Singapore resignation rates hit record lows as “job hugging” rises

Singapore’s labour market is showing an unusual pattern: workers are staying put, even when they’re unhappy. Recruiters say the trend, now dubbed “job hugging”, has become far more evident this year as employees hold on to roles out of caution rather than loyalty.

Data backs this up. The Ministry of Manpower’s latest figures show Singapore’s annual resignation rate slipping to 1.3% in 2024, the lowest since the metric was introduced nearly two decades ago. The figure eased further to 1.2% in the first half of 2025. Average job tenure has nudged up as well, rising to eight years.

What’s different today is the absence of a single trigger. Previous dips in turnover — during the 2008 financial crisis or early in the pandemic — were sharp, crisis-led and followed by strong rebounds. This time, recruiters describe the slowdown as a slow burn, fuelled by layoffs in tech, restructuring across corporate functions and a general sense that “nothing feels stable enough to jump”.

Hiring managers say candidates now take far longer to accept offers, often withdrawing late after reconsidering the risks. Some worry about being the “last in, first out”; others hesitate because bonuses or stock vesting cycles keep resetting the clock.

The tech sector remains the most jittery. After several years of realignment, roles in HR, marketing and mid-management have thinned out, while data and AI-driven roles have expanded. This has created a mismatch between the type of jobs available and the skills many workers currently have.

Economists note that psychological factors also play a part. The fear of loss — even the loss of a mediocre but predictable job — weighs more heavily than the promise of a better opportunity. This has pushed many into a holding pattern: staying longer, complaining quietly, but not moving.

Whether this trend reverses will depend on hiring confidence and how quickly workers rebuild trust in the job market. For now, “job hugging” is less a buzzword and more a reflection of a workforce trying to find its footing in a shifting economy.