GovTech lets go of 38 staff members in second round of layoffs
This was the second of three rounds of retrenchments announced in July this year, as GovTech seeks to let go of 7 to 9 per cent of its workforce amid a transition to a new operating model.
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SINGAPORE: The Government Technology Agency of Singapore (GovTech) said on Thursday (Oct 22) it has carried out the second phase of its planned layoffs, as it continued efforts to let go of about 300 workers over two years.
A total of 38 staff members will leave GovTech, and the roles affected are primarily those structured around traditional project delivery, said GovTech in response to CNA queries.
"As with the first phase, we have prioritised retaining, retraining and redeploying officers wherever possible," it said.
Following the workforce review, 106 officers will remain in their current roles, while another 106 are eligible for conversion and apprenticeship pathways to transition into new roles, it added.
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"We recognise that these changes are difficult for affected colleagues."
It said that it will continue to work with the Public Service Division, Skills and Workforce Development Agency and the Amalgamated Union of Statutory Board Employees to provide support to the affected staff.
This includes career coaching, job matching and placement assistance.
All affected staff members were informed by the end of Thursday.
This was the second of three rounds of retrenchment, as GovTech seeks to let go of 7 to 9 per cent of its workforce amid a transition to a new operating model. The exercise affects staff deployed to 23 government agencies.
CNA understands that the final round will be done in mid-2027, and that staff were told about this in a company-wide townhall last month.
In the first phase which took place in July this year, 93 officers were retrenched.
The figures mean that nearly 170 staff members could be let go in that final round – the highest number of all three phases.
The statutory board under the Ministry of Digital Development and Information had about 3,900 permanent and contract staff, supporting the technology needs of more than 50 government agencies.
SUPPORT FROM THE UNION
The Amalgamated Union of Statutory Board Employees (AUSBE), an affiliated union of the National Trades Union Congress (NTUC), said on Thursday that it was working closely with GovTech to support employees affected by the latest phase of restructuring.
The union said it had been working with GovTech since the first round of retrenchments in July to explore alternatives, including retraining, apprenticeships and redeployment, to help employees transition into new roles and reduce the number affected.
For those leaving the agency, AUSBE said it had negotiated an enhanced support package beyond the provisions of its collective agreement. The package, negotiated at the start of the restructuring exercise, will apply to affected employees across all three phases.
"AUSBE will continue to ensure that they are treated fairly and with dignity throughout the process," the union said.
Affected employees can also receive career coaching, job matching and skills upgrading advice through NTUC's Employment and Employability Institute (e2i).
Career coaches from e2i were on-site to provide assistance, while affected employees have been invited to a virtual briefing on technology job opportunities on Nov 12.
Ms Vellermathi Machap, chairperson of AUSBE–GovTech branch, said the team has been engaging members to hear their needs and concerns.
"Restructuring is never easy, and we recognise the uncertainty that affected officers and union members are facing," she said.
She added that the union's immediate priority was to ensure that affected employees were treated fairly and received the support needed to transition to their next jobs.
News of GovTech’s retrenchment exercise drew attention as public sector layoffs in Singapore are rare.
Before GovTech, the last publicly reported retrenchments in the civil service dated back to 2006 to 2010, when 20 officers left under the Special Resignation Scheme, according to a written parliamentary reply in November 2011 by then-Deputy Prime Minister and Minister-in-charge of the Civil Service Teo Chee Hean.
Back in July, GovTech chairman Chng Kai Fong said in a note to staff that the move was “not an AI-driven downsizing exercise” and that the shift began years before the current AI wave.
In August, Acting Manpower Minister Jasmin Lau said in parliament that the agency had anticipated the need to reshape its workforce and invested heavily in pilots and apprenticeships to retrain or redeploy staff. However, there were limits to its pace and scale, said the Minister-in-charge of GovTech.
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