Singapore to raise pay for lower-wage retail workers

Thousands of employees eligible for increases between SG$130 and SG$160

Singapore to raise pay for lower-wage retail workers

Thousands of lower-wage retail workers in Singapore will receive a monthly wage increase of up to SG$160 starting in September, as part of a newly approved three-year wage hike schedule.

Singapore's Ministry of Manpower announced this week that it has accepted the Tripartite Cluster for Retail's (TCR) recommendations on the Retail Progressive Wage Model.

Under the recommendations, retail assistants and cashiers will see a SG$130] annual increase in wages starting September 1, raising their wages to SG$2,305 monthly.

Senior Cashiers and Senior Retail Assistants will get a SG$140 increase in September, raising their wages to $2,535 a month, according to the MOM.

For Assistant Retail Supervisors, they will get an annual increase of SG$155 this year to lift their wages to SG$2,790 a month.

Support for employers

The increases will apply to more than 53,000 resident full-time and part-time retail workers in Singapore, according to MOM.

It added that co-funding support under the Progressive Wage Credit Scheme (PWCS) will be automatically provided to eligible employers who need help adjusting to the PWM wage increases.

"The PWCS will co-fund up to 40% of wage increases given to lower-wage workers in 2025, and 20% in 2026," MOM said.

"This will alleviate cost pressures, while enabling businesses to drive transformation efforts to enhance productivity and raise wages sustainably."

The National Trades Union Congress, a member of the TCR, said the cluster took a "balanced and pragmatic approach" in proposing higher wages.

"The recommendations come amid a challenging landscape for the retail sector. Brick-and-mortar shops are experiencing shrinking footfall due to growing competition from e-commerce platforms and overseas retail alternatives," the NTUC said in a statement.

"At the same time, businesses are facing rising operational costs, manpower shortages, and evolving customer expectations driven by omni-channel shopping behaviours."

Expanded training modules

Meanwhile, the recommendations outlined the expansion of the list of approved Workforce Skills Qualification WSQ training modules across all job levels.

Another recommendation includes the recognition of qualifications from Institutes of Higher Learning (IHL) such as polytechnics and ITE in meeting PWM training requirements.

"This move gives retail workers more accessible and diverse pathways to fulfil training criteria, while acknowledging prior learning and industry-relevant credentials," the NTUC said.

"It also helps to reduce duplication of training efforts, especially for workers who already possess relevant skills and certifications."

Ryan Chioh, TCR Co-Chair and representative of the Singapore National Employers Federation, said the PWM's structured wage progression and targeted training offers a "practical way forward" amid the retail challenges.

"Retail is ultimately a people business. When we take care of our workers by paying them fairly and equipping them with the right skills, they deliver better service and grow with the company," Chioh said in a statement.

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