Singapore’s job market concluded 2025 with a notable trend: whilst hiring activity slowed, the labour market remained tight, according to Indeed’s December Hiring Lab report. Job postings fell by 0.3% in December, marking the ninth consecutive monthly decline, yet they remain 33% above pre-pandemic levels, keeping unemployment low.
The hospitality and tourism sector continues to drive demand, with job postings more than double pre-pandemic levels. Similarly, healthcare roles, including pharmacy and physicians, show sustained high demand. Conversely, sectors like childcare, HR, and civil engineering experienced sharper declines, indicating a more selective hiring approach.
Artificial intelligence (AI) is increasingly influencing the job market, with nearly 20% of December’s job postings referencing AI, up from 12.5% a year ago. This surge is most evident in data and analytics, software development, and scientific research roles. However, AI adoption remains limited in frontline service roles such as cleaning and sanitation.
The report highlights a trend of “job hugging,” where workers prefer to stay in stable roles with clear career paths, reflecting a focus on retention over job-switching in 2025. As Singapore positions itself as a tech hub, the demand for AI-related skills is expected to grow, further shaping the job market in 2026.
