Civil Service Year-End Payments 2020

27 November 2020

No year-end bonus payment for the Civil Service
Lower-wage civil servants to receive one-time payment of $1,200

In view of the ongoing challenging economic conditions, the Government, in consultation with the public sector unions, has decided that there will not be any year-end Annual Variable Component (AVC) payment for civil servants. Nevertheless, to provide greater support for lower-wage civil servants during this difficult period, a one-time lump sum of $1,200 will be paid to officers in Grades III to V of the Operations Support Scheme and equivalent grades. The Government will continue to pay the Non-Pensionable Annual Allowance of 1 month to all civil servants.

COVID-19 has left a significant impact on our economy and the labour market in 2020. Singapore’s external demand outlook in 2020 remains subdued with key advanced and regional economies expected to contract in 4Q2020 and be in full-year recession. The Ministry of Trade and Industry has further narrowed the 2020 GDP growth forecast to “-6.5% to -6.0%”. According to the Ministry of Manpower’s preliminary estimates, the overall, resident and citizen unemployment rates rose in the third quarter. 

The public sector stands in solidarity with Singaporeans in this challenging economic environment. In close consultation with the public sector unions, the Government has decided that there will not be any year-end Annual Variable Component (AVC) payment for civil servants this year. Taken together with the zero mid-year AVC earlier announced, this means that there will not be any AVC for the entire year.

Nonetheless, in keeping with the recommendations of the National Wages Council (NWC) to uplift lower-wage workers, the Government continues to give special consideration for lower-wage civil servants, especially during these difficult times. Around 2,400 civil servants in Grades III to V of the Operations Support Scheme (OSS) will therefore receive a one-time lump sum payment of $1,200. 

The Government will continue to pay the Non-Pensionable Annual Allowance (NPAA – 13th month bonus) of 1 month to all civil servants. 

Our public officers have gone above and beyond the call of duty, and worked tirelessly over many months, in the national fight against COVID-19. The Government deeply appreciates the hard work of all public officers.  The fight against COVID-19 continues and the Public Service will continue to work hard, hand in hand with our citizens and stakeholders, to manage the pandemic and its economic ramifications. Together, we will overcome and emerge stronger.