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The agency said the move, which is expected to affect 7 to 9% of roles, is part of its shift to continuous product ownership rather than AI or cost-cutting.
The National Trades Union Congress (NTUC) and the Amalgamated Union of Statutory Board Employees (AUSBE) have confirmed that 93 GovTech roles will be made redundant in the near term as the agency transitions to a new operating model that will gradually reduce traditional project and vendor management roles.
Announced on 15 July 2026, the restructuring is expected to affect around 7 to 9% of roles across the agency.
According to GovTech, the changes are part of a broader shift towards continuous product ownership, allowing the agency to build, operate, and improve government digital services in-house while continuing to work with industry partners where specialised expertise is needed.
Union engaged early to support affected officers
The AUSBE said it was informed of GovTech's workforce restructuring plans early and has since been working closely with the agency to support affected officers throughout the exercise.
Gabriel Ng, General Secretary, AUSBE said the union's priority is to safeguard the interests of all affected officers and members, and to ensure they are treated fairly and with dignity during the workforce restructuring exercise.
He added that the union remains committed to supporting its members every step of the way.
AUSBE worked to minimise retrenchments and support workforce transitions
Upon learning about GovTech's plans, AUSBE said its immediate priority was to minimise the impact on affected employees. The union worked with the agency to identify alternatives to retrenchment, including retraining, apprenticeship, and redeployment opportunities.
Additional support secured beyond the collective agreement
For the 93 employees leaving the agency, AUSBE said it has successfully negotiated additional support measures beyond those provided under the collective agreement (CA).
These include a three-month ex gratia payment, a pro-rated performance bonus, and six months of paid union membership for AUSBE members.
The union said the ex gratia payment is intended to support employees during their outplacement and transition, particularly as they pursue reskilling opportunities amid the broader restructuring and rapidly evolving technology sector.
These measures are in addition to the CA provisions, which provide one month's notice and one month's salary for every year of service, capped at 25 years.
Career support includes coaching and more than 300 technology vacancies
Beyond financial support, AUSBE and the NTUC are also helping affected officers with their career transition.
Career coaches from NTUC's e2i (Employment and Employability Institute) have been deployed on-site to provide personalised career coaching and job matching support for affected Singaporean and Permanent Resident officers.
Nearly 30 companies participated in the initiative, collectively offering more than 300 technology-related vacancies, including project engineer, network systems engineer and other adjacent roles.
Affected officers have also been introduced to the e2i-IMDA Tech Elevation & Career Hub (TECH) Portal to explore job opportunities and career resources.
NTUC reiterates importance of early retrenchment notification
Commenting on the exercise, Desmond Choo, Deputy Secretary-General, NTUC said the early engagement between GovTech and AUSBE enabled stronger support measures to be put in place for affected officers.
He encouraged employers to engage unions early when retrenchments are being considered, so workers can receive timely support, experience a smoother transition and achieve better employment outcomes.
He also encouraged workers, including professionals, managers and executives (PMEs) and public officers, to join their unions so they can receive workplace support when needed.
GovTech says restructuring is not driven by AI or cost-cutting
Explaining the changes, a GovTech spokesperson quoted by AUSBE said the agency is moving away from a traditional project delivery model towards one centred on continuous product ownership.
Under the new approach, GovTech will take greater end-to-end responsibility for the digital products and platforms powering public services, while continuing to work with industry partners where specialised expertise is required.
The spokesperson said the shift is driven by the increasing scale and complexity of government digital services, not by artificial intelligence (AI) adoption or cost-cutting efforts.
Instead, the agency said the move will strengthen its ability to support Singapore's Smart Nation ambitions and deliver digital services that are faster, more secure and more responsive to citizens' needs.
As part of the transition, GovTech will increase hiring for software engineers, product managers, designers, data specialists, cybersecurity experts, and platform engineers. It also expects more digital products to be built and operated in-house, reducing its reliance on traditional project and vendor management functions.
Goh Wei Boon, Chief Executive, GovTech said that as government digital services continue to grow in scale and complexity, the agency needs to strengthen its capability to build, operate and continuously improve the products it owns.
He added: "Citizens and agencies expect digital services that are more secure, reliable and responsive to their needs. This transformation will help GovTech deliver such services."
"We will support every officer who has contributed to Singapore’s digital journey through this transition," he added.
Human Resources Online has reached out to GovTech for a statement, and will update this story once a response is received.
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Lead image / National Trades Union Congress (NTUC)
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