[SINGAPORE] Singapore civil servants will receive a mid-year bonus of 0.4 month, with junior officers getting an additional one-time payment of up to S$400, the Public Service Division (PSD) said in a statement on Monday (Jun 16).
The annual variable component (AVC) payment of 0.4 month is marginally lower than last year’s payout at 0.45 month.
However, the quantum for the one-off payment is higher than last year’s lump sum of up to S$250.
Specifically, officers in grades equivalent to MX13(I) and MX14 will receive S$250 this year, while those in grades equivalent to MX15 and MX16, as well as those in the operations support scheme, will get S$400.
“This mid-year payment takes into consideration Singapore’s economic performance in the first quarter of 2025, and the subdued economic outlook for this year,” PSD said, noting that this is a “progressive approach” to its mid-year payment.
“Given the forecast of weaker gross domestic product growth and the downside economic risks, the public sector unions and the government will jointly monitor the economic performance for the rest of the year, and will calibrate the year-end payments accordingly,” it added.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
Singapore’s Q1 growth came in at 3.9 per cent year on year, compared with 3.2 per cent in the same quarter last year.
The Ministry of Trade and Industry has maintained its full-year outlook range at 0 to 2 per cent, having downgraded it from 1 to 3 per cent in April.
Meanwhile, the Ministry of Manpower (MOM) noted signs of moderating labour demand this year.
Although the labour market continued to expand in Q1, the pace of employment growth has slowed compared to previous quarters and unemployment rates have edged up slightly from December 2024, the ministry said.
With greater uncertainties weighing on business sentiments, MOM expects the labour market to soften going forward.
PSD added that the government and unions will jointly monitor the economic situation closely. In deciding its year-end AVC payments, they will take also consider the National Wages Council’s guidelines, which will be released later in the year.
Cham Hui Fong, deputy secretary-general of the National Trades Union Congress, noted that the civil service unions had negotiated with the PSD on the mid-year AVC payment.
Considering the complex and uncertain economic environment, she said the 0.4-month payout is thus “moderated and balanced”, while the additional lump-sum payment would “give (a) boost to civil servants who may need more assistance during this period”.
“On a related note, we urge companies across all sectors to work closely with unions and workers to prepare for the challenges ahead; have open and proactive communications to share their business challenges, strategic shifts and their technological adoption,” she added.
Sanjeev Kumar Tiwari, general secretary of the Amalgamated Union of Public Employees (AUPE), said: “We appreciate these lump sum payments, which provide some relief for our officers in these grades during challenging times and demonstrate the government’s continued commitment to supporting our officers.”
He added that the AUPE encourages all public officers to “remain adaptable and seize opportunities to upskill themselves” amid the uncertain conditions.
