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    Low-wage earners' pay stagnated over last decade: MOM

    By Fann Sim | Yahoo! Newsroom – Wed, Oct 12, 2011

    The bottom 20 per cent of working Singaporeans saw their pay stagnate over the last 10 years, according to a report released on Tuesday by the Ministry of Manpower (MOM).

    Though their nominal income rose to $1,400 in 2010, $200 more than in 2001, real income only rose by 0.3 per cent over the decade.

    The figures, however, have not included various government transfers and schemes, which further raises overall income received from work by low-wage workers, said the ministry in the report.

    Real median income for Singaporeans in the middle was found to have grown by 11per cent over the decade, from $2,000 in 2001 to $2,588 in 2010.

    The report also explored employment rates.

    It said the employment rate of Singapore citizens aged 25 to 26 rose to 77.0 per cent in 2010, 3.3 per cent higher than in 2001. Unemployment rate fell to pre-recessionary levels from 4.5 per cent in 2009 to 3.1 per cent in June 2011.

    A seasonally adjusted 55,000 citizens were unemployed in June 2011, down from an average of 75,700 in 2009.

    The report said nearly 8 in 10 citizens aged 25 to 64 are employed, making Singapore's employment rates one of the highest internationally.

    Singaporeans are better qualified today, the report found.

    About 23 per cent of citizens employed in 2010 were degree holders, up from 14 per cent in 2001. Including those with diploma and professional qualifications, the share was 41 per cent compared to 28 per cent in 2001.

    Separately, the ministry, on Tuesday, also outlined its plans in its addendum to President Tony Tan Keng Yam’s address during the opening of Singapore’s 12th Parliament.

    One objective is to ensure older and low-wage workers are able to enjoy the country’s growth over the next 10 years.

    Responding to feedback from unionists that workers need to save more for retirement, the government will review the Central Provident Fund (CPF) contribution rates of workers from age 50.

    It will also review the Workfare Income Supplement scheme to better help workers stay employed and earn a higher income, reported The Straits Times.

    The addendum, issued by Deputy Prime Minister and Minister of Manpower Tharman Shanmugaratnam, said that it is shifting to quality rather than increases in the workforce as the basis of growth in Singapore.

    “Helping our more vulnerable workers contribute to and share Singapore’s progress will remain a key priority,” Tharman was quoted as saying. “We will take further measures to help them upgrade, secure good jobs, and achieve higher incomes."

    MOM also wants to find balance in Singapore's manpower policies and ensure Singaporeans have ample opportunities to acquire better skills and compete globally. Other plans include encouraging responsible outsourcing and promoting life-long leaning.

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    159 comments

    • buck
      buck  •  7 months ago
      I know of people whose pay stay the same for the last 15 to 20 years and I believe it is a very group of people. Are these the people left behind that govt. was saying it shouldn't have?
    • businessman_love_kampong
      businessman_love_kampong  •  7 months ago
      If PAP dun increase HDB rental, JTC rental like no one else business, then worker will have their pay adjusted.

      I point the blame at our government for all the cost increase to an extend businessman gotta employ foreign talents...
      • KenluckyL
        KenluckyL 7 months ago
        Don't like to say this, but you're absolutely correct.
      • Flobert
        Flobert 7 months ago
        My company rents a factory space from JTC for more than 10 years. Now, Mapletree takes over the premises and the rental goes up by 30%.
      • Leo
        Leo 7 months ago
        agree with u all,rental is holding the profit of a lot of businesses in Singapore. And they are a major part in the high cost of living too.

        Everywhere u see are privatsed,most food centre u see got upgraded,but when the old stall owner move back to the new upgraded food centre,rental has went up...and guess who took the cost of rental rise? Applies the same for offices...for shop houses...for shopping mall.
    • HangLoose
      HangLoose  •  7 months ago
      Ministers' pay goes up, up, up, citizens pay goes stagnated. Hope the president and the rest of PAP can understand our frustrations and the resentment on the MIW. Old man can say anything he want, but the fact is he is so out of touch from the general public and he is so comfortable in his own box that he don't know what is the situation outside the box.
      His every comments were indirectly hurting us, he didn't know it, cause he was so ill-informed. PM was blinded by all the cronies surrounding him that gave him the wrong and inaccurate info. That is why we want an opposition to tell them in the parliament.

      Every comments made by ministers were inflaming, they thought of giving an explanation, but in reality, it is so full of crap that we do find it revolting, to them they thought it is okay. Lui tried stepping out of the box by taking the public transport and announced that he did it to have a first hand look. But what happened? nothing , he gave a load of bull shit and his intention of 'just wayang' only, was seen through by many.

