, Singapore

Singapore could lose up to $142.51b from talent crunch

Labour deficit could reach 1.09 million by 2030, a study revealed.

As the world faces a growing talent shortage problem, Singapore’s total labour deficit is expected to hit 1.09 million by 2030 and result in a total unrealised output of $142.51b (US$106.8b), consulting firm Korn Ferry revealed.

According to the firm’s Global Talent Crunch Study, Singapore will be one of the hardest hit by talent shortages due to its status as a financial hub.

The size of Singapore’s financial and business services sector could reach US$29.2b by 2030, but around 25% of it will become unrealised output as a result of talent crunch. The sector is also headed to Level A worker deficits of up to 61% of its workforce.

“The talent crunch will be even more damaging for small but currently mighty spots Hong Kong and Singapore,” Korn Ferry added. “By 2030, Hong Kong’s financial services skills shortages will result in lost revenue equal to a staggering 12% of its total economy, whilst Singapore’s could be equivalent to 6% of its economy.”

The sector’s productivity growth is also classified as slow as it only hit -0.2% in the years between 2000 to 2014.

The technology, media, and telecommunication sector could grow to about $2.7b in 2030, but there will be 2% of its output that could be unrealised due to talent shortage. Its productivity growth is also classified as slow as it only hit -2.9% in the years between 2000 to 2014.

Meanwhile, Singapore’s manufacturing sector could be as large as US$5.1b in 2030, but 10% of it will be unrealised output due to the lack of talents. Its Level A deficit could also be equivalent to 61% of its workforce.

However, its productivity growth is classified as fast as it hit 2.9% in the years between 2000 to 2014, making it one of the fastest amongst the countries studied.

Korn Ferry Global Financial Services president Michael Franzino commented, “Small economies like Hong Kong and Singapore have limited opportunities for expansion, so upskilling the existing workforce is critical.”

The study covered the extent of the talent shortfall in 20 major economies at three milestones: 2020, 2025, and 2030. Korn Ferry conducted the study with Oxford Analytica and consultancy firm Man Bites Dog. 

Follow the link for more news on

Join Singapore Business Review community
Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!


C&W Services transforms headquarters into a ‘living lab’
The new office is set to be the ground for the firm’s new facilities management technologies.
How investor stewardship puts companies in a win-win state
Stewardship Asia Centre CEO says a company’s failure to take care of society is a failure to take care of its stakeholders.
Creating harmony in a heterogonous workforce 
An HR expert said tests like DISC can help identify which employees can work best together.

Event News

Event News