Close to 6 in 10 young graduates remain unemployed: MOM
Amala Balakrishner 28/06/2019, 12:10pm
SINGAPORE (June 28): Fresh out of university and raring to join the workforce? We’ve got bad news for you: More than half of young university graduates here remain unemployed.
In 2018, only 41.6% of degree holders between the ages of 20 and 29 were employed, according to Ministry of Manpower data. This translates into roughly 58% of young university graduates who were unemployed.
In comparison, only 2.7% of all degree holders across the age groups were unemployed, according to MOM’s latest first quarter labour market report.
To be fair, the startling statistic for young graduate unemployment may be due to the pursuit of higher education or alternative careers such as entrepreneurship.
But experts agree that there is a large proportion of young and educated individuals who are just not able to secure a job – whether permanent or temporary.
Now, there is even an acronym for this group of people: NEETs, or Not in Education, Employment or Training.
The latest available data on these individuals, from the National Youth Survey in 2016, shows that there are 20,100 Neets here, making up 4.1% of the resident youth population.
In 2013, there were 19,700 Neets, comprising 3.7% of the resident youth population.
With the number of Neets on the rise, policymakers will be under pressure to find solutions to address their inability to secure a job.
MOM data for 1Q19 shows that the ratio of job vacancies to unemployed persons is 1:1.08, indicating that there are more job seekers than positions available. This is down from the 1:1.10 ratio recorded last December, as 10,700 new jobs were created in 1Q.
Yet, why is it that fresh graduates seem to be having a harder time than others in securing employment? Are they – the so-called “strawberry generation” – being too picky?
Is it just a cyclical issue, owing to the current uncertainties over the health of the global economy, which is exacerbated by geopolitical tensions?
Or, is it a consequence of a deeper, structural problem in Singapore’s economy?
Whatever the case, the class of 2019 and all other recent graduates with difficulties finding jobs, are in danger of being young, educated, ambitious – and jobless.
