Singapore civil servants to receive 1.05-month year-end bonus with additional lump sum for junior officers

In its announcement on 25 November 2024, the Public Service Division (PSD) confirmed that civil servants in Singapore will receive a year-end Annual Variable Component (AVC) bonus of 1.05 months.

Additionally, junior-grade officers in MX15, MX16, and the Operations Support Scheme (OSS) will receive a one-time lump sum payment of S$600.

This payment reflects Singapore’s economic outlook for 2024, which projects a Gross Domestic Product (GDP) growth of around 3.5%. It also aligns with recommendations from the National Wages Council (NWC) for 2024/2025, focusing on uplifting lower-wage workers.

Including the mid-year payouts, civil servants will receive a total of 1.5 months in annual bonuses. For those in junior grades, this will result in total lump sum payments of up to S$850 in 2024, PSD said.

The Non-Pensionable Annual Allowance (NPAA), often referred to as the 13th-month bonus, will remain at 1.0 month and will be paid to all civil servants.

Economic outlook supports bonus framework

The Ministry of Trade and Industry (MTI) recently upgraded its GDP growth forecast for Singapore in 2024 from the earlier estimate of 2–3% to approximately 3.5%. This revision follows stronger-than-expected economic performance in the first three quarters of 2024 and improving global and domestic conditions.

Meanwhile, the Ministry of Manpower (MOM) reported continued expansion in total employment and low unemployment rates, even as uncertainties persist in the global economy. These factors underscore the stability of Singapore’s labour market, which PSD considered when finalising the year-end payment.

Progressive focus for lower-wage workers

In line with NWC’s emphasis on wage progression, the government has adopted a progressive framework for this year’s AVC. The additional lump sum for junior-grade civil servants is designed to narrow income disparities and support those in lower wage brackets.

Consultations with public sector unions played a significant role in shaping this year’s bonus structure, PSD highlighted. The union collaboration ensures that compensation measures align with broader economic and workforce developments.

The government reaffirmed its commitment to providing fair and meaningful recognition for civil servants’ contributions, reflecting both economic realities and principles of equitable growth.