More Than Half of Employers Polled Do Not Plan to Raise Headcount in the Next Six Months, SNEF Survey Finds

More Than Half of Employers Polled Do Not Plan to Raise Headcount in the Next Six Months, SNEF Survey Finds

The Business Times | Perspective | 4 September 2026

A Singapore National Employers Federation poll of 320 companies employing about 160,000 workers found 54 per cent do not plan to increase headcount over the next six months, while about 51 per cent expect to moderate wage increases. Employers cited cost pressures and an uncertain outlook.

320
Companies Polled
160,000
Workers Represented
54%
No Headcount Increase
51%
Moderating Wage Rises

What the Survey Found

The Singapore National Employers Federation surveyed 320 companies collectively employing about 160,000 workers. More than half, some 54 per cent, said they do not plan to increase headcount in the next six months.

About 40 per cent said they intend to hire. On pay, roughly 51 per cent indicated they would moderate wage increases over the same period.

Support for lower-wage workers held up better than the headline figures suggest. Some 86 per cent of respondents said they would still provide built in wage increases for lower-wage workers, in line with prevailing wage guidance.

Why Employers Are Holding Back

Manpower cost was the dominant concern, cited by 83 per cent of respondents. Employers pointed to an uncertain economic outlook and to margin pressure as reasons for caution on both hiring and pay.

SNEF president Kuah Boon Wee described the pattern as a K-shaped economy, in which some sectors and firms continue to expand while others contract, rather than a uniform slowdown across the board.

The picture is therefore mixed rather than uniformly negative. A substantial minority of employers still intend to hire, and the great majority are maintaining built in increases at the lower end of the wage scale.

Reading It Alongside the Property Market

Wage growth and job security are two of the inputs banks weigh when sizing a home loan, and they shape how confident buyers feel about committing to a long tenure. A period of moderating wage increases does not stop transactions, but it does tend to make buyers more deliberate.

The K-shaped framing matters here. Household circumstances in Singapore are not moving in one direction at once, so broad labour market headlines are a weak guide to any individual buyer’s position.

AsianPrime Perspective: Read this as a planning input, not a market call. If your own income and job are stable, a survey about aggregate employer sentiment says very little about your borrowing capacity. Where it does bite is timing and buffer. In a flatter wage cycle it is sensible to stress test your repayments against a slower income path and to keep a larger cash reserve rather than stretching to the maximum loan a bank will approve. See also the CapitaLand Investment job cuts reported the same day.

Frequently Asked Questions

How many employers were surveyed?

The Singapore National Employers Federation polled 320 companies collectively employing about 160,000 workers.

Are wages being cut?

No. About 51 per cent of respondents said they would moderate wage increases, meaning smaller rises rather than reductions. Some 86 per cent said they would still provide built in wage increases for lower-wage workers.

Is anyone still hiring?

Yes. About 40 per cent of respondents said they intend to hire in the next six months. SNEF president Kuah Boon Wee described the situation as a K-shaped economy, with some sectors expanding while others contract.

What does this mean for buying a home?

It is a reason to plan conservatively rather than to pause. Stress test repayments against a slower income path, keep a healthy cash buffer and avoid borrowing to the absolute maximum. Individual circumstances matter far more than aggregate survey figures.

Sherry Tang, AsianPrime Properties

Planning a purchase in a flatter wage cycle?

Affordability is personal, not statistical. If you want an honest view of what you can comfortably carry, and how much buffer to keep, I am happy to work through the numbers with you.

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Sherry Tang · AsianPrime Properties · CEA Reg. R020241C · Agency Licence L3010623G

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