Expansion plans stall as 18% of firms hit retention wall

Staff retention has emerged as the single largest barrier for companies aiming to scale by 2026.

Singapore firms are looking to grow their organisation, with 84% of employers citing it as a key strategic priority for 2026.

Talent retention emerges as a major barrier to this growth, with 18% of employers identifying it as their biggest obstacle.

Hays said market competitiveness and evolving employee expectations amplify retention challenges.

Central to this shift is the demand for flexible working arrangements, with one in two Singaporeans preferring such options. This is a factor organisations must consider to stay competitive and strengthen staff loyalty, according to Hays.

To bridge the gap, career development, progression clarity and manager‑led engagement are emerging as key differentiators.

Meanwhile, more professionals are using AI, with 93% of Singaporeans using these tools. AI is being used to support productivity in areas such as multilingual content creation, analytics, and decision‑making.

In Singapore, Life Sciences was identified as one of the fastest-growing sectors, with 78% of Life Sciences professionals expecting salary increases, reflecting strong sector confidence and long‑term career prospects.

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