Median salary in Singapore to increase by 4% in 2024

SINGAPORE: A report by global professional services firm Aon plc states that the median salary in Singapore will rise by 4.0%, the same level of increase in 2023.

Aon reported that across SEA, particularly in Singapore, Malaysia, and the Philippines, more than half of the roles have had salary increases outrun inflation. The report added that the technology sector will likely have the highest increase in median salary at 4.5%. According to the Manpower Ministry, income from employment is a key indicator of economic well-being. The gross monthly income from work is the widest measure of income from employment, covering both employees and the self-employed. For the income of a typical worker, look at the median gross monthly income. This is the income in the middle after the workers are ranked by their income.

According to statistics from the Manpower Ministry, in 2021, the median gross monthly income from work (including employer CPF contributions) of full-time employed residents was S$4,680. This amount increased in 2022 to S$5,070. On Nov 2, talent services company Morgan McKinley said that nearly three in four Singapore employers plan to raise their salary offers for certain in-demand roles in 2024.

According to a survey they conducted, 80 per cent of organisations surveyed found hiring “very” or “quite” competitive in 2023. Nearly 40 per cent lost out on hiring new talent in the last six months, as they could not compete on salary and benefits. Despite fierce competition, 43 per cent of Singapore businesses still plan to hire in the next six months.

“Southeast Asia has long been a hotbed of economic growth, attracting talent from across the globe. As it confronts the prospect of a looming recession, the dynamics of salary increases, turnover, and workforce stability take on greater significance,” Alina Cheng, head of Data Solutions, southeast Asia for Talent Solutions at Aon, said. /TISG