Singapore ramps up AI employability support as PMET retrenchments rise

The Singapore government has acknowledged growing labour market disruptions linked to restructuring and the rise of artificial intelligence, as retrenchment rates among Professionals, Managers, Executives and Technicians (PMETs) remain elevated in key sectors such as information and communications, financial services, and professional services.

Responding to parliamentary questions filed by He Ting Ru, Singapore’s Ministry of Manpower (MOM) said higher retrenchment incidences in these sectors reflect ongoing restructuring rather than a decline in demand for PMET talent.

The ministry noted that it currently does not track salary premiums associated with AI skills, citing the early stage of AI adoption across businesses in Singapore.

According to MOM, employee compensation continues to depend on multiple factors including industry, experience, and prevailing market conditions, beyond AI proficiency alone.

However, the government signalled a stronger push toward workforce reskilling and employability support as AI adoption accelerates across industries.

To help workers remain competitive, MOM outlined several initiatives aimed at supporting career transitions and AI capability building. Workforce Singapore’s Career Conversion Programmes are being positioned to help workers, particularly those in clerical and back-office roles, transition into jobs with stronger long-term prospects.

For fresh graduates struggling to secure full-time employment, the Graduate Industry Traineeship (GRIT) scheme will continue providing structured industry exposure and work experience to ease labour market entry.

Singapore is also stepping up AI-focused learning efforts through SkillsFuture Singapore, which is simplifying AI learning pathways to help working adults identify training aligned with employer demand and varying skill levels.

In a further push to encourage practical AI adoption, the government announced that Singaporeans enrolling in eligible AI training programmes later this year will receive six months of complimentary access to premium AI tools. The initiative is intended to help workers gain hands-on experience and build confidence using AI in workplace settings.

MOM said it will continue monitoring labour market developments closely and adjust support measures as jobs evolve, particularly for workers in clerical, back-office, and entry-level knowledge roles that may face higher risks of displacement amid technological shifts.