Graduates should ‘stay calm’, with early data showing better employment rates: Tan See Leng

[SINGAPORE] Manpower Minister Tan See Leng urged fresh graduates and parents to “stay calm” amid growing anxieties about the tough job market, noting that early data suggests improved prospects for this year’s cohort.

The job market has generally remained resilient, he said, with more job vacancies than job seekers as at March – 1.64 vacancies per unemployed person.

“We have heard concerns about these fresh graduates, who may face anxieties starting their careers in these turbulent times,” he said at a media briefing by the Singapore Economic Resilience Taskforce on Thursday (Jul 10).

“We understand the anxieties, but we want them to be assured that there is support available,” he added.

According to early data for the 2025 cohort of fresh graduates, employment rates are higher than for last year’s batch, he noted.

“Based on a very preliminary MOM (Ministry of Manpower) study, employment rate as at June 2025 is 51.9 per cent,” the minister said. This is slightly higher than the June 2024 rate of 47.9 per cent.

He noted that these are “early days” and the data presents “a very small snapshot”.

But he also stressed: “While I think there will be some uncertainty in it, I should emphasise that we’re not in a crisis, nor are we in a recession.”

Tough market

His comments come amid growing public attention on the employment struggles of fresh graduates.

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Why Singapore’s fresh grads are struggling to get hired

About 12.9 per cent remained unemployed six months after graduation, up from 10.4 per cent in 2023, according to this year’s joint graduate employment survey.

As reported by The Business Times last month, it is not uncommon for fresh graduates to have to send out more than 100 applications before landing a full-time permanent job.

Dr Tan said vacancies for entry-level jobs remain steady, highlighting that the public sector has about 2,400 immediate vacancies suitable for fresh graduates.

“To our 2025 graduates, it is still early in your job search,” he said. “We encourage everyone to keep an open mind to different opportunities in their job searches.”

The government and tripartite partners will support them, he added. He also urged businesses to “think long-term in building future leaders and invest in developing our young workforce”.

Labour chief Ng Chee Meng, a fellow task force member, said the National Trades Union Congress has observed that fresh graduates face four gaps when entering the workforce: skills, expectation, job opportunity and experience.

These have created anxieties for many students coming into the workforce, he noted.

In skills, some youth feel unprepared to enter fast-evolving industries, such as environmental, social and governance.

Their expectations – for pay, work-life balance or job fit – may differ from those of employers.

For job opportunities, many are concerned about the impact of global instability and the impact of artificial intelligence.

As for experience, even when jobs are available, many employers still prefer candidates with industry experience, the minister noted.

“This puts first-time job seekers at a disadvantage, somewhat of a dilemma, creating a tough cycle as they need a job to gain experience, but need experience to get their first job,” he said.

Dr Tan also noted that the government and labour movement will expand access to career guidance services to help workers and job seekers navigate the economic uncertainty.

Human resource professionals can look forward to temporary enhanced funding support for basic HR certification, he said. This will help employers better manage and support their workforce in the volatile environment.

More details will be available “in due course”, he added.