      What will happen next, well your guess is as good as mine, hope it is not just talk only and then die a silent death, like all the issues.
      • bettero
        bettero 7 months ago
        You are wrong, he himself is the culprit of such doings. No one in ministeries have any real power, he decides everything. The only guy he listens is his dad.
      • Mohammed Noor
        Mohammed Noor 7 months ago
        Let's hope that more big guns will be fielded against the MIW's in GE 2016. More of us would then have the confidence of voting for the Opposition and showing these guys the door.
      • Observer Tan
        Observer Tan 7 months ago
        Yea, have more opposition and our parliament will be log jam in debates. Nothing moves. Like the US. Let's see how the poor will suffer when nothing happens. The rich? They don't need govt assistance.
    • jman
      jman  •  7 months ago
      Why do u need 10 years to realize that the pay has stagnated.... and for more then 10 years u are enjoying ur million dollars salary
      Obviously you are blinded...
      • KenluckyL
        KenluckyL 7 months ago
        No, too busy counting each dollar out of the millions. They do accounting and audit themselves mah. That's why every time must increase cost.
      • Nose Digger
        Nose Digger 7 months ago
        Which is why I have always said, NTUC jia liao bi. It took MOM 10 years to realise this. What has the union done in these past 10 years??? Oh yeah, they help gahmen to tell low end workers to accept pay cuts when economy is bad. When economy is good, they only"advise" employers to increase those workers' pay. If what they can only do is "advise", what we need them for???
      • Kilo
        Kilo 7 months ago
        Lim Swee Say was than too busy telling worker that Cheaper is better, and housing value should appreciate.
    • Tee Seng
      Tee Seng  •  7 months ago
      This must be the understatement of the universe: the old cleaning uncles and aunties in schools, offices, public toilets, factories have been going down from $800 per month with CPF in 2000, to $700 per month with no CPF. The distorsion of statistics by this overpaid civil servants must stop, they are misleading and lying their way out of the income inequality issue and the impact of low-skills FT in bringing wages of the lowest 20% sharply down while the overpaid useless over[paid FTs like those few CEOs of DBS, of the Stock Exchange etc bump up the pay of the admin service and senior civil servants.
      • bettero
        bettero 7 months ago
        They need their votes. Even Malaysia is giving pay rise to civil servants.
      • Yean Pheng
        Yean Pheng 7 months ago
        In the worst time in my life I have work as a cleaner for 3months. From what I know not just the pay, they work as 1 year contract worker. If their boss loss the contract they will be out of job.
      • Chee
        Chee 7 months ago
        Why are civil servants always targeted?
        They dont pay tax is it?
        There is no revision of their pay for some time already.
        When times are good, the private sector gets months of bonus.
        I dont see the civil servants complaining about that.
        Civil servants get pay cuts when times are bad and dont get as much bonus as the privaite sector when times are good. They worked long hours too and always has to bear the brunt of ungrateful Singaporeans who expects civil servants to 'kow tow' to them and serve them like 'servants'. civil servants PAY tax too!
        Please be fair.
    • lucile
      lucile  •  7 months ago
      You know why?.... because when there is a chance for their wage to be increase due to supply shortage... the govt brings in foreign workers to depress the salary. (Demand & Supply)

      I have always heard of folks saying that Singaporeans do not like to clean toilets or become garbage collectors... but that is not the real reason...stop bringing in foreign workers... and eventually the govt will have to pay higher wages to get local cleaners and collectors... try paying toilet-cleaners and garbage collectors $2000 ~ $3000 per month and I will tell you we will have a queue of local applicants!...

      As a Citizen, I rather pay higher garbage fees to my fellow citizen than to Cleaning companies who still charge a lot and uses foreign workers, and pocket the profit!... Thanks to the govt policy!
      • steve w
        steve w 7 months ago
        So true. They just lying because they know the fake foreign talents they bring in will take low pay and work like dogs because the reason they are here is to earn as much money and fu2k off
      • Observer Tan
        Observer Tan 7 months ago
        If we pay garbage cleaners $2-3k a month, do you know how much your Conservancy charges will shoot up by? Oh....you do not pay such things right, kid?
    • ian
      ian  •  7 months ago
      Seriously, why do i not see any meaning in this article...what is the use of being more educated when our salary is kept stagnant for 10 years (and theres a feeling that it will be the same in many years to come..) ohh..and most of us are reporting to FTs' in our organizations..(obviously, education is just a stepping stone..leave the rest to politics, PR, connections and pulling strings) Why emphasize so much on education..when at the end of the day,our pay is stagnate and we are still struggling hard to make ends meet with our pathetic salary..
      And Ya..i'm glad that it took MOM has realize our situation only after what? 10 YEARS ? and wheres the action? by posting this article..it will generate more negativity, demoralize and piss us ---- Singaporeans off..
    • bettero
      bettero  •  7 months ago
      Ministers' pay review taking so long man.... tabuleh tahan.
      Not just low wage, mid class also squeeze, more than 10 years my pay did not go up an inch.
      But i think 60% happy with it.
    • o_o
      o_o  •  7 months ago
      Sad. We pay so much services charge to the public services. Yet more and more Foreign Trash are employed in the PUBLIC SECTOR, worst are the Public Uni.
      Really sad. Do nothing but get lots of pay and local has to increase budget to sustain their services.
      15K employees employed by Uni is simply NOT justifiable. Good luck to all the BS on how good is our education. When I see the system developed by our Uni and seeing how many foreign trash seat down talent we have, I get pissed.
      For those who have the evidences that staff ARE NOT performing, please help send the information to WP, hopefully they can help expose the loop holes in IT.
    • V.R.derWorld
      V.R.derWorld  •  7 months ago
      Let me reiterate my post on Pres.Tan's speech, yahoo Oct 11th, in gist: "Give some dignity to the lowly paid, in an inclusive Singapore. Don't just give hand outs (W.I.S), give them a MINIMUM WAGE that they deserve." Citing figures mean NOTHING to the have nots!!!
    • KM
      KM  •  7 months ago
      I can't agree more with MOM.
      While the pay of low wage workers have stagnant for years, b and standards of living has gone up over the past 10 years , can MOM tell us how many times have our leaders pay increased one the past 10 years and in what percentage ?
    • bettero
      bettero  •  7 months ago
      The whole stats is twisted, so many unemployed people forced to be insurance, taxi and property agents. My pay stagnant for almost 10 years... but look at cost of living???
    • Imation
      Imation  •  7 months ago
      Being the largest employer in the country and with a salary scale that's higher in average than the private sector, the outcome is obvious.

