AON: SG fresh graduate entry-level salaries rise 2.5% as number of entry-level jobs falls 3.2%

Summary

• Entry-level salaries in Singapore rose 2.5% year on year, while entry-level headcount fell 3.2% between 2025 and 2026.

• Aon found 88.9% of job-seeking fresh graduates secured work within six months in 2025, down from 91.2% in 2024.

• Data and AI roles ranked as Southeast Asia’s most in-demand jobs, with 64% of surveyed firms naming them among their top five.

SINGAPORE: Singapore’s fresh graduates are starting their careers in a job market where salaries are rising, but entry-level hiring is getting tighter.

Entry-level pay rose 2.5% year on year, while entry-level headcount fell 3.2% from 2025 to 2026, according to Aon’s 2026 Salary Increase and Turnover Study,

The figures cover workers typically within their first two years of employment. Aon said the smaller intake points to fewer entry-level openings, even as starting pay continues to rise.

These findings are based on Aon’s study of more than 1,200 organisations across Southeast Asia.

Fresh graduates face a tighter starting line

Aon’s data also showed that 88.9% of job-seeking fresh graduates in Singapore secured employment within six months in 2025. This was down from 91.2% in 2024, based on Singapore’s Joint Graduate Employment Survey.

The figures suggest that landing a first job has become less straightforward, even though graduate pay hasn't gone backwards.

Singapore employers are also taking a cautious approach to hiring. Among firms with a positive business outlook, 72% expect their headcount to stay flat over the coming year. Only 24% expect to expand by 5% to 20%.

AI is changing the first rung of the career ladder

The biggest change may be in what employers expect young workers to bring to the table.

Data and AI roles ranked as the top hot jobs in Southeast Asia, with 64% of firms naming them among their top five. Front-office roles accounted for 56%, while cybersecurity accounted for 44%.

Aon also found that 59% of organisations are automating tasks previously done manually. Another 42% are upskilling or reskilling workers affected by those changes.

Rahul Chawla, Partner and Head of Talent Solutions, Southeast Asia at Aon, said companies still need to build their future talent pipeline. He said graduate roles should focus more on problem-solving, judgment, human skills and the ability to work effectively with AI.

Singapore salary budgets stay steady

The salary picture is fairly restrained too. Singapore’s overall salary increase was 4.1% in 2026, with the 2027 budget also set at 4.1%.

Retail and Hospitality is expected to lead next year at 4.8%, followed by Life Sciences & Medical Devices at 4.4%.

The message for graduates is that a degree can open the door, but employers increasingly want people who can think, communicate and use AI well.

Higher starting pay is encouraging. The harder task is making sure there are enough first jobs for young workers to get started.