Singapore employers report lower hiring sentiment for the third quarter of 2026, while continuing to indicate a willingness to pay a premium for skills including artificial intelligence (AI) literacy, as well as critical thinking and problem-solving, according to the latest ManpowerGroup Employment Outlook Survey revealed on Tuesday.

According to the survey, hiring sentiment declined in the third quarter of 2026, with the seasonally adjusted Net Employment Outlook (NEO) at +13 percent, marking its lowest level since the fourth quarter of 2021, when the outlook stood at -2 percent.

Singapore’s Outlook is also below the Asia Pacific and Middle East regional average (+28 percent) and the global average (+26 percent).

Of the 599 employers in Singapore surveyed about their Q3 2026 hiring plans, 35 percent plan to increase headcount, 41 percent expect to maintain current staffing levels, while 22 percent anticipate a decrease in their staffing levels.

The remaining 2 percent are uncertain about staffing changes in the upcoming quarter.

Notably, among employers expecting to keep staffing levels unchanged, more than a quarter (27 percent) report waiting to see how the economy changes before making hiring decisions.

This is the second most cited reason for maintaining current staffing levels, after employers reporting that their existing headcount is sufficient to meet business goals (38 percent).

“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.

“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,

“The continued willingness to pay a premium for AI and critical thinking capabilities reflects a skills-based approach to hiring, as organizations focus on strengthening productivity, efficiency, and long-term competitiveness even as overall hiring sentiment softens,” she added.

Beyond hiring intentions, the survey examined which technical and interpersonal skills employers are willing to pay a premium for in the coming quarter, highlighting where
organizations are concentrating their talent investment.

AI-related capabilities lead technical skills demand. Two-thirds (66 percent) of employers in Singapore report being willing to pay a premium for AI literacy skills, while 64 percent cite AI model and application development skills.

This is followed by traditional information technology (IT) and data skills, with 56 percent reporting a willingness to pay more for these capabilities.

Meanwhile, employers in public sector, health and social services (78 percent), professional, scientific and technical services (72 percent), and tech & IT services (69 percent) are most willing to pay a premium for AI literacy skills.

Those in information (76 percent), professional, scientific and technical services (76 percent), and finance and insurance (71 percent), are most willing to pay for AI model and application development skills.

“What is clear from the latest findings is how deliberately employers are directing their talent investment,

“Organizations 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,” said Teo.

She said this reinforces the importance of a human-first, digital-always approach—centering workforce strategy on people, while leveraging technology to amplify human capability.

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