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By Asia Education Review Team , Thursday, 08 January 2026 05:23:05 PM

SME Hiring Poised to Rise as Local Job-Matching Gains Traction

    • Singapore SMEs to boost hiring through the hyperlocal Jobs Nearby @ CDC programme connecting residents with nearby employment.
    • Initiative addresses recruitment challenges, promoting skill-based matches and exposing smaller firms to local talent.
    • Supports both technical and human-centric skills development, leveraging AI tools and community-level employment schemes.

    Small and medium enterprises (SMEs) in Singapore are poised to increase hiring as a government-backed initiative brings employers and job seekers together at the neighbourhood level, helping firms access local talent and reduce recruitment hurdles. The Community Development Council (CDC)-led Jobs Nearby @ CDC programme connects residents with employment opportunities close to home, complementing national employment schemes while embedding support directly within local communities.

    Linda Teo, country manager at ManpowerGroup Singapore, told Singapore Business Review that the initiative “embeds employment support within neighbourhoods and bridges last-mile gaps”. She described the approach as 'hyperlocal and accessible', designed to meet the specific needs of communities and well-suited to Singapore’s SME-dominated business landscape.

    SMEs make up roughly 99% of businesses in the country and employ the majority of local workers, yet many struggle with limited recruitment visibility and small human-resources teams. For these companies, town-level matching can shorten hiring timelines and lower costs by connecting them directly with nearby candidates. “For SMEs with limited brand visibility or outreach, this initiative helps level the playing field”, Teo said, noting that job seekers often gravitate toward larger employers unless smaller firms gain exposure.

    The push toward hyperlocal hiring reflects a broader shift in workforce policy. Sean Tan, career business leader for Mercer LLC Singapore, explained that recruitment is moving away from rigid job descriptions toward skill-based and technology-supported models. Job-matching programmes help reduce friction by aligning candidates’ skills more closely with business needs, he said, while national schemes like SkillsFuture encourage lifelong learning. Beyond technical expertise, programmes are increasingly emphasizing skills such as judgement, synthesis, and independent analysis, essential for working with data and AI tools.

    Also Read: The Significance of Soft Skills in Healthcare Training

    Labour-market indicators remain supportive. Employment rose by 25,100 in the third quarter of 2025, more than double the previous quarter’s gain, according to the Ministry of Manpower, while unemployment stayed low even as job vacancies eased to 69,200 in September from 76,900 in June. ManpowerGroup’s survey shows that 32% of employers plan to add staff in the first quarter of 2026.

    Analysts note that the challenge lies in execution, ensuring policy support translates into faster hiring, stronger retention, and higher productivity. Ho Seong Kim, CEO of Singapore Institute of Management Academy, highlighted the rising demand for both technical and human-centric skills, urging employers to cultivate learning cultures while workers take ownership of continuous development. Stephanie Ong, HR Manager at Jebsen & Jessen Group, said technical skills such as AI literacy, data analytics, cybersecurity, and sustainability management will be in high demand over the next five to ten years, alongside human skills like leadership and big-picture thinking.

    National workforce institutions are supporting the transition with technology-enabled matching. Desmond Tan, deputy secretary-general at NTUC, explained that AI tools such as the NTUC AI Career Coach provide personalised job recommendations and labour market insights, enhancing the speed and accuracy of placements. At the same time, ecosystem players like SGInnovate are helping workers transition into deep-tech roles.

    Alicia Ng, deputy director for career and business partnering at SGInnovate, said programmes like PowerX and Helix Immersion have enabled individuals to move into cybersecurity and AI roles, even without technical backgrounds. She added that adaptability and willingness to learn often matter more than formal credentials, a mindset that neighbourhood-based hiring initiatives aim to nurture as Singapore’s labour market continues to evolve.

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