Singapore salaries to rise 2.7% next year
Singapore employees can expect a 2.7 percent ‘real’ wage increase next year – down slightly from this year’s 2.9 percent.
This ‘real’ figure excludes inflation, which is expected to be 1.3 percent next year.
The figure comes from a recent Salary Trends survey by ECA International, which looked into the salary situation across twenty countries in the Asia-Pacific.
ECA International revealed that India will see highest real wage increase in the region for second year running, with a predicted real rate of increase of 4.9 percent. At the other end of the table, those in Australia will see the lowest increase in real terms, at 0.8%.
In nearby Hong Kong, workers will see a 1.8% ‘real’ increase in their pay.
Elsewhere in the world, salary increases discounting inflation are expected to be similarly low. For instance, ECA International estimates that real wage growth in Germany and France is expected to be 1.2 percent and 0.9 percent.
“Over the past few years inflation in Singapore has increased while nominal salary increases have stayed flat, which has had the effect of slowly eroding pay rises in real terms. Despite this, the salary increases for 2017 and 2018 are higher than in Hong Kong and compare favourably with other developed economies in the region and globally. This reflects the fact that the Singapore economy continues to perform well on the back of global economic recovery,” said Lee Quane, Regional Director - Asia at ECA International.