AI skills a hiring priority in Singapore, but talent crunch poses key challenge, survey shows

Nearly half of local business leaders surveyed are prioritising AI skills in hiring, but many struggle to find the right talent.

Despite economic uncertainties, Singaporean business leaders are prioritising AI, technology, and sustainability investments to tackle the skills gap.

With AI seen as a key tool for boosting competitiveness, automating tasks, and enhancing creativity, many are ramping up their investments, recognising its potential to drive growth, according to Autodesk’s 2025 State of Design & Make report.

The report highlights insights from leaders across industries such as architecture, engineering, construction, and operations; design and manufacturing; and media and entertainment which employ nearly 300mn people globally.

Confidence in AI runs high

The sentiment around AI in Singapore is overwhelmingly positive. Nearly three quarters (74%) of business leaders believe AI will enhance their industry. This sentiment is more optimistic than the APAC average of 68%. A similar number (75%) say they plan to increase their investments in AI, ranking it the top investment priority for 72% of Singapore respondents.

Moreover, 69% feel AI will make their industry more creative, suggesting that leaders do not just see AI as a tool for efficiency, but also one for innovation. These beliefs may be influenced by the Singapore government’s support for AI adoption, such as the S$150mn Enterprise Compute Initiative aimed at accelerating enterprise AI usage.

Even so, 54% of business leaders in Singapore acknowledge that AI could destabilise their industry, reflecting an awareness of its disruptive potential. Despite that, a notable 76% are confident their organisations will make the right decisions regarding AI integration. This is again above the APAC average (68%).

Skills shortage threatens AI progress

Despite this enthusiasm, the workforce appears to be lagging behind. Businesses are facing difficulty hiring employees with the technical skills needed to implement and manage AI effectively. In fact, more than six in ten (61%) say hiring for such roles remains a challenge, while 62% cite the lack of access to skilled talent as a barrier to growth.

Nearly half (47%) of Singapore business leaders surveyed are now prioritising AI proficiency when hiring, with data analytics and insights also among the top sought-after skills (39%). However, less than half (43%) say they are on track or have achieved their AI goals.

Training gaps widen under pressure

While 71% of businesses are implementing skilling programmes to bridge this gap, many face limitations. More than half of the respondents say they lack the resources to design internal training programmes, and 61% believe existing external training options do not meet their organisation’s needs. This is higher than the APAC average of 54%.

Singapore businesses must bridge the gap between education and workforce demands by improving tech access, updating curriculums, and raising job awareness.

AI-driven sustainability gains traction

The report also shines light on sustainability, another area where AI is playing a growing role. Nearly half (48%) of Singapore business leaders say they are using AI to advance sustainability, placing the nation second in APAC after India.

Overall, 96% of Singapore respondents say their organisations are taking steps to be more sustainable. Sustainability goals are increasingly shaped by external stakeholders — including customers (78%), partners (75%), and suppliers (60%). Beyond compliance, business leaders are also starting to see the financial upside, with 73% believing sustainability could generate over 5% of their annual revenue.

Lead image / Autodesk report