Impact on Singapore

A study showed that 20.6% of Singapore’s workforce could be displaced by 2028 due to Artificial Intelligence. This is due to the exceptional enabling environment in Singapore for innovation and digital transformation, which means businesses here can readily take advantage of new innovations as they become available. However, as a result, many jobs will also be created. The diagram below shows the combined impact of technology on both displacement and income effect in ASEAN. While some sectors will experience a net loss of jobs by 2028 like Agriculture, most sectors will experience a net increase like Wholesale & Retail. 

It is well-known that there is an acute demand for IT skills, not just in IT industries but across all sectors. In the study, it is shown that 41% of redundant workers are lacking in IT skills.  This does not mean that half of the workforce should become data scientists.

It means that in Industry 4.0, Data Literacy is no longer optional.

However, despite the disruption being technology-based in nature, the workforce’s most significant challenge is to upgrade its softer, foundational and interactive skillset.