Singapore employers double flexible hiring amid AI push: Jobstreet
SINGAPORE, SINGAPORE — Employers in Singapore increasingly turn to contract, part-time, and flexible work arrangements.
According to the latest Jobstreet by SEEK Hiring, Compensation and Benefits 2025 report, 31% of employers are ramping up their reliance on non-permanent staff this year—more than double the 15% reported in 2024.
The trend is especially pronounced among small and medium-sized businesses, which cite business expansion, the need for a more adaptable workforce, and the demand for new skill sets as key drivers.
Permanent hiring also on the rise
Despite the surge in flexible hiring, confidence in permanent employment remains strong. Forty-two percent of employers plan to hire more permanent staff in the first half of 2025, up from 32% who were optimistic about the job market in the latter half of 2024.
The rise reflects broader economic optimism, with Singapore’s GDP forecasted to grow between 1% and 3% this year.
The survey, conducted between September and October 2024, gathered responses from 887 hirers and HR professionals across industries such as trade, manufacturing, engineering, and technology.
AI and employee development rise in Singapore
A notable development in hiring trends is the growing emphasis on artificial intelligence (AI) literacy. Fifty-four percent of employers now consider AI fluency during recruitment, with nearly one in five viewing it as a primary requirement.
However, only 15% of businesses have implemented AI tools in their hiring processes. Barriers to wider adoption include perceptions that AI is unnecessary (51%), concerns about losing the human touch (44%), and a lack of knowledge or access to AI applications (40%).
“Singapore’s job market is entering a new chapter,” said Vic Sithasanan, managing director at Jobstreet by SEEK in Singapore. “Where salary once reigned supreme, the data shows us that employers and jobseekers are now focused on AI readiness, work-life flexibility, and meaningful career development.”
Supporting employee well-being and growth
Companies are also investing more in long-term employee development. Plans for 2025 include expanding access to training or self-learning programs (8%), apprenticeship or mentoring opportunities (9%), and job rotation opportunities (9%).
Non-monetary benefits such as flexible work arrangements, mental health days, and enhanced family care leave are gaining traction, reflecting a broader commitment to employee well-being.
Last year, 16% of businesses offered additional paternity leave, 14% provided family care leave, and 12% enhanced maternity leave, in line with Singapore’s updated parental leave policies.
Top job functions and compensation trends
The report highlighted that administration and human resources remained the top hiring function at 36%, followed by accounting (28%) and sales and business development (23%). Customer service and branding and marketing entered the top five for the first time.
While 76% of companies awarded bonuses in 2024, salary increases and promotions saw a slight dip, with only 79% of businesses implementing pay raises and 54% offering promotions—down from previous years.
