Singapore’s job market is under scrutiny as Jobstreet by SEEK unveils its latest salary data for 2025, highlighting the disparity between salary growth and inflation. With headline inflation averaging 2.4% in 2024 and projected to range between 1.5% and 2.5% in 2025, the question remains whether salaries are rising fast enough to match the increasing cost of living.
The report identifies key sectors where salary growth is outpacing inflation. Consulting, strategy, and science and technology sectors have seen salary hikes of 27%, significantly surpassing the projected inflation rate. Information and communication technology, legal, and banking and financial services also report notable increases, with salary growth ranging from 16% to 20%.
However, only 15% of companies have reported salary increments that match or exceed inflation, indicating a broader issue across various industries. Fresh graduates entering the workforce face a stark reality, with starting salaries varying by over $1,000 per month, depending on the industry.
Interestingly, some small and medium enterprises (SMEs) are offering higher median salaries than larger corporations in sectors such as consulting, insurance, and hospitality. This trend challenges the assumption that larger companies always provide better pay.
For jobseekers, the report suggests that a proactive approach, such as negotiating with current employers or exploring new opportunities, can lead to better financial outcomes. With 42% of businesses planning to expand their permanent headcount in the first half of 2025, the job market remains competitive and dynamic.
As Singapore’s job market evolves, staying informed and adaptable is crucial for both employees and employers to navigate the challenges of inflation and salary growth.
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