Amidst Singapore’s slower rate of economic growth this year, civil servants will get a year-end annual variable component (AVC) bonus of 0.5 months of $900, whichever is higher.
Some 1,900 lower wage civil servants will benefit from the minimum year-end AVC of $900.
This was announced by the Public Service Division in the Prime Minister’s Officer on 25 November 2016. The year-end AVC was decided in consultation with the public sector unions.
Coupled with the mid-year AVC of 0.45 month announced in July 2016, civil servants will receive a full-year AVC of 0.95 for the year 2016.
NTUC’s Responses
“While the total payout package of 0.95 month AVC for 2016 is relatively lower than recent years, NTUC and our public sector unions are supportive of the lower quantum given the current economic climate.
“In light of the narrowing GDP growth forecast of 1.0 to 1.5 per cent this year, coupled with the uncertain outlook for 2017, the payout package fairly reflects the Government’s financial prudence while taking into account the recommendations by the National Wages Council. The Labour Movement, the public sector unions as well as the relevant Government agencies will continue to push ahead with targeted measures to collectively help our working people upskill and reskill, and be ready to take on future jobs during an upturn.”
– NTUC Assistant Secretary-General Cham Hui Fong
“The Amangamated Union of Public Daily Rated Workers (AUPDRW) is heartened that our low-wage public servants are not forgotten despite the slowing economic growth. On behalf of our members, I would like to thank the Government. We are grateful for the concluded payout package of 0.5 month of AVC or a fixed sum payout of $900, which will go a longer way to help our low-wage workers. The bonus, as well as the non-pensionable annual allowance of 1 month, is a timely sum to help our members cope with year-end expenditures such as the children’s education and back-to-school spending.” – AUPDRW General Secretary G Muthukumarasamy
“With the Singapore economy growing at a slower pace, the Amalgamated Union of Public Employees (AUPE) understands that the rewards for civil servants have to be moderated. Nevertheless, we are appreciative of the Government's agreement to grant our civil servants a year-end AVC of 0.5 month, making a total of 0.95 month AVC for 2016. Our civil servants have been working tirelessly to deliver quality public services and push forth initiatives to boost our economy, transform our industries and uplift the skills of our working people. We look forward to better rewards when the economy recovers.” – AUPE General Secretary Yeo Chun Fing
