ENG-2010 — Page 100

58 The Economy

unemployment rate fell to the 4 per cent mark, the lowest level since September- November 2008. Meanwhile, as more and more full-time jobs became available in tandem with the entrenched economic recovery, the underemployment rate also edged lower to 1.8 per cent at year-end (Chart 11).

The labour force showed a slight decrease of 0.6 per cent in 2010, which contrasted with the annual expansion of around 1 per cent in the past few years. This slowdown was attributable to a reduction in the supply of youth labour, which neutralised the effect of increases in the other age groups. On the other hand, total employment went up by 0.4 per cent in 2010, reversing the decrease of 1.1 per cent in the preceding year. The disaggregated data showed that the growth impetus came primarily from new jobs created in the domestically-orientated sectors, including retail, accommodation and food services; real estate; and repair, laundry, domestic and other personal service activities (Chart 12).

Chart 12

Total Labour Force and Total Employment (year-on-year rate of change)

Per cent

4

3

2

Total employment

1

Total

labour force

0

-1

-2

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

2006

2007 I 2008

1

2009

Employment growth outpaced the labour force growth in 2010.

2010

Job vacancies in private sector establishments remained strongly on the increase over the course of 2010, amid reviving business activity and hiring sentiment in the corporate sector. On a year-on-year comparison, private sector vacancies jumped by 39.3 per cent in December 2010, following notable increases of 43.4 per cent and 31.7 per cent in June and September. Meanwhile, the ratio of job vacancies per 100 job-seekers was 35 in December 2010, higher than that of 32 in September. The corresponding ratio for lower-skilled jobs climbed from 31 to 35, and that for higher-skilled jobs from 63 to 64.