Low-wage workers in Singapore to earn more

Before hiring any foreign worker, local employers will need to meet the requirement of paying all their local workers at least S$1,400.
By: | September 2, 2022
Topics: Compensation and Benefits | Health and Wellness | News | Singapore

About 159,000 lower-wage workers in Singapore will earn at least S$1,400 (US$1,000) under a new local qualifying salary (LQS) requirement. There are workers who are employed in sectors not covered by Singapore’s Progressive Wage Model (PWM).

Part-time local workers will also benefit from the LQS requirement and will need to be paid at least S$9 (S$6.43) an hour in gross wages per hour.

The LQS has been revised four times in the last five years, rising from S$1,000 (US$714) in 2016 to S$1,400. In order to hire any foreign worker, employers will need to pay all their local workers at least S$1,400. 

Altogether, about 197,000 full-time lower-wage workers will benefit from the new progressive wage moves, which include the new LQS requirement, the introduction of PWM for retail workers and in-house cleaners, security officers and landscape workers.

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From September 2022 to February 2023, tripartite partners will focus on educating employers on the various progressive wage requirements, with employers given time to adjust and comply, highlighted the Ministry of Manpower (MOM)

To support employers as they adjust to the progressive wage requirements, the Government is co-funding the wage increases given to lower-wage workers through the Progressive Wage Credit Scheme (PWCS), said MOM.