Civil servants to receive 1.1-month year-end bonus

This year’s year-end bonus is a rise from the year-end AVC of one month given in 2021. PHOTO: ST FILE

SINGAPORE – All civil servants will receive a year-end bonus of 1.1 months’ salary, said the Public Service Division (PSD) in the Prime Minister’s Office on Thursday.

Civil servants in grades equivalent to MX15 and below will receive an additional one-time payment of $700.

The Government will continue to pay the non-pensionable annual allowance of one month, more commonly known as the 13th month bonus, to all civil servants.

The bonus, or annual variable component (AVC), takes into consideration the economic outlook while recognising the hard work of public officers, said PSD.

This year’s year-end bonus is slightly higher than the year-end AVC of one month given in 2021.

PSD noted that the Ministry of Trade and Industry has updated Singapore’s gross domestic product (GDP) growth forecast to around 3.5 per cent for 2022.

It also cited the economy’s expansion by 4.1 per cent on a year-on-year basis in the third quarter of 2022, slowing down from the 4.5 per cent growth recorded in the previous quarter.

While GDP growth was sustained for 2022, the outlook for outward-oriented sectors has weakened due to the deteriorating global economic environment, and downside risks in the global economy remain significant, said PSD.

It added that while total employment continues to expand, there was a slight increase in unemployment rates in September, and retrenchments rose over the quarter.

Taken together with the mid-year payments, civil servants will receive a total of 1.45 months in full-year AVC, with those in the more junior grades receiving an additional one-time payment of up to $1,100 in 2022.

The AVC, which reflects economic conditions, is typically set based on a multiple of a civil servant’s monthly salary.

“The Government deeply appreciates the hard work and sacrifice of all public officers who have responded to challenges with commitment and tenacity,” said PSD.

Commenting on the year-end bonus, National Trades Union Congress deputy secretary-general Cham Hui Fong said: “NTUC encourages employers and employees to continue upskilling and upgrading, to stay relevant and competitive in these changing times.

“We call on the private-sector companies to do the same in appreciating and taking care of their employees this year end.”

Mr Sanjeev Kumar Tiwari, general secretary of the Amalgamated Union of Public Employees (AUPE), said the union is appreciative that the Government accepted AUPE’s proposal for the year-end payments.

“The year-end AVC is a fair payment in recognition of the good work of our officers, while progressive in ensuring that lower-income officers are able to cope with the effects of inflation and rising costs of living,” he said.

A civil servant who works in human resources, who wanted to be known only as Mr Tay, said: “I’m very happy – I worked very hard this year, and I’m glad that my organisation recognises it.

“I hope that the year-end bonus can help to cushion the blow of inflation. It’s also great to know that I can afford to take my family out for a nice meal this festive season.”

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