Real wage growth was dampened by inflationary pressures but remained positive.ġ3. 2022 saw higher wage growth, in tandem with broad-based economic growth and increased profitability. Firms in Manufacturing (5.7%) and Wholesale Trade (5.8%) also raised the wages of their employees, albeit to a lesser degree as a result of global supply chain disruptions and weakness in trade-related activities.ġ2. Outward-oriented sectors of Financial Services (9.0%), Information & Communications (7.7%) and Professional Services (7.6%) continued to register strong wage increases in 2022, alongside sustained manpower demand in these industries.ġ1. Accommodation and Retail Trade registered above-average wage increases (9.7% and 6.7% respectively), as firms in these industries raised wages to attract and retain workers amidst the strong recovery in tourism demand.ġ0. However, the magnitude of increase varied across industries. In 2022, all industries experienced higher wage growth compared to 2021. Among establishments which gave wage cuts, the magnitude of wage cut was also smaller than the previous year (from -5.2% to -4.5%).Īll industries saw higher wage growth in 2022ĩ. Among establishments that gave wage increases, the magnitude of increase was larger in 2022 (7.9%) compared to 2021 (6.3%). Establishments which cut the wages of their employees remained the minority at 5.2%, and the remainder (22.6%) left wages of their employees unchanged.Ĩ. The proportion of profitable establishments rose for the second consecutive year to 83.9% in 2022.As a result, the proportion of establishments which gave wage increases rose from 60.0% in 2021 to 72.2% in 2022, and was slightly higher than the pre-pandemic level in 2019 (69.2%). More establishments were profitable in 2022ħ. Real wages grew marginally by 0.4% in 2022, lower than the 1.6% in 2021. However, the pace of growth was significantly dampened. The nominal wage growth kept pace with inflation 2, allowing real wages to grow in 2022. This reflected the efforts by firms to restore wages of some employees who experienced wage cuts during the pandemic years, as well as give higher wage increases to other employees to retain staff amidst competition for workers.Ħ. The nominal wage increase in 2022 was significantly higher than in 2021 (3.9%), and the highest in a decade. Nominal total wages (including employer CPF contributions) of full-time resident 1 employees who had been with the same employer for at least one year rose by 6.5% in 2022.ĥ. Strong wage growth amidst heightened manpower demandĤ. The key findings from the “Report on Wage Practices, 2022” released by the Manpower Research and Statistics Department, Ministry of Manpower are summarised below. Hence, total wage growth is expected to moderate in 2023.ģ. Against the backdrop of the global economic slowdown and a more uncertain business environment, firms are likely to take a cautious approach regarding salary increments. Notwithstanding higher inflation, real wages continued to grow, but at a slower pace compared to 2021.Ģ. Nominal wage growth in 2022 was at its highest in a decade. As a result, more firms were able to raise their employees’ wages in 2022 compared to 2021. As the Singapore economy continued to grow in 2022, there was a strong increase in the proportion of profitable firms.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |