Written Answer to Unanswered Oral Question

Factors Contributing to Weaker Full-time Permanent Employment Outcomes in Selected Courses for 2025 Graduates

Speakers

Summary

This question concerns the decline in full-time permanent employment for 2025 graduates, as raised by Dr Wan Rizal and Mr Chua Kheng Wee Louis who inquired about contributing factors and targeted interventions. Minister Desmond Lee explained that current outcomes reflect a normalization from the post-pandemic hiring surge, cautious sentiments amid economic uncertainty, and the potential impact of artificial intelligence. He noted that while the arts and design cluster experienced significant declines in permanent roles, many graduates are opting for flexible work arrangements, keeping overall employment levels stable. To assist graduates, the government has enhanced career coaching at institutes of higher learning and provided personalized support services through Workforce Singapore. Additionally, the Government launched and extended the Graduate Industry Traineeships (GRIT) and GRIT@Gov Programmes to provide structured industry experience and bridge the gap to permanent employment.

Transcript

105 Dr Wan Rizal asked the Minister for Education (a) whether the Ministry can provide an update on the key factors contributing to weaker full-time permanent employment outcomes in selected course clusters in the 2025 Graduate Employment Survey for autonomous universities; and (b) whether the Ministry has plans to review targeted interventions to help affected fresh graduates secure suitable jobs in light of the survey findings.

106 Mr Chua Kheng Wee Louis asked the Minister for Education in view of the reduction in full-time permanent employment based on the 2025 Graduate Employment Survey (a) whether the Government is considering providing (i) further employment assistance to recent graduates and (ii) in particular, targeted assistance for graduates of degrees with lower full-time permanent employment levels; and (b) if not, why not.

Mr Desmond Lee: My response will address the matters raised in the questions by Dr Wan Rizal and Mr Louis Chua as well as a related Parliamentary Question by Mr Pritam Singh, which is scheduled for 8 April. [Please refer to "Response to Decline in Percentage of Graduates Securing Full-time Employment in 2025 Graduate Employment Survey", Official Report, 8 April 2026, Vol 96, Issue 28, Written Answers to Questions for Oral Answer not Answered by End of Question Time section.]

Let me start by acknowledging what the 2025 Joint Autonomous Universities Graduate Employment Survey shows. I will then explain what we are doing about it.

The survey found that 88.9% of graduates in the labour force secured employment within six months of completing their final examinations, with 74.4% of them in full-time permanent employment. Both measures have seen a decline since 2023, but I would like to explain the context. The higher employment rates of 2022 and 2023 reflected the post-pandemic hiring surge a unique period that was always going to moderate. The proportion of graduates who have secured employment in 2025 is closer to the pre-COVID-19 level.

The number of job vacancies has moderated since 2022 and 2023, reflecting more cautious hiring sentiments by companies amid significant economic and geopolitical uncertainties. This may, in part, also be driven by developments in how artificial intelligence (AI) is reshaping how work is done. However, the specific impact of AI on the demand for entry-level jobs remains uncertain at this point and we will continue to monitor the impact with the Ministry of Manpower and the sector agencies.

Graduates of the arts, design and media course cluster saw the largest decline in full time permanent employment of 12 percentage points compared to 2024. However, when we look at all graduates who had secured employment, including freelance, project-based and contract work, the decline was much smaller at 4.1 percentage points. This could reflect how creative industries are evolving, with many professionals choosing self-employment or flexible work arrangements that suit the nature of their craft. Between 2024 and 2025, the proportion of graduates in voluntary part-time temporary employment increased by 5.5 percentage points. This is not necessarily a step backwards, but we will continue to monitor the changes closely.

I want to speak directly to our fresh graduates and their families who may be feeling anxious about these numbers. Your concerns are important and we hear you. While the job market has become more selective, opportunities still exist. The fundamentals of our economy remain strong and Singapore continues to be a hub for innovation and growth across multiple sectors. Looking at the longer-term trend, graduate outcomes have remained broadly stable in the last 10 years, with around nine in 10 graduates securing employment within six months of graduation.

We are not standing still. Our institutes of higher learning have ramped up their career support systems for graduating students and fresh graduates. They are hosting more career fairs, facilitating more connections with employers and proactively reaching out and providing personalised career counselling for students who need extra support. Beyond our campuses, fresh graduates can access comprehensive career services through Workforce Singapore, including one-on-one coaching to help match skills with emerging opportunities. We encourage graduates to use these resources to understand how their skillsets can enable them to seize job opportunities, even if these opportunities are not directly related to their area of study.

In October 2025, we launched the Graduate Industry Traineeships (GRIT) and GRIT@Gov Programmes. These are temporary measures designed precisely to bridge the gap between graduation and full-time employment amid uncertainties in the economy. They support structured traineeships that provide real industry experience and skills development. We have already extended these programmes to the 2026 graduating cohort and we are prepared to expand capacity if needed.

We will continue to watch the trends in our graduate employment outcomes closely and provide more support to our fresh graduates where needed. Our graduates are among the most talented and well-prepared in the world. The current market conditions are temporary, but the quality of our education and the resilience of our graduates are enduring strengths.