Lower-Wage Workers May See Pay Increase From July 2024
Lower-wage workers, such as drivers and administrative staff, can look forward to an increase in their pay soon.
This new recommendation come under the National Wages Council’s (NWC) Occupational Progressive Wages model.
Starting in July 2024, this new wage guidelines will cover a period of two years.
The Government has also given its approval for these recommendations.
NWC recommends pay increase for lower-wage workers from 2024
On Tuesday (31 Oct), the NWC published its new wage guidelines, which include recommendations for the increments.
According to the guidelines, the minimum monthly salary for lower-wage workers such as drivers and administrative staff will increase by S$180 to S$390 from July next year, to between S$1,800 and S$2,980.
Source: Ministry of Manpower
A further increase will follow in July 2025, where the salary will reach between S$1,980 and S$3,160.
These recommendations will apply between July 2024 and end-June 2026.
Admin assistants will see biggest increase under new guidelines
Among administrative staff, the minimum wage for admin assistants will see the biggest jump, with raises of 20% and 12% in the next two years respectively.
By July 2025, administrative assistants should be making at least S$1,980 a month, the NWC noted.
On the other hand, the council suggested that there should be a S$220 increase in the minimum wage of drivers with up to Class 3 licences to S$1,970 in 2024 and S$2,190 in 2025.
Source: Unsplash, for illustration purposes only.
Those with licences that are Class 4 or higher will receive an increase of at least S$205 from July next year to at least S$2,085, which will further increase to S$2,320 the year after.
Recommendations will cover around 64,000 workers
The NWC said that the recommendations will cover around 64,000 full-time administrative staff and drivers in Singapore.
Currently, about 90% of administrative staff and 50% of drivers are paid below the recommended wages.
As such, they should expect to receive a raise next year based on these new guidelines.
In addition to wage increases, the NWC also suggested for employers to “consider giving a one-off special lump sum payment to employees, with heavier weightage for lower to middle income employees”. This is in light of the higher costs of living, to help workers adapt to the changing economical climate.
The Government has apparently given its approval for these recommendations.
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Featured image adapted from @priscilladupreez on Unsplash.