      Costs & inflation will set in. How can a country have its largest employer paying the higher salary and expecting costs to remain low? The Government must look into either reducing the salary or drastically cutting down its manpower and remove much of its deadwood.
    • Real Singaporeans
      Real Singaporeans  •  7 months ago
      Singaporeans still worship PAP despite :
      -More educated Singaporeans compared to 10 years ago.
      -Ministers pay increased substantially since a decade ago.
      -All level across the board , all Singaporeans pay stagnant !
      -Cost of living escalated at an alarming rate!
      WAKE UP !!
    • Dennis
      Dennis  •  7 months ago
      The billions invested in the soon-to-burst China's economy can be better invested in ourselves and our children. But why are we not doing it?

      Is wild flowers better than home flowers?
    • David
      David  •  7 months ago
      This has been a sad state of affair in S'pore for a long time. The influx of cheap foreign workers has given the heartless employers the opportunity to take advantage of the low income Singaporeans. Is the government willing to address this problem? Time will tell. They can keep talking and posting survey statistics for all they want. Keep delaying a solution and they will get a real lashback effect in the coming GE. Reality is the cash rich politicians don't care for the underprivileged.
    • Nose Digger
      Nose Digger  •  7 months ago
      It took MOM that long to see and realise this??!!! I have posted before that low wage workers, the lower end of society, can never, ever catch up with inflation. Some disagree with me, posting comments like those who keep their eye on the ground can only see dirt. Now those who disagree, what else you've got to say??

      Now the pertinent question is, what can the ruling party do with regard to this issue? There is a growing gap between the poor and the rich. If the ruling party continues to neglect this, it can potentially disintegrate our society. Take a lesson from history. All those stories and visions about coming together as a nation blah blah blah, are just cock and bull if this issue is not looked into and addressed.
    • Shooter
      Shooter  •  7 months ago
      Every Singapore Citizen knows about this long time ago, that's why Singaporean are making noise years ago, that's why the PAP last election lost more seats to the opposition. Only Now! the MOM & PAP Govt. knew about it, wasm't it a little too late?????
      Though, I am not in this group, We all can feel it, especially after the influx ( Free-Flow ) of fake FTs into Singapore. Here we can see FTs selling Fish ball noodles, Working in Geylang & Hostess in Karaoke Lounge, Serving Coffee & promoting beers in Coffee Shops : This are so call Singapore FTs. Oh! My God!
      Ministers : you are paid millions for your job, yet, you only realised now. isn't it too late? Please walk around & don't just seat in your air-conditional office reading reports !
    • Unicorn
      Unicorn  •  7 months ago
      10 yrs ago, due to heavy recession, my boss announced 10% salary reduction on all the staff (salaries stagnant until now), and 20% pay cut on the boss / directors. Sounded fair? But later, we realised that the management themselves had increased their director-fees equivalent to 40% of their salaries. What can MOM do about this?

      This "PAngPui" govt is the same, removed the pensions for the civil servants, but not affected for the Ministers.

      Each time i see those ministers talked so nice on the media of wanting to take very good care of Singaporeans, i have the urge to smear shiiit on their faces and mouths!
    • ho
      ho  •  7 months ago
      PM is not blinded by his cronies, he himself is one. What does a well fed, well groom, a seat that is waiting for him knows about poverty or survival. This country is ruled to condemn the poor, the weak and the sick. He earn his title Brigade general from what war? as a Prime Minister, what laws was passed to the joy of the People?
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