SINGAPORE - A tight labour market helped grow the median monthly income for employed households by 4.9 per cent last year after accounting for inflation, according to government statistics released on Friday (Feb 26).
Median monthly household income from work rose to $8,666 last year, up from $8,292 in 2014, according to the Department of Statistics' annual Key Household Income Trends survey.
That is a 4.5 per cent jump in nominal terms, or a 4.9 per cent rise in real terms once inflation is taken into account.
Households across all income groups earned more last year.
The lowest 20 per cent households recorded the fastest real income growth, partly due to efforts to raise the wages of low-income workers.
Households in the lowest and second lowest deciles recorded growth of 10.7 per cent and 8.3 per cent respectively.
The top 10 per cent households and the 21st-30th percentile group saw real income growth of 7.2 per cent. Among the remaining percentile groups, average household income per household member grew by 5.7-6.7 per cent in real terms last year.
From 2005 to 2015, resident employed households in all income groups saw real growth in average household income from work per household member.
More recently, from 2010 to 2015, the lowest 50 per cent households experienced faster real income growth than the top 50 per cent households, according to government data.
The Gini coefficient, which measures income inequality, dipped slightly from 0.464 in 2014 to 0.463 last year.