Skills Gaps Are Everywhere: What Singapore Employers Should Know

Many employers struggle not because candidates aren’t applying, but because applicants lack the right skills. In Singapore, the talent shortage is acute: 91% of employers in transport, logistics & automotive, 90% in communication services, and 88% in IT sectors report difficulty filling roles due to skill gaps (ManpowerGroup Talent Shortage 2025)  . This article explores why the gap persists, and how businesses can build talent pipelines internally and through partnerships.

Why the Skills Shortage Is Worsening

Technology adoption accelerated during COVID‑19, but workforce training hasn’t kept pace. Singapore’s economy now relies heavily on digital tools—but employers across sectors report being unable to find people with the required tech, analytical, and operational capabilities.

At the same time, evolving business models require new skills that few traditional programmes address. The result: a growing mismatch between what companies need and what the talent market delivers.

Internal Mobility Is Underused

Many employers overlook existing staff when hiring for new roles. Instead of recruiting externally for digital or operational capability, companies should be proactively developing internal talent. Significant gaps may be filled more cost‑effectively by upskilling employees with domain knowledge and cultural alignment.

Internal mobility programmes remain under‑utilised in Singapore, yet they offer a rapid route to fill skills gaps, boost employee engagement, and improve retention.

Government & Industry Partnerships

Singapore’s government has launched effective schemes like SkillsFuture and Workforce Singapore’s Career Conversion Programmes, designed to support mid‑career switches and reskilling in high‑demand areas. Enterprises can collaborate with training providers to design talent pipelines aligned to business needs.

These programmes enable companies to access workers who are newly trained, workforce‑ready, and more likely to stay. They represent a low‑risk strategy to fill specialist roles, from logistics operations to IT and digital marketing.

Collaborate with L&D to Co‑Own Hiring

Recruitment teams should work closely with Learning & Development to align hiring strategy with skills planning. This means:

• Creating joint skills frameworks for roles
• Designing assessment tools that reflect real‑world job demands
• Tapping into upskilling cohorts to source candidates directly
• Offering joint training + hire agreements to incentivise candidates

By viewing L&D as a partner rather than a separate function, employers can build an internal talent pipeline that bridges skill shortages and future-proofs talent needs.

What's Next?

Companies can adapt by:

• Embracing internal mobility
• Partnering with government and training schemes
• Co-designing solutions with L&D

📍 Employers: Your next best talent may already be inside your organisation. Learn how to unlock it through skills-first hiring. Book an introductory call today to learn more.