Mid-year bonus of 0.5 month for all civil servants; pay raise for lower-wage officers

All civil servants will receive a mid-year bonus of 0.5 month in July, the Public Service Division (PSD) said on Friday, June 13, 2014. -- ST PHOTO: ALPHONSUS CHERN
All civil servants will receive a mid-year bonus of 0.5 month in July, the Public Service Division (PSD) said on Friday, June 13, 2014. -- ST PHOTO: ALPHONSUS CHERN

All civil servants will receive a mid-year bonus of 0.5 month in July, the Public Service Division (PSD) said on Friday.

Some 9,000 lower-wage civil sevants will also get a wage increase over and above their annual increments, in line with the National Wages Council (NWC)'s recommendations, said PSD.

The mid-year annual variable component of 0.5 month to be paid out to all 82,000 civil servants is slightly higher than the 0.4 month paid out last year and 0.3 month the year before.

For the lower-wage civil servants, about 3,500 Division IV civil servants will get a pay raise of $70 in their monthly salaries while about 5,500 Division III civil servants will get a pay raise of $30. The pay raises will take effect in July.

The hike surpasses the NWC's call last month for a built-in wage increase of at least $60 for low-wage workers earning a basic monthly salary of up to $1,000.

Noting that the Government supports the NWC's recommendations, PSD said the pay raise for the 9,000 Division III and IV civil servants "signals the Government's continued commitment to help raise the salaries of lower-wage civil servants, in line with productivity growth and private sector salary benchmarks".

The mid-year pay adjustments were decided in consultation with the public sector unions, said PSD. The Government will decide on the year-end bonus after taking into consideration Singapore's economic performance in the second half of the year.

The Singapore economy grew by 4.9 per cent year-on-year in the first quarter of the year, while overall employment stood at 2.1 per cent in March. The Ministry of Trade and Industry forecasts GDP growth of 2 to 4 per cent this year. Global economic growth is expected to improve this year, though the risk of tightening monetary conditions in the United States remains, said PSD.