KEY INSIGHTS
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1. Overqualification tends to be more prevalent in high-income countries with a larger share of tertiary-educated workers. In 2025, Singapore’s overqualification rate of 19.4% was below the high-income average of 21.6%, indicating that overall job matching remains relatively strong and broadly in line with international patterns.
   
   
2. Overqualification largely reflects voluntary choices, linked to preferences for job stability, flexibility or opportunities to gain experience. About nine in ten of overqualified workers (or 17.7% of the workforce) were voluntarily overqualified, while only 1.7% of the workforce were involuntarily overqualified. The latter group has remained low and stable at below 3.0% over the past decade, suggesting limited structural mismatch in the labour market.
   
   
3. Employers prioritise skills and experience over qualifications. In 2025, academic qualifications were not the primary consideration for 79.6% of vacancies. Instead, employers placed greater emphasis on relevant experience (48.2%) and skills and abilities (20.1%).
   
   
4. Where hiring challenges arise, they are less about qualification levels and more about whether workers possess the specific skills required. The share of PMET vacancies unfilled for at least six months rose from 14.4% in 2024 to 16.0% in 2025. Employers report difficulties filling roles requiring specialised technical expertise, such as data scientists, teaching and training professionals, and civil engineers.
   
   
5. Evolving skills needs highlight the importance of continued workforce development. A quarter of employers (24.3%) also reported experiencing skills gaps in their workforce, leading to increased workloads for other staff and difficulties in meeting quality standards, alongside missed business opportunities and challenges in adapting to technological change. These findings reinforce that the key issue is not excess qualifications per se, but ensuring that workers’ skills remain aligned with evolving job requirements.​