Employers still face tech hiring challenges amidst AI skills shift: report

Data analytics and data science roles are the hardest to fill, whilst employers turn to upskilling and flexible talent models.

Nearly all employers in Singapore continue to face tech hiring challenges despite broader talent availability, as artificial intelligence reshapes skills demand, according to General Assembly.

The firm’s State of Tech Talent 2026 report found that 95% of Singapore employers still face tech hiring challenges. The gap is most acute in data-related roles, with 58% of employers citing data analytics and data science as the hardest roles to fill.

General Assembly said the workforce gap is increasingly about readiness rather than headcount, as AI changes the skills needed across roles.

Entry-level talent will need more AI-adjacent and hybrid skill sets, whilst freelancers may benefit from rising demand for project-based and flexible work.

Upskilling is expected to help address shortages, with 69% of Singapore employers saying it will have a significant impact by 2026. More than 80% also believe organisations should take at least partial responsibility for AI upskilling.

However, cost remains a barrier. About 58% of organisations in Singapore cited cost as a constraint to upskilling, higher than in the US and UK.

Employers are also changing how they access talent. Nearly three-quarters are outsourcing or planning to do so, reflecting greater reliance on cross-border and flexible workforce models.

The report added that automation is already reshaping entry-level roles, with more than half of Singapore employers saying some roles have already been automated.

However, Singapore’s outlook is more measured than the US and UK, suggesting greater confidence in reskilling and workforce transformation.