As many as 99000 may go Jobless...

Singapore may lose 99,000 jobs amid the nation's worst economic slump, pushing the jobless rate to 5% by mid 2010. Economy may contract 4.8% this year, down from its earlier forecast of 3.3%. Policy measures that have been put forth so far will help to cushion the blows but the worst of the labour market cycle is yet to come.

About 73,100 Singapore residents were jobless in December last year, an increase of about 58% over a year ago. Job growth also slowed significantly, with just 26,900 jobs created in the fourth quarter, which is less than half the total gain of 55,700 in the previous quarter.

Against the backdrop of the dire economic conditions, this is probably just the initial stage of a protracted down-cycle in the employment market. Job losses and unemployment rate will continue to rise as companies struggle to cope with the impact of the global downturn.