World’s second-richest country to retrain drivers as self-driving vehicles expand

Speaking at the National Day Rally on Aug. 23, Wong said the government intends to scale up AVs once the technology is proven as Singapore seeks to meet growing transport demand amid manpower shortages, The Straits Times reported.

It is becoming harder to recruit bus drivers, while two-thirds of the country's taxi drivers are already aged 60 or older, he said. AVs could help ease these constraints and keep transport services reliable. But the technology also poses a major concern for taxi and private-hire drivers who depend on driving for their livelihoods, Wong acknowledged.

"So, even as we scale up autonomous vehicles, we will do so progressively. We will not let adoption run ahead of our ability to retrain and support affected drivers, and help them move into new jobs," he said.

Grab's autonomous shuttle and a GrabCab taxi behind. Photo from Grab

Some drivers are already preparing for the transition. Taxi driver Charles Ban Kum Cheong, 55, a 10-year industry veteran, has taken artificial intelligence courses and used all his SkillsFuture credits as he prepares for a transport sector increasingly shaped by AVs.

"Upskilling is a must for everyone. I’ve taken AI courses and used all my SkillsFuture Credits," Ban said in a recent interview with Singapore's National Trades Union Congress.

He was also among the first group of SMRT Strides taxi drivers to switch to an EV in 2021, when electric taxis were still relatively new in Singapore, ranked the world's second-richest economy behind Switzerland by GDP per capita in The Economist's 2025 ranking.

When autonomous driving technology matures, Ban hopes to move from driving one taxi to remotely operating several AVs. He believes such a transition could still be at least a decade away but does not intend to wait until then to prepare.

AVs are already operating on Singapore's roads. Self-driving shuttle services have been running in Punggol since the fourth quarter of 2025 and opened to the public in April, according to AsiaOne. Grab is also preparing an on-demand autonomous vehicle pilot for public use in the fourth quarter this year.

During his speech, Wong said Singapore would not hold back new technologies simply because they disrupt existing industries, but would support workers through the resulting changes. Singapore took a similar approach when ride-hailing apps emerged more than a decade ago, he said. Rather than blocking the technology, the country introduced rules to ensure fair competition and supported drivers as the industry changed, The Business Times reported.

For Ban, adapting early is the best way to prepare for what comes next.

"Embracing technology as early as possible puts you one step ahead of other people who don’t want, condemn or refuse to accept technology," he said.