Civil servants to receive 1.1-month year-end bonus
Junior grade officers get an additional one-time payment of $700
This follows close consultation with public sector unions
In close consultation with the public sector unions, the Government has decided to pay all civil servants a year-end Annual Variable Component (AVC) of 1.1 months. Civil servants in grades equivalent to MX15 and below will receive an additional one-time payment of $700. This year-end payment takes into consideration the economic outlook while recognising the hard work of public officers. The Government will continue to pay the Non-Pensionable Annual Allowance (NPAA) of 1.0 month to all civil servants.
2 The Singapore economy expanded by 4.1 per cent on a year-on-year basis in the third quarter of 2022, easing slightly from the 4.5 per cent growth recorded in the previous quarter. While Gross Domestic Product (GDP) growth was sustained for 2022, the outlook for outward-oriented sectors has weakened due to the deteriorating global economic environment and downside risks in the global economy remain significant. Therefore, the Ministry of Trade and Industry has updated Singapore’s GDP growth forecast to “around 3.5 per cent” for 2022, from “3.0 per cent to 5.0 per cent” in May and “3.0 per cent to 4.0 per cent” in August.
3 On the labour market front, total employment continues to expand, but there was a slight uptick in unemployment rates in September, and retrenchments rose over the quarter.
4 Against this backdrop, the Government, in close consultation with the public sector unions, has decided to pay all civil servants a year-end AVC of 1.1 months. In line with the National Wages Council’s recommendations to uplift the wages of lower-wage workers, the Government will continue to adopt a progressive approach in determining the AVC for civil servants. Thus, civil servants in grades equivalent to MX15 and below will receive an additional one-time lump-sum payment of $700. Taken together with the mid-year payments, civil servants will receive a total of 1.45 months in full-year AVC, with those in the more junior grades receiving an additional one-time payment of up to $1,100 in 2022.
5 The Government will continue to pay the NPAA (13th month payment) of 1.0 month to all civil servants.
6 The Public Service has come a long way and persevered in the fight to protect Singapore and Singaporeans against COVID-19. The Government deeply appreciates the hard work and sacrifice of all public officers who have responded to challenges with commitment and tenacity.