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Govt watching job situation for fresh graduates closely, exploring further support: Gan Siow Huang

Govt watching job situation for fresh graduates closely, exploring further support: Gan Siow Huang

Straits Times09-07-2025
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Minister Gan Siow Huang also said that by and large, the Singapore economy is still resilient.
SINGAPORE – Amid a challenging hiring outlook, the Government is watching the employment situation of fresh graduates closely, said Ms Gan Siow Huang, Minister of State for Foreign Affairs, and Trade and Industry, on July 9.
The institutes of higher learning are stepping up to help graduates having difficulties in their job search, she said. These include providing career coaching, networking opportunities and upskilling courses, and organising career fairs.
Ms Gan was speaking to the media after an engagement session at Republic Polytechnic with about 20 fresh graduates and final-year students from the five polytechnics in Singapore.
The latest annual graduate employment surveys conducted by the universities and polytechnics show that fewer of their fresh graduates secured full-time employment in 2024.
For fresh graduates from the universities,
79.5 per cent of them secured full-time job
s in 2024, down from 84.1 per cent in 2023.
Employment outcomes for polytechnic graduates also declined,
with 54.6 per cent of them in full-time permanent jobs in 2024 , down from about 60 per cent in 2023.
Ms Gan said that by and large, the Singapore economy is still resilient, even though graduates are facing a tough job market due to both cyclical and structural factors, such as artificial intelligence (AI) impacting the availability of jobs.
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Encouraging the graduates to remain optimistic and broaden their job search, she said: 'For now, the job market is still quite steady. We've still observed companies continuing to hire our fresh graduates across different sectors.'
Ms Gan added that Workforce Singapore and NTUC's Employment and Employability Institute e2i are working closely with education and career coaches to support fresh graduates who need more support, especially those in certain sectors.
The Singapore Economic Resilience Taskforce led by Deputy Prime Minister and Minister for Trade and Industry, Mr Gan Kim Yong, is studying ways to further support unemployed graduates, she said.
She acknowledged the anxiety and concern among fresh graduates this year, compared with previous cohorts.
'I think the anxiety that our fresh graduates are displaying is understandable. After all, we know that the US tariffs will be affecting trade and also the economy worldwide,' she said, adding that some companies may be more cautious about hiring during this period.
Pioneer MP Patrick Tay, who has spoken on this issue of graduate unemployment and underemployment, said that institutes of higher learning can do more, beyond regular curriculum updates.
'Institutions must become more agile and proactive in anticipating future skill demands, especially in a new age of AI,' he told The Straits Times, adding that early and ongoing career coaching is crucial.
'What is clear is that a growing mismatch between graduates' skills, job expectations, and experiences, with evolving market needs, is becoming more pronounced.'
This mismatch must be urgently addressed, he added.
He called for more targeted measures, such as initiatives similar to the SGUnited Traineeships, which were launched during the Covid-19 pandemic to provide training opportunities for fresh graduates, and expanded access to quality internships, structured career pathways and better job-matching support.
'These efforts can go a long way in preventing longer-term issues of unemployability and underemployment. We should continue advocating for lifelong learning so that every graduate enters the workforce not only job-ready but future-ready,' said Mr Tay.
When asked if institutions should fine-tune curriculums to address the skills mismatch faced by graduates, Ms Gan said that regular reviews are in place, and this needs to be done together with industries and business communities.
On whether AI should be taught in greater detail to better prepare students for current and future jobs, she said: 'I believe the Ministry of Education is taking a serious study of this and will be ready to update in due course.'
One of the graduates who attended the July 9 engagement session with Ms Gan was Ms Nur Farisya Fahrurazi, 20, who graduated from Ngee Ann Polytechnic with a Diploma in Business Studies in May 2025. During her job search, she was offered mostly administrative roles, though her interest is in marketing.
Ms Nur Farisya Fahrurazi, a fresh business studies graduate from Ngee Ann Polytechnic, is considering pursuing a part-time degree in business administration while working.
ST PHOTO: KUA CHEE SIONG
'A lot of them require me to have a degree, or at least two to three years' experience, which I currently do not have,' she said, adding that she sent out almost 20 job applications.
Ms Farisya recently accepted a two-year contract for an administrative role at a pharmaceutical company through a recommendation from her education and career guidance counsellor in the polytechnic.
Still, she hopes to land a permanent job and is also considering pursuing a part-time degree in business administration while working.
Unlike her, Mr Shaun Tan, also a fresh polytechnic graduate, will only start looking for a job in 2030.
Mr Tan, who graduated from Nanyang Polytechnic with a Diploma in Social Work in May 2025, will begin national service in October before pursuing a social work degree at the National University of Singapore in 2027.
Mr Shaun Tan, a fresh social work graduate from Nanyang Polytechnic, is optimistic about securing a job in the sector when he graduates from university in 2030.
ST PHOTO: KUA CHEE SIONG
Though the current outlook for graduates seems bleak, he is optimistic about securing a job in the sector when he graduates in 2030.
'I think the worry is more about whether the salary can compete with inflation and rising costs. Fortunately, our line (in social work) is not as affected by trade wars,' he said.
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