SINGAPORE:The Ministry of Manpower (MOM) recently released its Labour Force in Singapore 2024 report, highlighting key labour market trends—and the findings suggest that earning a degree is still a worthwhile investment.
According to Vulcan Post, the report contains “interesting data” on the incomes of Singapore’s most educated workers, reaffirming that a university degree continues to pay off.
In 2024, the national median income stood at S$5,500. However, this figure includes all residents, from older workers to high-income earners.
As Vulcan Post’s Michael Petraeus notes, educational background provides a clearer comparison by allowing individuals to measure their earnings against peers with similar qualifications.
Last year’s data showed that degree holders earned a median income of S$8,656—including employer contributions to the Central Provident Fund (CPF) — exceeding the national median by over S$3,100. In other words, one in two degree holders earned more than $8,656, the median income.
The income gap between degree holders and the national median has remained steady at about S$3,000 over the past decade. However, more people are earning higher incomes as the number of degree holders in the workforce has risen significantly.
In 2014, one-third of workers had a degree. By 2024, this figure exceeded 40%. If this trend continues, degree holders could comprise half the workforce within five years, partly due to the retirement of older generations with lower educational qualifications.
After last year’s increase of over S$460, degree holders could see their median income surpass S$9,000 by the end of this year, and possibly reach S$10,000 within five years. Degree holders’ incomes are increasing despite employers in Singapore and the rest of the world reducing emphasis on academic qualifications.
Degree holders remain more likely to secure higher-paying jobs than those without one. As Petraeus points out, the advantage may not always stem from the knowledge gained—except in practical fields like engineering or medicine—but rather from the general intellectual skills that often come with higher education. /TISG
Read also: How much salary do young Singaporeans need to live comfortably in Singapore?
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