When the virus first hit our shores, Singapore was quick to react by implementing measures to curb the spread of the virus. Till this day, Singapore has one of the lowest death rates to infection ratio of about 0.1%. The first measure that the government took was to limit the group sizes to 10 in March and no longer than 2 weeks later, Singapore enforced the first circuit breaker period.

Implementing a lockdown meant that many businesses were required to shift their operations online. Employees were required to adopt a work from home arrangement and due to the swift enforcement of these measures, many were unprepared to adapt. This forced many companies to implement pay cuts or to lay off workers in order to sustain the business. The overall unemployment rate in Singapore shot up to 3.5% with the closest being 3.3% back in September 2009.

Singapore’s Business-Friendly Policies

Despite all these setbacks, Singapore was able to achieve consistent growth in 2021 and it is looking promising for 2022. According to NikkeiAsia, the economy grew by 7.2% in 2021 after a contraction of 5.4% in 2020. This has been the biggest economic growth in Singapore since 2010. The first step that the government enforced was to retain Singapore’s position as a business hub. As many MNCs have established headquarters here, it is important for Singapore to open their borders as soon as possible to allow people in and out of the country.

Singapore has always been an attractive destination when it comes to business due to its low corporate tax rates, world-class infrastructure, large pool of local talent, high tech adoption rates, and strategic location.

Attracting Overseas Investments

Despite the pandemic, many international companies saw an opportunity and decided to establish operations in Singapore. One of these many companies is BioNTech, a German biotechnology company that partnered with Pfizer to develop the vaccine that is widely used in Singapore. They will be establishing a regional headquarters and a manufacturing facility in Singapore.

Video call platform company, Zoom, is one of the very few companies that achieved exceptional growth during the pandemic. Their services were widely adopted by many businesses due to remote work arrangements. In December 2020, Zoom announced that they’ll be opening a new research and development facility in Singapore. They mentioned that Singapore was chosen due to its “exceptional engineering talents” and “exceptional talent, strong infrastructure, and is a perfect gateway for engaging the wider APAC region”.

Besides these new companies, Singapore houses some of the biggest tech giants in the world like Alibaba, Google, Tencent, TikTok, and Facebook.

Supporting Local Firms

Besides attracting foreign investments, Singapore is also focused on boosting local firms. Enterprise Singapore has rolled out multiple initiatives to assist local firms grow, innovate, hire, and retrain employees. These initiatives consist of financial grants, SkillsFuture credits, loans, and a job platform for businesses to utilise for free. Small and medium businesses were also given grants for every local person they hire. The Job Growth Incentive (JGI) is one of the many grant schemes to help local companies grow by hiring more local workers. This initiative contributed to over 50,000 Singaporeans getting hired in just the first month.

Expanding your business operations into another country is challenging. Intensive research and sufficient resources are required to determine a myriad of factors from hiring, compensation, policies, tax, culture, and managing people. With the right people, resources, and experience, setting up a business in Singapore can be hassle-free and efficient. Many companies who have established a base in Singapore have relied on the services or HR recruitment agency in Singapore.

Talent Spot is the leading HR recruitment agency in Singapore that has helped many international companies establish a base in Singapore. Our team of highly trained and industry-niche HR professionals are equipped to provide customised solutions that fit your business needs. We have the necessary technology, data, experience, and talent database to help your company grow in Singapore.

Pick from our wide variety of HR services that extends from recruitment, relationship development, labour management, insurance policies, onboarding, and more! Speak to an industry expert today to find out how Talent Spot can help your company establish a foothold in Singapore – one of the biggest business hubs in the Asia Pacific region. Click here to start your journey with Talent Spot!