Singapore to Deploy AI to Boost Productivity and Safeguard Jobs

Prime Minister Lawrence Wong announced on August 8, 2026, that Singapore will utilize artificial intelligence to boost productivity and protect the livelihoods of its workforce. The strategy aims to ensure that technological integration creates better employment opportunities rather than driving widespread displacement.

In a National Day message, PM Wong stated that the government is examining its approach to industry and trade to strengthen global competitiveness through AI. He emphasized a measured approach to adoption, noting that while Singapore cannot stand still as other nations advance, the country will not accept every new technology uncritically. "Singapore will embrace these advances on our own terms," Wong said, asserting that the goal is to ensure AI serves the people and improves lives.

Shifting Corporate Sentiment

This state-led initiative arrives as global corporate perspectives on AI-driven unemployment evolve. According to an EY-Parthenon survey, the percentage of CEOs expecting major AI-related job losses fell sharply from 46% in January 2025 to 20% by May 2026. This suggests a transition from viewing AI as a replacement tool to seeing it as a productivity enhancer.

Further evidence of this trend appears in research conducted by Ramp and Revelio Labs. Their joint study revealed that companies making the largest investments in AI actually expanded their total headcount by approximately 10%. This growth indicates the emergence of new organizational roles designed to bridge the gap between foundation models and day-to-day business operations.

Strategic Implications

Singapore's proactive stance is a strategic attempt to mitigate "AI anxiety" among workers who fear their roles may become obsolete. By framing AI as a mechanism for job protection and productivity, the government is attempting to maintain social stability while simultaneously securing the city-state's position as a premier global tech hub.

By integrating AI into the national trade and industry framework, Singapore seeks to create a resilient economy where workers are upskilled to work alongside automation. This approach shifts the narrative from inevitable displacement to a managed transition where the state plays a central role in directing how technology is deployed.

The Path Forward

As the government implements these productivity measures, the focus shifts to how these "own terms" are defined in practice. Observers will be watching for specific policy frameworks and training programs designed to transition workers into the new roles identified in recent labor studies. While the government has pledged to protect livelihoods, the exact mechanisms for ensuring that productivity gains translate into better jobs for the most vulnerable workers remain to be detailed.