Singapore’s labour market trends in the fourth quarter of 2018 were mixed as total employment continued to grow, although at a more moderate pace. There was a slight uptick in the unemployment rates compared to the previous quarter, according to the Labour Market Advance Release from Singapore’s Ministry of Manpower.

The overall unemployment rate rose slightly over the quarter from 2.1% in September 2018 to 2.2% in December 2018. It rose from 2.9% to 3.0% for residents and 3.0% to 3.1% for citizens, after holding steady in the previous quarter.

Total employment (excluding Foreign Domestic Workers (FDW)) increased by 15,600 in the fourth quarter of 2018, slightly lower than the preceding quarter (16,700). The increase was due to employment growth in Services, primarily from seasonal hiring. Manufacturing employment decreased over the quarter, while Construction employment was unchanged.

Meanwhile, layoffs in the fourth quarter of 2018 (2,800) were similar to the third quarter (2,860), and lower than a year ago (3,680).

The Labour Market Advance also published data for the full year 2018 and showed that the labour market improved in 2018. The average unemployment rates for the whole of 2018 (average of 4 quarters) were lower than 2017.

The labour market improved in 2018. Total employment as well as local employment grew. Annual average unemployment rates were lower than a year ago and retrenchments were significantly fewer.

Total employment (excluding FDW) grew by 39,300 in 2018. The growth among locals (28,400) was more than double that of foreigners (excluding FDW: 10,900), with local increases in Services industries such as Community, Social & Personal Services, Transportation & Storage, Financial & Insurance Services, Information & Communications, and Professional Services.

The number of layoffs in 2018 (11,020) was significantly lower than in 2017 (14,720), as the economy continued to expand in 2018. Retrenchments declined across the three broad sectors (Construction, Manufacturing and Services) over the year.

Singaporean workers continued to earn higher incomes in the recent five years. The real median income (including employer CPF (Central Provident Fund) contributions) of full-time employed Singaporeans increased by 3.6% per year from 2013 to 2018, significantly higher than the 1.7% per year in the previous five years.

The labour market showed further signs of improvement in the third quarter, the Singapore Ministry of Manpower reported.

Total employment growth more than doubled in the third quarter while the resident unemployment rate and retrenchments remained lower than in the same period a year ago. However, the ratio of job vacancies to unemployed persons dipped, suggesting some easing in the tightening of the labour market, according to the Ministry.

Total employment, excluding foreign domestic workers, increased by 16,700 in the third quarter, up from growth of 6,500 in the previous quarter. Employment growth occurred mainly in sectors such as community; social and personal services; financial and insurance services; information and communications; and professional services.

The ratio of job vacancies to unemployed persons dipped to 1.05 in September from 1.10 in June, but there continues to be more vacancies than job seekers for the third consecutive quarter.

Singapore’s overall unemployment rate edged up to 2.1% in September from 2.0% June. All rates remained at or below those in September 2017; however, they were slightly higher than the two-year lows observed in March 2018, reflecting a continued inflow of job seekers into the labour market.

Going forward, hiring momentum may moderate against a backdrop of external trade tensions and slowing growth in Singapore’s key final demand markets, the ministry stated.

Three former Uber drivers were employees of the ride-share service—rather than independent contractors—at least for the purpose of collecting unemployment benefits, New York’s Unemployment Insurance Appeal Board ruled.

By Lorene D. Park, J.D.

Though a state human rights division found too long, for purposes of a causal link, the time between an employee’s request for a companion dog as an accommodation and the employer’s discussion with the state’s unemployment division (which led to the denial of unemployment benefits), the agency did not consider a possible link to other protected activities, including the employee’s appeal of the denied accommodation and of her termination for insubordination. Finding the agency’s decision, which found no retaliation, to be incomplete, the South Dakota Supreme Court reversed a lower court’s decision affirming the agency (Riggs v. Bennett County Hospital & Nursing Home, June 27, 2018, Gilbertson, D.).

Companion dog helped control PTSD. The employee worked for the hospital from 2006 through March 2015 as a supply technician and emergency medical technician. She suffers from depression and post-traumatic stress disorder (PTSD) and took a companion dog with her to work to help control her symptoms. Things changed when a new CEO came on board in 2012 and the hospital adopted a more restrictive policy on pets in the workplace. The employee claimed she informally requested to continue bringing in her dog at the time, but the hospital refused.

Hospital finds she performed too well for accommodation. Over two years later, in January 2015, the employee formally requested that she be allowed to bring her dog to work. She submitted a form from her psychiatrist stating she suffered from depression and PTSD and recommending she be allowed to bring her dog to work. A committee consisting of the CEO, the CFO, and the employee’s supervisor denied her request. They explained in a letter that they reviewed her performance, attendance, and medical documentation, and found no change in her performance or duties and no substantial impairment of any major life activity or function.

