Fresh university graduates in Singapore experienced an increase in salaries in 2023 compared to the previous three years, according to a recent graduate employment survey. The median gross salaries of fresh graduates rose to S$4,313 (US$3,212) in 2023, up from S$4,200 (US$3,128) in 2022. However, the survey also revealed a decline in the percentage of fresh graduates securing full-time permanent roles, with only 84.1% finding such positions compared to 87.5% in the previous year. The survey included responses from 12,300 fresh graduates of full-time programs at the four major universities in Singapore and was conducted approximately six months after the completion of final examinations [d96df0a6].
Despite the increase in salaries, there was a decrease in the number of graduates engaged in part-time or temporary work and freelance work. Overall, 89.6% of the surveyed graduates found permanent, freelance, or part-time jobs within six months of graduation. Health sciences, information and digital technologies, and business were the top course clusters for full-time permanent employment. Graduates in information and digital technologies courses commanded the highest monthly pay at S$5,500 (US$4,096). Engineering graduates experienced a dip in median gross monthly salary, while all other course clusters saw an increase [d96df0a6].
The findings of the survey highlight the evolving job market for fresh graduates in Singapore. While salaries have increased, there is a growing challenge in securing full-time permanent roles. This could be attributed to various factors, including increased competition and the changing demands of employers. The survey underscores the importance of staying competitive and acquiring in-demand skills to enhance job prospects in the current labor market [d96df0a6].
In a related development, Singapore is tightening its rules for expat workers in an attempt to address local discontent and competition for jobs. Starting next year, new applicants for the Employment Pass (EP) system will have to earn at least S$5,600 (US$4,140) per month, up from S$5,000 (US$3,700). The changes are aimed at assuring locals that the system works for them and targeting high-end talent. The salary threshold for applicants in the financial services sector will be even higher at S$6,200 (US$4,600). The move is seen as a strategic one ahead of the next general election, due by 2025. While the higher salary threshold may affect the profitability of small to medium-sized enterprises (SMEs) with tighter budgets, larger companies are likely to focus on attracting talent in areas such as AI, technology, engineering, and healthcare. Singapore's advantages, including a business-friendly environment, strategic location, and world-class infrastructure, are expected to continue attracting international companies despite the higher costs [f1c90a25].
In another development, Singapore plans to introduce a new law this year to support gig workers in planning for retirement and obtaining work injury protection. The law will provide protections in the areas of work injury compensation and retirement fund contributions, as well as allow for collective representation of gig workers. Singapore is one of the first countries in the world to implement such legislation. The government will also announce new support measures for unemployed individuals to help them return to the workforce [35bf6c61].