Singapore unemployment rate flat at 2.2% in May, likelihood of downturn ‘low’: MOM

SINGAPORE’S unemployment rates in May stayed unchanged from the month before, and the likelihood of a downturn remains low, the Ministry of Manpower (MOM) said on Thursday (Jul 7).

Overall unemployment remained at 2.2 per cent; resident unemployment, 3 per cent; and citizen unemployment, 3.1 per cent, according to MOM’s monthly unemployment report for May.

Among the 72,300 residents unemployed in May, 64,700 were citizens, said MOM. These figures are slightly lower than April’s numbers, where there were 64,800 citizens among the 72,400 unemployed residents.

The ministry said unemployment rates are expected to stay low, amid a tight labour market and high levels of vacancies, with the likelihood of a downturn in Singapore deemed low. Unemployment rates have been easing after peaking in October 2020, with the overall rate at 3.6 per cent.

But MOM also warned that the global economy is facing “significant headwinds” that could “impact business decisions”.

This includes the global economic slowdown and strong inflationary pressures, and they could be exacerbated by the ongoing Russia-Ukraine conflict and Covid-19 pandemic in economies such as China.