Singapore's overall unemployment rate dropped to 1.9% in the second quarter of 2026, down from the government's preliminary estimate and market forecasts of 2.0%, according to final Ministry of Manpower data released Monday.

The decline was supported by a stronger job market for younger workers, with the jobless rate among residents aged 30 and below falling to 5.7% in June from 6.2% in March. In contrast, unemployment among older residents aged 50 and above edged up to 3.1% from 2.9% over the same period.

Total employment expanded by 11,400 during the quarter, accelerating from the 9,400 positions added in the first quarter and surpassing the 10,400 jobs added in the second quarter of 2025. Non-resident employment drove the bulk of the gains, adding 9,200 workers, while resident employment grew by 2,200.

Hiring for residents was concentrated in transportation and storage, public administration and education, and health and social services. Inflows of non-resident workers were primarily absorbed by the construction and manufacturing sectors.

Despite job gains, retrenchments rose to 4,620 from 3,830 in the preceding quarter, driven largely by corporate reorganization and business restructuring. Layoffs were most prevalent in manufacturing, information and communications, and financial services.

The city-state's retrenchment rate is now at its highest level since COVID-19 pandemic levels.