Civil servants will not receive a year-end annual variable component (AVC) due to the challenging economic environment, announced the Public Service Division (PSD) on 27 November 2020.
This means that civil servants will not receive the AVC for the entire year as the Government also announced a zero mid-year AVC earlier this year.
However, lower-wage workers from grades 3 to 5 of the Operations Support Scheme (OSS) will receive a one-time payment of $1,200.
“In keeping with the recommendations of the National Wages Council [NWC] to uplift lower-wage workers, the Government continues to give special consideration for lower-wage civil servants, especially during these difficult times,” said PSD in a release.
Some 2,400 civil servants will receive the one-time payment.
Meanwhile, the Government will continue to pay the Non-Pensionable Annual Allowance (NPAA – 13th-month bonus) of one month to all civil servants.
“Our public officers have gone above and beyond the call of duty, and worked tirelessly over many months, in the national fight against COVID-19. The Government deeply appreciates the hard work of all public officers.
“The fight against COVID-19 continues, and the public service will continue to work hard, hand in hand with our citizens and stakeholders, to manage the pandemic and its economic ramifications. Together, we will overcome and emerge stronger,” added PSD.
PSD said that it made these decisions after close consultation with the public sector unions.
NTUC Deputy Secretary-General Cham Hui Fong said that NTUC supports PSD’s decision not to give the year-end AVC given Singapore’s weak economic performance in 2020.
She added that NTUC appreciated that the Government took the cue from the NWC to extend support for lower-wage workers.
“Looking forward, NTUC and the public sector unions will continue to work closely with PSD to upgrade and upskill our civil servants and work in tandem with the Government agencies to transform industries impacted by COVID-19 and raise workers’ productivity.
“We stand in solidarity with the Singapore workforce and also call on the private sector companies to take the cue in appreciating and supporting their workers duly and fairly,” she said.
Amalgamated Union of Public Employees (AUPE) General Secretary Sanjeev Kumar Tiwari said that the union understood that 2020 is still a challenging year for Singapore as its GDP is still in the negative.
Singapore’s external demand outlook in 2020 remains subdued with key advanced and regional economies expected to contract in the fourth quarter and be in full-year recession.
The Ministry of Trade and Industry has further narrowed the 2020 GDP growth forecast to -6.5 per cent to -6.0 per cent.
“The union is appreciative that the Annual Wage Supplement has been maintained for all public officers, and additional financial support will be provided for our lower-wage public officers.
“We are grateful that our public officers have gone beyond the call of duty in this difficult year. Let’s us all stand in solidarity, continue to press on for the bigger picture and emerge stronger from this crisis,” he said.
Amalgamated Union of Public Daily Rated Workers General Secretary Raman Kathavarayan said that the union was extremely heartened and appreciative of the Government’s effort in providing financial support to lower-wage civil servants.
“This one-time $1,200 lump sum grant is certainly a much-needed encouragement for our lower-wage employees working in the public sector in such critical times,” said Mr Raman.
