigate today’s complex graduate job landscape.
Recent surveys and online discussions have highlighted a sharp rise in unemployment among graduates from Singapore’s public universities. The key statistic: the proportion of graduates in the labour force who were unemployed rose from 5.6% in 2021 to 12.9% in 2024—a 130% increase.
But context is crucial. Pre-pandemic, from 2016 to 2019, the unemployment rate for graduates ranged from 9.3% to 11.1%, and in 2020 it was 6.4%. This means that while 2024’s figures are higher than the immediate post-Covid years, they are not far off from pre-pandemic norms. The pandemic created a unique labour market, with a temporary worker shortage and a spike in demand for local hires, which may have artificially lowered graduate unemployment in 2021 and 2022.
Why Are Graduates Struggling to Find Jobs?
Several interconnected factors are making it harder for graduates to land full-time roles:
Technological Change and AI: The rise of AI and automation is reshaping industries, making some entry-level jobs redundant or less in demand. Companies are also using technology to increase productivity, meaning fewer people are needed for the same output.
Mass Layoffs, Especially in Tech: The tech sector, once a magnet for graduates, has seen significant layoffs and hiring freezes. This has ripple effects across the economy, as tech companies are major employers and drivers of demand for related roles.
Global Economic Uncertainty and Tariffs: Recent US tariffs and a slowdown in global growth have dampened hiring across sectors like manufacturing, finance, and wholesale trade. Companies are cautious about expanding and may freeze hiring or look for more experienced candidates.
Supply and Demand Imbalance: The number of graduates is growing, but job vacancies are not keeping pace—especially in certain fields. This creates intense competition for available roles.
Skills Mismatch: Employers increasingly seek candidates with adaptable skill sets and practical experience, which many fresh graduates lack. Some graduates may also have unrealistic salary expectations or lack awareness of industry requirements.
What’s Behind the Headlines: Myth vs. Reality
Myth: “Graduates today are just too picky or lack ambition.”
Reality: While some graduates may have unrealistic expectations, most are highly motivated and face real structural challenges in the job market. The rise in unemployment is driven more by economic and technological shifts than by individual attitudes.
Myth: “There are no jobs for graduates.”
Reality: There are still many jobs available, but the nature of those jobs is changing. Employers value skills, adaptability, and experience more than ever. Certain sectors, like health sciences and business, continue to see strong demand.
Myth: “The current situation is unprecedented and dire.”
Reality: While the job market is tougher than in the immediate post-Covid years, current unemployment rates are not far off from pre-pandemic levels. Year-to-year fluctuations are often cyclical, reflecting broader economic trends.
How Graduates and Employers Are Adapting
For Graduates:
Upskilling and Reskilling: Many are investing in additional certifications, online courses, or postgraduate studies to stand out and meet employer demands.
Gaining Practical Experience: Internships, traineeships, and contract roles are becoming more common as stepping stones to full-time employment.
Networking: Building professional connections is increasingly important for uncovering hidden job opportunities.
For Employers:
Focus on Skills and Adaptability: Companies are prioritizing candidates who can learn quickly, adapt to new technologies, and contribute from day one.
Contract and Project-Based Hiring: To manage uncertainty, many firms are hiring graduates on short-term contracts or for specific projects.
Investing in Training: Some employers are offering more training and development opportunities to bridge the skills gap.
FAQ and Myth-Busting
Q: Is it true that most graduates can’t find jobs?
A: No. While unemployment is up, the majority of graduates still find employment within six months. The situation is tougher than in recent years, but not unprecedented.
Q: Are private university graduates worse off than public ones?
A: Yes, private university graduates face lower full-time employment rates and salaries compared to their public university peers.
Q: Is AI really taking jobs from graduates?
A: AI is changing the job market, automating some tasks and increasing productivity. This means fewer entry-level roles in some sectors, but also creates new opportunities in tech and related fields.
Q: Should I still go to university?
A: Yes, a degree remains valuable, but it’s important to choose your field wisely, gain practical experience, and be prepared to adapt to a changing job market.
Q: Are graduates being too picky about salaries?
A: Some may have unrealistic expectations, but most are simply responding to a competitive market. Employers are looking for skills and experience, not just academic credentials.
Why This Matters
The current graduate employment landscape in Singapore is a microcosm of broader global trends: technological disruption, economic uncertainty, and shifting employer expectations. Understanding these dynamics is essential for anyone entering the workforce, hiring new talent, or investing in education and training.
For graduates, the message is clear: adaptability, continuous learning, and real-world experience are more important than ever. For employers, the challenge is to bridge the skills gap and support new talent through training and flexible hiring practices.
Ultimately, the data shows that while the job market is tougher than it was a few years ago, it is not broken. With the right strategies, graduates and employers alike can navigate these changes and thrive in the new economy.
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