Employee’s bad reaction. According to the employee’s supervisor she reacted by throwing the hospital’s policy in a drawer, slamming the drawer, cursing, then walking away. Thereafter, her relationship with management became increasingly strained. The CEO claimed the employee would not communicate with her or respond to her directions. At one point, angry over a coworker’s termination, the employee referred to the CEO as a “bitch” and said she hoped a family member of the coworker would beat her up.

On February 26, the employee interrupted a meeting of the Hospital’s board, demanding review of the denial of her request. Because she had not followed proper procedure she was put off until the following meeting. In response, she stomped out, slammed the door, and could be heard yelling as she walked away. On March 2, her supervisor and the CEO tried to talk to her about her behavior but she covered her ears, repeatedly saying “No.” She left a letter for the CEO later that morning, appealing the denial of her request. She was fired for insubordination and failure to follow hospital policy, and she wrote a letter on March 11 appealing that decision as well.

Unemployment benefits denied. The employee applied for unemployment benefits but the hospital provided documentation that led the division of unemployment insurance (DUI) to conclude she was terminated for misconduct. Benefits were denied and she appealed.

The same day that the DUI contacted the hospital, the latter had received notice of the employee’s first discrimination charge with the state’s division of human rights (DHR), alleging the hospital violated the ADA by firing her for asking to bring her dog to work.

In April 2015, an administrative law judge (ALJ) considered the employee’s appeal of the denial of unemployment. The employee’s former supervisor and the CEO both testified at the hearing, after which the ALJ found the employee was terminated because she “knowingly refused to follow [the Hospital’s] grievance policy when she appeared at the Board meeting;” refused to speak to the CEO and supervisor; and “deliberately slammed doors to show anger and disrespect toward her supervisors.”

DHR findings on discrimination, retaliation. In July 2015, the DHR found probable cause to believe the employee’s discrimination claim. She also filed a second charge claiming the hospital opposed her unemployment claim in retaliation for her protected activity but the DHR did not find probable cause on that issue. She appealed that decision to circuit court, which affirmed.

High court finds DHR analysis incomplete. The employee appealed to the state’s highest court, claiming the DHR erred in finding there was not probable cause to believe the hospital’s opposition to her claim for unemployment benefits was retaliatory. Reversing the circuit court’s affirmance, but not reversing the DHR’s conclusion, the state high court found the DHR’s analysis incomplete.

The DHR had concluded that the employee failed to establish a causal link between her January 13, 2015 request for accommodation and the hospital’s March 18 communications with the unemployment agency. The court had relied on cases holding that a time interval of two months or more is too long to establish causation. However, it appeared that the DHR failed to consider two other protected activities—the employee’s March 2 letter appealing the denial of her accommodation and her March 11 letter asking the hospital to reconsider her termination.

Furthermore, the DHR’s decision indicated the hospital had a legitimate reason for terminating the employee (her insubordination), but the DHR did not indicate whether there was evidence of pretext. Because the DHR’s decision was incomplete, the court’s affirmance was premature.

Singapore’s seasonally-adjusted resident unemployment rate declined over the course of 2017 to 3.0% in December 2017 according to the latest statement on labour market developments from the Ministry of Manpower.

The Ministry stated that the labour market in Singapore improved in 2017, in line with an increase in economic activity.

Local employment grew by 21,300 in 2017, nearly double the growth in 2016. Growth was driven mainly by the Financial & Insurance Services, Information & Communications, Professional Services, and Healthcare sectors.

Foreign employment (excluding Foreign Domestic Workers) declined by 32,000 in 2017. The decline was mainly due to a decrease in Work Permit Holders (down 32,200 over the year) in sectors such as Marine Shipyard and Construction.

Redundancies declined to 14,720 in 2017, lower than that in 2016 (19,170). The main reason for the layoffs in 2017 continued to be business restructuring and reorganisation.

The Ministry’s figures also showed that overall labour productivity (as measured by value-added per actual hour worked) rose by 4.5% in 2017, more than double the growth of 1.8% in 2016.

Meanwhile, the Ministry of Trade and Industry has projected that the Singapore economy will grow by 1.5% to 3.5% in 2018, with growth likely to come in slightly above the middle of the forecast range, barring the materialisation of downside risks.

“Against this backdrop, MOM expects local employment to continue to grow this year, although with some continued unevenness across sectors,” the Ministry of Manpower stated.

“Hiring is expected to remain cautious in sectors such as Construction and Marine Shipyard, while job opportunities will continue to be available in the Manufacturing sector as well as the Services sectors, particularly Infocomms & Media, Finance & Insurance, Healthcare, Professional Services, Logistics and Wholesale Trade,” the Ministry stated. “Looking ahead, total workforce growth will remain modest due to demographic trends affecting the local workforce and moderated foreign workforce growth.”