SINGAPORE: Starting next July, the minimum monthly salary of administrative staff and drivers will be increased across a period of two years, according to the recommendations announced by the National Wages Council (NWC) under the occupational Progressive Wage model. The new wage requirement recommendations were released on Tuesday (31 Oct) as part of NWC’s latest wage guidelines for the period spanning from July 2024 to June 2026.
The NWC introduced the Occupational Progressive Wages Model earlier this year, with wage recommendations covering the period from March 2023 to February 2024. The latest recommendations are the next step in this initiative, aimed at ensuring fair wages for lower-income workers.
One of the most notable changes is the one-off adjustment to the baseline gross wage for administrative assistants, which will increase to at least S$1,800 from July 2024. This represents a significant jump from the S$1,500 set in March of the same year.
The adjustment is made to account for the actual market wage increases since the initial 2023 requirement was announced in 2021.
However, it’s worth noting that the increases for administrative executives and administrative supervisors are relatively smaller, indicating a differentiated approach to wage adjustments based on job roles and responsibilities.
The Occupational Progressive Wage requirements will impact approximately 48,600 resident lower-wage workers. Alarming data reveals that an estimated 43,500 workers were earning less than the 2024 requirement as of 2022, emphasizing the necessity for these wage adjustments.
In addition to the administrative sector, the NWC’s recommendations also extend to drivers. The wage requirements for drivers aim to strike a balance between promoting good wage growth and allowing variable components to be retained.
This approach is intended to mitigate the impact on firms’ operational and manpower planning.
The wage requirements for drivers will apply to around 15,400 full-time resident lower-wage workers, with 8,400 earning less than the 2024 requirement as of 2022.