Media Releases
Civil Service Mid‑year Payment 2016
14 June 2016
Civil Service Mid-year Payment
Mid-year Annual Variable Component of 0.45 month
In addition: Low-wage civil servants to receive a built-in wage increase of up to $25 in monthly salary, over and above their annual increment in 2016.
The Singapore economy grew by 1.8% in the first quarter of 2016 and is expected to grow by 1.0% to 3.0% for the full year, amidst a weaker global economic outlook[1]. Labour demand is expected to be uneven across sectors in 2016. While the unemployment rate has remained low, employment growth has slowed and redundancies are expected in some sectors as the economy restructures.
Against this backdrop, the Government has decided to pay a mid-year Annual Variable Component (AVC) of 0.45 month.
The Government also supports the National Wages Council’s (NWC) wage recommendations for low-wage workers. Civil servants in Grades IV and V of the Operations Support Scheme (OSS) will get a built-in wage increase of $20 and $25, respectively. This will be in addition to their annual increment in 2016. It signals the Government’s continued commitment to help raise the salaries of low-wage civil servants[2]. Around 1,500 civil servants will benefit from the built-in wage increase. A worked example of the built-in wage increase can be found in the attached factsheet.
The mid-year AVC and the built-in wage increase for civil servants will be paid in July 2016.
The mid-year payments were decided in close consultation with the public sector unions.
The Government will decide on the year-end AVC payment for civil servants after taking into consideration Singapore’s economic performance in the second half of 2016.
[1] This is based on MTI's press release "MTI maintains 2016 GDP growth forecast at 1.0 to 3.0 percent", issued on 25 May 2016.
[2] While $20 and $25 are lower than NWC’s recommendation of $50 to $65 for those earning up to $1,100, all civil servants already earn more than $1,100.
Factsheet
Worked Example: Worked Example:
Comparison of 2016 Monthly Wage Increases for Typical Operations Support Officers in OSS Grades IV and V
Officer A (Typical officer in OSS Grade IV) | Officer B (Typical officer in OSS Grade V) | |
|---|---|---|
Job Title | Operations Support Officer | |
Job Functions | Basic office administrative support functions which may include registry duties and office maintenance. | |
Monthly salary scale | $1,446 – $1,843 | $1,205 – $1,536 |
Monthly salary before increment | $1,500 | $1,300 |
Annual Increment Additional NWC Built-in Wage Increase | +$30 +$20 | +$30 +$25 |
Total Monthly Wage Increase for 2016 | +$50 (i.e. 1.7 times of the usual increment) | +$55 (i.e. 1.8 times of the usual increment) |
Revised monthly salary scale | $1,466 – $1,863 | $1,230 – $1,561 |
Salary after Total Monthly Wage Increase for 2016 | $1,550 | $1,355 |