After close consultation with public sector unions and NTUC, the Government has decided to pay all civil servants a year-end Annual Variable Component (AVC) of 1.05 months.
Additionally, civil servants with a grade equivalent to MX15 and MX16 and those in the Operations Support Scheme (OSS) will receive an additional payment of $600.
The Public Service Division (PSD) made the announcement on 25 November 2024.
With this year-end AVC, the total variable bonus for civil servants in 2024 comes to 1.5 months, with junior-grade officers getting an additional one-off of $850 for the year.
The Government will also continue to pay all civil servants the Non-Pensionable Annual Allowance (NPAA) of one month.
The year-end payment considers Singapore’s upgraded GDP growth forecast of “around 3.5 per cent” for 2024, revised upward from the previous forecast of “2.0 per cent to 3.0 per cent.”
The Ministry of Trade and Industry’s (MTI) adjustment reflects the better-than-expected performance of the Singapore economy in the first three quarters of the year.
“The Government’s year-end AVC payout of 1.05 months for civil servants reflects Singapore’s strongest economic growth since 2021 and recognises their contributions this year,” said NTUC Deputy Secretary-General Cham Hui Fong.
In line with the National Wages Council’s (NWC) recommendations to uplift the wages of lower-wage workers, the Government has maintained its progressive approach in determining the AVC for civil servants.
The additional one-time payment of $600 for officers in grades equivalent to MX15 and MX16 and those in OSS reflects this commitment.
Amalgamated Union of Public Employees (AUPE) General Secretary Sanjeev Kumar Tiwari welcomed the bonus package as a reflection of the strong economic performance.
“AUPE believes that it is important that when our economy does well, our civil servants who have contributed to this success are rewarded accordingly. This enhanced support will help our officers in the lower-wage income manage the rising cost-of-living,” he said.
The bonus package comes amidst positive labour market conditions, with the Ministry of Manpower (MOM) reporting continued employment expansion despite global economic uncertainties.
Unemployment rates and retrenchments have remained low in a tight labour market.
The payment, which follows close consultation with NTUC and public sector unions, represents the highest year-end bonus since the COVID-19 pandemic, reflecting the strengthened economic position while maintaining a calibrated approach to public sector remuneration.
