Civil servants to receive 0.35-month mid-year bonus;
Junior grade officers get an additional one-time payment of $200 or $400.
In close consultation with the public sector unions, the Government has decided on the mid-year payment of 0.35 month for all civil servants. Civil servants in grades equivalent to MX13(I) and MX14 will receive an additional one-time payment of $200, while those in grades equivalent to MX15 and MX16, and those in the Operations Support Scheme (OSS) Grades III to V will receive a higher one-time payment of $400. This mid-year payment takes into consideration that Singapore’s GDP growth in 2022 is likely to come in at the lower half of the forecast range of 3.0% to 5.0%. The Government deeply appreciates the hard work and contribution of all public officers.
Following the economic recovery in 2021, Singapore’s economy expanded by 3.7 per cent on a year-on-year basis in the first quarter of 2022. On the labour front, total employment continued to expand, with unemployment rates declining to pre-pandemic levels in February 2022. Domestically, the COVID-19 situation has stabilised and border restrictions have lifted since end-March.
However, significant downside risks remain ahead for Singapore. The external demand outlook in 2022 has deteriorated, due in part to the Russia-Ukraine conflict, which has exacerbated global supply disruptions and adversely affected the growth of many economies. Therefore, the Ministry of Trade and Industry has maintained a GDP growth forecast of “3.0% to 5.0%”, but stated that growth is likely to come in at the lower half of the forecast range due to the economic uncertainties.
Against this backdrop, the Government, in close consultation with the public sector unions, has decided to pay all civil servants a mid-year Annual Variable Component (AVC) of 0.35 month. Taking a progressive approach to the mid-year payment, civil servants in grades equivalent to MX13(I) and MX14 will receive an additional one-time payment of $200 while civil servants in junior grades equivalent to MX15 and MX16, and those in OSS Grades III to V will receive a higher one-time payment of $400.
The pandemic has underscored the importance of a strong Public Service and the Government deeply appreciates the hard work and perseverance of all public officers who have contributed to the COVID-19 fight and Singapore’s economic recovery. In deciding the year-end AVC payments, the Government will continue to monitor the economic situation closely, and take into consideration the National Wages Council’s guidelines, which will be released later in the year.